John Lewis Partnership Case.docx - Morgan Casey POM 677...

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Morgan CaseyPOM 677 - Dr. Soheil SibdariOctober 7th, 2018Case Study Set 1 John Lewis Partnership: Semi-Automated National Distribution CentreJohn Lewis Partnership is on the United Kingdom’s top 10 retail businesses and has a unique and distinctive ownership structure. John Lewis Partnership is the country’s largest employee cooperative. All 70,000 permanent staff members are partners in the business and own 28 John Lewis department stores, 2John Lewis At Home stores, 234 Waitrose Supermarkets and various other businesses, with a total of £7.4billion in 2009 – 2010. The partners share in the benefits and profits of the business. John Lewis has been around for over 75 years using the same slogan of “never knowingly undersold” and John Lewis Partnership (JLP) retail systems has been established since 1929 with the workforce being their main owners. JLP is a department store system which is favored by the Middle Class of England, the company is known for selling high quality good to the customers (Mangan p.284). Each store typically stocks more than 350,000 product lines including fashion, furnishings and house holdgoods. JLP had strong sales through the recession and plans to open more stores within the upcoming years. JLP stores have been supplied with six distribution centers (DCs), each controlling a distinct group of products, classifying products by size or by categories (Mangan p.284). The DCs deliver the goods to service centers, that typically act like stockrooms, home delivery points for individual stores or groups, along with delivering direct to John Lewis department stores (Mangan p.284). As business continued to grow, the warehouses needed to introduce a new efficient and effective way of handling their goods and maintaining capacity. The best way was to introduce a new Semi-Automated National Distribution Center (SANDC) to handle small-sized items, installing the newest technology to improve efficiency and accuracy (Mangan p.285). The SANDC, is in Milton Keynes in the United Kingdom and began operations in 2009. This operation was a £46 million capital investment, taking up 60,393 square meters with a height of 15 meters. There are 33 receiving docks and 46 dispatching docks, along with operating two shifts per day potentially changing to three shifts per day

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