Carrefour's logistics strategy

Extract

[...] Carrefour's logistics strategy I. Definition of the logistics strategy The term strategy comes from the Greek -statos”, having as meaning -army- with -agen” which means -to drive-, and then from the Italian -strategia”. It is usual to associate this term strategy with an exclusive approach undertaken by the General Management of any company. There are many, and there are many, that limit the use of the definition of the term strategy as a simple plan of action and nothing more. [...]

[...] This reduction plan will be spread over four main levels. - the optimization of all merchant purchases with a redesign of the product offering, which will be achieved by reducing the size of the sorting up to more than 10% and conducting international negotiations to take advantage of the presence of this group in more than thirty countries around the world; - the rationalization of non-market purchases through strict management of expenses, specifications and a systematic renegotiation policy on historical contracts executed by teams with sustained experience at Group level; - the reduction of logistics costs with a greater focus on the operational efficiency of the supply chain; - reducing the costs of the structure by simplifying headquarters organizations. [...]

[...] Carrefour's universal ambition is to enable its customers to consume better by taking the place of world leader in the food transition for the benefit of all. In order to reinvigorate its development, this group is implementing a profound transformation by launching the "Carrefour 2022" plan, which is based on four pillars, namely A. Deploying an open and simplified organization In order to make the most of its multi-format, multi-channel and multi- country assets, Carrefour simplifies its entire organization and opens up entirely to partnerships, levers for innovation and growth, which include: - The rationalization of its headquarters in Île-de-France; - A voluntary departure plan in France that will cover 2,400 people; - A development of other partnerships like his recent agreements with Showroomprivé, Fnac-Darty and his recent announcement of the partnership in China with Tencent. [...]

[...] In January 2018, Carrefour presented its logistics strategy based on a transformation plan dubbed "Carrefour 2022", which adapted its organization and model in order to be the world leader in the food transition for all. With this Carrefour logistics strategy called "Carrefour 2022", the group has implemented a profound transformation plan in favor of its ambition for sustainable and profitable growth. The growth of this company will be further enhanced by its leadership in the food sector and the growth of its omni-channel reference offering, which is competitive in price. [...]

[...] By being aggressive in this segment, Carrefour will open at least 2000 convenience stores in five years and invest heavily in major cities in Europe. Each of these formats will actively participate in the deployment of the group's omni-channel universe by setting up a delivery or preparation center, a point of return or withdrawal for customers. The group also wants to accelerate the progress of the cash & carry format: - The Group has already begun the policy of opening 20 Atacadão stores each year in Brazil from the year 2018, of which five hypermarket conversions have already been in 2018; - In Argentina, Carrefour announced plans to invest in the Maxi brand, and launched in 2018 the conversion of 16 hypermarkets; - The declination of these formats at European level will be pursued, through an acceleration of the deployment of Promo-cash in France and a procedure to continue the experimentation in other countries A massive investment in digital The Group plans to invest 2.8 billion Euros over a period of 5 years times more than its investments to change the size of the omni-channel and digital. [...]