Home>Distribution>3PLs>Debenhams to close one DC and ten small warehouses
Home>Automation>Automated handling>Debenhams to close one DC and ten small warehouses
Home>Industry Sector>Distribution>Debenhams to close one DC and ten small warehouses
ARTICLE

Debenhams to close one DC and ten small warehouses

20 April 2017

The retailer has begun a consultation on the closure of one central distribution centre and around 10 smaller regional warehousing facilities as part of a wide-ranging 'Fix the Basics' plan the company is working through.

The cut in warehouse capacity comes as Debenhams announced a 6.4% drop in profit to £87.8m (H1 2016: £93.8m).

The streamlining of operations feeds into a new strategy unveiled by the retailer - Debenhams Redesigned - which is designed to deliver revenue growth by turning the brand into a ‘destination’ and ramping up digital sales.

Debenhams is investing in automation within its warehouses and expects to complete its roll out in FY2020.

Debenhams expects to spend an additional c.£50m on improvements from 2018-2020, of which supply chain is one of three key areas, along with upgrading mobile systems and store estate.

The review of operations is cutting in-store SKUs by 10% and working to speed up replenishment times from an average of eight days to two days.

The company said: “As a result of more efficient stock flows combined with the transition to a single WMS, consultation has begun on the closure of one central distribution centre and around 10 smaller regional warehousing facilities.”

Sergio Bucher, chief executive of Debenhams, added: “Having simplified our operations to make us more efficient, we will be able to serve customers better and make better use of our resources.”

 
OTHER ARTICLES IN THIS SECTION
FEATURED SUPPLIERS
TWITTER FEED