CANADA: Expansion Plans Drive Wal-Mart's Distribution Overhaul
SCM Supply Chain Management, a Tibbett & Britten member company, is developing a trans-Canadian distribution network in partnership with retail giant Wal-Mart. The retailer's new growth targets have prompted the distribution overhaul.Three purpose-built centres, each about 1 million sq ft (93,000 sq m), are replacing an interim network that has been in place since Wal-Mart entered the Canadian market. Two of the new centres are located in Ontario while the remaining one is based in Alberta.Ron Tomiuck, president of SCM, said: "For the past six years, SCM has been proud to be Wal-Mart's partner. Through this time we have developed a distinctive customer-focused culture, meeting Wal-Mart's exacting standards even though our team members have been working in less than ideal conditions."The outgoing interim network dates back to when Wal-Mart entered the Canadian market in 1994. On acquiring 122 stores from Woolco, the company appointed SCM to establish a distribution network from scratch.SCM managed to complete the mammoth task in three months and Wal-Mart has gone on to quadruple its sales in Canada and currently has 165 stores coast-to-coast. The SCM network has expanded accordingly, operating from eight main hubs in 1999.SCM Europe is doing similar work for Wal-Mart's European expansion In Germany, SCM Europe is handling nationwide logistics operations for the retailer and is currently constructing a second regional distribution centre.In the UK, Tibbett & Britten is a major supplier of logistics to Wal-Mart's Asda supermarket chain, handling the warehousing and distribution of both 'George' branded clothing and home and leisure products.
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