Holt Renfrew Essay - 2172 Words

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†¦show more content†¦ft. facility. There is no need for that additional facility since it increases direct and overhead costs. It should be eliminated. The DC is cluttered with merchandise everywhere, under conveyors and scattered across aisles. Tony considered three strategies: improving the physical structure and process flow in the distribution center, the modernization of distribution systems and business processes, and to reallocate human resources. He had to obtain goods from the companies international suppliers and quickly distribute them to their stores within Canada to gain competitive edge. Immediate Issue Tony must come with major steps to review Holt Renfrew’s warehousing operations to improve efficiency and decrease the level of stock outs through DC layout, process flow improvement, system and business process, and human resource strategy. Other Issues Lack of space and variability in the arrival rate of stock Delivery inconsistences due to bad record keeping Waste of space for the secondary warehouse Constant stock outs in the distribution centre Assumptions Holt Renfrew doesn’t have a computerized ERP system (the reason for stock outs) Health and safety concerns due to clustered merchandizes scattered everywhere. It will take 2 years to build a new warehouse and cost $120/sq. ft. Environmental Analysis SWOT Analysis Strengths, Weaknesses, Opportunities, Threats Analysis Strengths They are one of the few retailers that sell such high-end products in the whole ofShow MoreRelatedThe Case Study of Holt Renfrew888 Words   |  4 PagesHolt Renfrew Case Analysis:Nausherwan Saleem (11020035) Rukunuddin Aslam (11020163) Case Summary: 1) Company Profile: a. High-end retailer in Canada with ten stores in seven Canadian cities b. Sells top quality, branded and private-label designer fashions as well as cosmetics c. Owned by the Wittington Group headed by Galen Weston d. Peak sales occurred in March/April, July/August and November/December e. Publicity campaigns used throughout the year for promotional purposes f. 21,500 ordersRead MoreHolt Renfrew and Co Limited SWOT Analysis Essay1282 Words   |  6 PagesHolt Renfrew Situational Analysis Item | So What? | Holt Renfrew is owned by The Wittington Group, headed by Canadian business leader Galen Weston | The owner of Holt Renfrew is quite large, likely has the financial resources available to back up any capital investments required. | Tony Kelly is a new employee to Holt Renfrew | New employees in an organization are often more likely to pick up on areas for improvement than someone who has been in that environment for so long. 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The article brings up the one of the major reasons why retailers like these are experiencing this is due to the growth and expansion of low cost high-end looking brands like HM and Zara. Even Holt Renfrew decided to close their competitionRead MoreCase Analysis5992 Words   |  24 Pagesto enhance each customer’s shopping experience. By renovating each store and acquiring more retail space, it allows them to cater to their different customer’s taste as oppose to being limited to only selling suits and formal wear. Competitor: Holt Renfrew In a recent interview in the Globe and Mail, Larry did suggest that the company might enter the women’s wear luxury market in the future. There is hesitation in expanding their target market to women because during the 1980s they had failed inRead MoreSears2107 Words   |  9 Pagesemerging demographic of more youth oriented consumers, is focused on trendy styles, then Sears has a significant weakness in that it is not among the top choices amongst the competition by any means. In the high end market, competitors such as Holt Renfrew, Harry Rosen, The Bay (which has taken back lost market share under the guidance of CEO Bonnie Brooks) and the impending arrival of Nordstrom’s really have the clientele loyalty and market share, leaving no room in this market for Sears. In theRead MoreNordstrom Swot2991 Words   |  12 Pagessufficiently claimed yet. Hudson’s Bay Company has Canadian roots and just bought Saks, with plans to move them up to Canada as well. This wi ll harshly threaten Nordstrom’s pull on luxury market share in Canada. There is also the 177-year-old brand Holt Renfrew that announced expansion in its Calgary luxury store, which is in the same place as the first Canadian Nordstrom. This is again a direct threat to their business in Canada and how their expansion will determine if they can grab and hold onto market