Exel wins £150 million, five-year contract with Nisa-Todays
EXEL WINS £150 MILLION, FIVE-YEAR CONTRACT WITH
NISA-TODAY’S
Second contract with independent retail group
(London, UK – 30 July 2004) Exel, the global leader in supply chain management,
has won a five-year, £150 million contract with Nisa-Today’s, the UK’s largest
buying consortium for independent retail and wholesale companies. Exel will
provide a complete temperature-controlled supply and distribution service to
Nisa-Today’s 3,500 stores across Southern England and manage a new, 80,000 sq
ft, multi-temperature, distribution centre (DC) in Harlow, Essex. The contract
reflects Nisa-Today’s drive to increase its share in the UK convenience store
market and builds upon a 15-year relationship between the two organisations,
including the Company’s successful management of Nisa-Today’s DC in
Stoke-on-Trent.
The new DC will increase the capacity of Nisa-Today’s UK transport and
distribution network and is the latest step in improving its supply chain. It
also supports the nationwide expansion of its Premier Service of deliveries
from three days to six days-a-week. For Nisa-Today’s, committing to new
logistics processes is critical in reaching a 10-15% per annum growth in
business and competing with the large, multiple retailers who are penetrating
the convenience store market.
The operation at Harlow will replicate operations at the Stoke-on-Trent DC.
Exel will use the SC Manager warehouse management system and voice-picking
technology that, in just 12 months, increased warehouse productivity by 10% and
pick accuracy levels to 99.8% at the Stoke-on-Trent DC. Overall, the volumes
handled by Exel on behalf of Nisa-Today’s will now rise by 11 million cases per
annum to 37 million by the end of 2006.
‘Our experience with Exel has been that it does not just deliver on its
promises but adds value by working in partnership to support our business
strategy,’ said Stephen Hunter, Managing Director of Logistics at Nisa-Today’s.
‘This is particularly important to us at a time when our business is growing
rapidly and we need to manage our warehousing and transport operation to handle
increased service levels with continued quality assurance and without increased
costs.’
Both companies are placing great emphasis on a seamless migration of
Nisa-Today’s customers to the new facility and this move will be phased over
several months. Once volumes have been transferred, there will be the potential
for new product ranges to be introduced to the Stoke facility.
‘Our partnership has enabled Nisa-Today’s to extend its service and product
offering, cost-effectively, at a time of significant expansion and greater
competition,’ said Simon Payne, Business Unit Director at Exel. ‘Now, our
preparations for the new centre, as well as for the future operation at Stoke,
are focused on ensuring that we continue to provide Nisa-Today’s with a
platform for successful growth.’
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For more information, please contact:
Sarah Jones
+44 (0)1908 244306
