M&S lights Fuse to remove excess stock
From Logistics Manager Magazine,
Published Thursday 23 May 2019 3:10 pm
Marks & Spencer is making use of new tools to help remove
excess stock trapped in stores where it does not sell, and holding it
centrally, improving availability and making stores easier to shop.
The programme, named Fuse, is being used in both the Food and
Clothing and Home. The retailer said in its annual results: “Our food
waste levels remain among the highest in the industry and availability
has not significantly improved. However, process changes in trial stores
known as Project Fuse are illustrating the very significant financial
opportunity in these areas.
“Similarly, an improved working relationship with GIST, our logistics
partner, has demonstrated the substantial opportunity in modernising
and better integrating the supply chain.”
In Clothing and Home, as well implementing the Fuse programme, M&S is reducing.
The complexity of its logistics network. It has closed four
distribution centres and warehouses and opening a national distribution
centre in Welham Green, which is now ramping up its boxed storage
“We are still at the early stages of modernising our supply chain network, technology and process and this remains a priority.”
M&S saw revenue fall three per cent to £10.4 billion in the year
to 30th March. Profit before tax and adjusting items was down 9.9 per
cent at £523.2m.
Chief executive Steve Rowe said: “We are deep into the first phase of
our transformation programme and continue to make good progress
restoring the basics and fixing many of the legacy issues we face.
“While there are green shoots, we have not been consistent in our
delivery in a number of areas of the business. M&S is changing
faster than at any time in my career – substantial changes across the
business to our processes, ranges and operations and this has
constrained this year’s performance, particularly in Clothing &
Home. However, we remain on track with our transformation and are now
well on the road to making M&S special again.”