Online shopping: need for effective supply chain

Mark & Spencer urged to go with the times

09:37 17 May 2013

Our fast-paced world does not seem to sleep. Thus, online shopping came to being so there will be no time wasted waiting for the shops to open in the morning.

 

Online shoppers want their item delivered next day or same day but Mark & Spencer (M&S) might have some difficulty doing that with their outdated systems and equipment.

This week, M&S CEO, Marc Bolland will reveal his much-awaited line of autumn/winter clothes. For seven consecutive quarters M&S has been dealing with declining sales in the general merchandise department, clothing, as well as homewards.

 

Bolland hopes to arrest further decline with the presentation of this new line fashioned by a selected clothing team headed by a long-time M&S executive John Dixon and ex Jaeger chief Belinda Earl.

Nevertheless, even if this glamorous addition to the M&S line is met with sales hike, Bolland still has to deal with the pressing need of modernizing the chain’s outdated delivery and technology systems.

 

Currently, the equipment being used could be two decades outdated and is not helping M&S bid to be on top of the game.

Competitor retailers use state of the art systems to monitor their stock, M&S staff count their stock manually. Its major competitor H & M can convert their designs to finished product in two weeks, M&S perhaps takes much longer time delivering its goods from the port to the shops.

 

This setback was even more highlighted when Bolland opened their new 900,000 sq. ft. warehouse in Castle Donington in the East Midlands. 

With online shoppers expecting next-day or same-day delivery of their ordered items, M&S does not have a choice but to follow the ways of the world to modernization of its equipment and systems. With the installation of the new infrastructure, it is expected that the Castle Donington warehouse will be able to process 1million online sales orders per day.