Redevelopment plan gets thumbs up

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Retailer TJ Morris is redeveloping its 330,000 sq ft warehouse at Gillmoss, Liverpool followings an assessment of the business’s supply chain by consultancy Total Logistics.

The extension of the site will increase the size to about 600,000 sq ft and storage capacity to around 70,000 pallets. The building work on the site will start later this year, with the new warehouse expected to go live in the fourth quarter of 2009.

The company sells a range of health and beauty, clothing, alcoholic and dry foods, and operates from 160 outlets in the UK. This is planned to rise to more than 350 by 2016. Total Logistics considered a number of options – including the establishment of new warehousing operations in the North and Midlands – before recommending the development of the existing site.

Following the strategic review, a supplier selection process resulted in the appointment of SSI Schaefer to develop appropriate and flexible handling systems at the site, which is being considerably extended.

Mike Oliver, partner at Total Logistics, pointed out that sales at TK Morris were expected to rise from £320m to £1bn in the next eight years so getting the supply chain right is a major strategic challenge for the business.

“In this exercise, the joint project team was able to start from a fresh page, focus on what the business might look like in eight years time, and review the solution options to support the business. Only after the preferred solutions had been identified did the team consider the constraints of the existing infrastructure,” he said.

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