Kingfisher Group has this week announced the renewal of its logistics deal with supply chain management services firm Yusen.
The revised import supply chain contract will see goods picked up from south-east Asia and Europe on their way to being delivered to the home & DIY retailer’s operations across the UK, France and Poland.
Existing pick-up points in north and south China have also been incorporated into the new deal, which involves Yusen providing a bespoke track-and-trace system aimed at ensuring complete visibility of Kingfisher’s international supply chain.
Last month, the group, which owns DIY retailer B&Q, reported a 24 per cent year-on-year increase in pre-tax profits for the 26 weeks ending July 30th 2011. Profits totalled £439 million for its first-half period.
Its international segment saw total profits grow by 24.7 per cent to £90 million in the period, and despite economic uncertainty, the retailer is focused on further international growth.
Speaking at the time of the results, CEO of Kingfisher Ian Cheshire said: “Looking ahead, economic uncertainty throughout Europe is likely to impact consumer confidence, meaning conditions will remain challenging for retailers.
“However, our plans already assumed little help from our markets and I am confident we will continue to outperform, benefiting from our well-established programme of self-help initiatives, international scale and breadth, and robust balance sheet.”
Alex Okamoto, Managing Director of Yusen Logistics Europe, which employs 2,000 people in the UK across 26 locations nationwide, welcomed his company’s new arrangement with Kingfisher.
“With international supply chains becoming increasingly complex, we are confident that our flexibility and the total-visibility of our tracking systems are of great value to our customers,” he commented.
“We are delighted to secure this contract extension and are keen to continue developing our relationship with Kingfisher in the future.”