£900k annual savings for British home shopping business

£900k annual savings for British home shopping business

7th May 2026 | 2 min read

The Challenge

A British home shopping business, serving circa 1.5 million customers annually, faced a number of challenges relating to the suitability of their current distribution centres to service the evolving requirements of the consumer market.

The customer was experiencing logistical and operational challenges due to the layout of their two current warehouse sites. With three warehouses in and around a major UK city, each with a distinct function, there was overlap in operations, leading to inefficiencies.

Furthermore, two of the warehouses faced operational challenges: one had inefficient storage due to low ceilings, and the other’s operations were spread across multiple floors, hindering efficiency.

The customer understood the operational problems caused by their three separate warehouses and decided to consolidate them into a single, new facility. However, they knew that simply moving their existing, inefficient processes into a new space would be risky. Therefore, they engaged Unipart to help them develop a culture of continuous improvement and build a flexible, collaborative workforce before the move. This preparation was key to ensuring a smooth transition and maximising the benefits of the consolidated warehouse.

The Solution

Our team of continuous improvement consultants conducted an end-to-end process review at two sites, focusing on picking, packing, and despatch. The solution involved optimising stock placement, improving visual management, and introducing standard operating procedures to improve processes.

Performance management was enhanced by implementing KPIs, workload leveling, and performance management processes. Staff were trained on new ways of working and Operational Excellence tools were embedded to build capability, with workshops conducted to ensure employee engagement and sustainment of the transformation.

The Impact

The following quantifiable results were achieved through the successful implementation of the solution:

  • Over £900k of annual savings generated
  • ROI paid back in just 19 weeks
  • 56% productivity uplift in Site A picking performance
  • 61% uplift in Site A packing performance in Site A and Site B combined
  • 89% uplift in Site B despatch
  • 5 practitioners upskilled and trained in advanced operational excellence tools and techniques to champion continuous improvement in their own work area
  • Circa 30 additional staff trained and coached in Continuous Improvement

The project has enabled the customer to streamline activities, saving cost, time, and carbon alongside instilling a continuous improvement culture which will help them remain delivering a better ongoing customer experience.

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