Waitrose is to open a state-of-the-art national distribution centre (NDC).
The retailer is in talks to transfer operations at the nearby Kuehne+Nagel-run Celestia depot - which services Waitrose - to the new national distribution centre, which wouldbe constructed by warehouse developer Gazeley at its Magna Park site in Milton Keynes next summer.
Transfer of Undertakings and Protection of Employment (TUPE) regulations are expected to apply, and, over the next few months, a consultation will begin with Kuehne+Nagel employees at Celestia.
The NDC, which will be the size of 12 English Premier League football pitches, will handle the distribution of around 25,000 nationally-available grocery and home department lines that can be found in Waitrose branches and on Waitrose.com.
The NDC will deliver the national lines via Waitrose’s four regional distribution centres (RDCs). The move provides Waitrose with 940,000 sq ft of storage space, versus the 317,000 sq ft it has currently at Celestia.
It also simplifies the supply chain and improves the efficiency of handling nationally available lines that have historically had to be sent between RDCs. This enables more sustainable growth.
David Jones, Waitrose supply chain director, said:“The decision to open our first NDC marks a pivotal moment in our supply chain history and reflects our phenomenal growth. Waitrose has outperformed the market for five years and we have ambitious plans to open 38 shops in 2014 and continue to expand our online platform.
“By simplifying our supply chain, we improve its resilience and greatly improve our ability to serve our branches now and in the future.”
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