Holt Renfrew
Case Analysis Report
Prepared By:
Olarewaju Oluwatomi 0672657
November 28, 2014
Table of Contents
Executive Summary 3
Situational Analysis 4
Immediate Issue 4
Other Issues 4
Environmental Analysis 5
SWOT Analysis 5
PESTLE Analysis 5
Alternatives 6
Modernizing the Distribution Process 8
Recommendation 8
Timeline 9
Conclusion 10
Bibliography 10
Executive Summary
Holt Renfrew, is high-end retail chain for designer fashions and cosmetics that imports their products from Europe, Asia and USA. They are facing some challenges regarding the size of their current warehouse and inventory levels. The warehouse is not big enough to accommodate all their inventory and as such goods are always scattered everywhere. They are also finding it difficult to track their orders, due to the fact that they do not have an updated Enterprise Resource Planning (ERP) system to help them track these orders. They follow up over the phone which is never accurate. For this reason, they hardly how much goods are coming in and what to expect at a particular time. This has also created an issue of stock outs. These issues need to be addressed to ensure customer order fulfillment. Different options have been made available to help Holt Renfrew address these issues which are improving the physical structure of the warehouse by installing mezzanines, outsourcing warehousing to a third party or building/leasing a new warehouse, modernizing their distribution process and human resource reallocation.
Upon review of the different options, the most favourable one for the company would be to install mezzanines. By installing mezzanines, the physical layout of the warehouse will be increased and it will create more room for inventory. The new available space will accommodate the extra products, usually scattered on the ground as well as the ones that are usually sent to the secondary warehouse where unsold goods are kept. This will enable the company shut down the secondary warehouse and
Prepared By:
Olarewaju Oluwatomi 0672657
November 28, 2014
Table of Contents
Executive Summary 3
Situational Analysis 4
Immediate Issue 4
Other Issues 4
Environmental Analysis 5
SWOT Analysis 5
PESTLE Analysis 5
Alternatives 6
Modernizing the Distribution Process 8
Recommendation 8
Timeline 9
Conclusion 10
Bibliography 10
Executive Summary
Holt Renfrew, is high-end retail chain for designer fashions and cosmetics that imports their products from Europe, Asia and USA. They are facing some challenges regarding the size of their current warehouse and inventory levels. The warehouse is not big enough to accommodate all their inventory and as such goods are always scattered everywhere. They are also finding it difficult to track their orders, due to the fact that they do not have an updated Enterprise Resource Planning (ERP) system to help them track these orders. They follow up over the phone which is never accurate. For this reason, they hardly how much goods are coming in and what to expect at a particular time. This has also created an issue of stock outs. These issues need to be addressed to ensure customer order fulfillment. Different options have been made available to help Holt Renfrew address these issues which are improving the physical structure of the warehouse by installing mezzanines, outsourcing warehousing to a third party or building/leasing a new warehouse, modernizing their distribution process and human resource reallocation.
Upon review of the different options, the most favourable one for the company would be to install mezzanines. By installing mezzanines, the physical layout of the warehouse will be increased and it will create more room for inventory. The new available space will accommodate the extra products, usually scattered on the ground as well as the ones that are usually sent to the secondary warehouse where unsold goods are kept. This will enable the company shut down the secondary warehouse and
Bibliography: Ivey Case Study- Holt Renfrew. (2012) StudyMode.com. Retrieved from http://www.studymode.com/essays/Ivey-Case-Study-Holt-Renfrew-937118.html Hi-Cube Blog (2013). All about Structural Mezzanine. Retrieved from http://blog.hicube.com/blog/bid/280503/All-about-Structural-Mezzanine ArcForce Mezzanines (n.d). Custom Steel Industrial Mezzanines -Direct from the Manufacturer! Retrieved from http://www.arcforce.com/default.htm