Driving efficiency
- Continuous process
- Better buying
- Collaboration with suppliers
- Cross category sourcing
- Far East
- Supply chain
- Lower stock holding in store
Notes
Boots has been driving efficiency since we launched the getting in shape programme in 2002.
The year ahead will see us push for further improvements. Even after that we will not stop. No modern retail business can stand still - efficiency improvements have to be continuous so that we can continue to compete profitably.
This year we will do more to buy better. We will collaborate with our suppliers to reduce costs and maximise the company's buying power by driving cross-category sourcing. We will put more work put through our Far East offices and re-engineer some products to reduce the costs of packaging.
There is further work to do on the supply chain. The main focus this year will be on ensuring that stores deliver our more efficient operating model. Scott Wheway, who recently joined us from Tesco as stores director, will take the lead in this. He has seen some stores which have done a great job leaving their store backrooms virtually empty. But others need to improve so we can free up people to drive our business by serving customers.
In all, we will deliver £70 million of productivity improvements in the year ahead.
LINK: turning to the drivers
