HEMA has opened too many shops in recent years, as a result of which it now does not have its logistics processes in order. This is stated by top executive Tjeerd Jegen in an interview with Z24. "We have grown too fast. Opening three hundred shops in four years, that's quite a lot."
Assortment
HEMA has been in dire straits for some time. In recent quarters, the retail chain repeatedly posted millions in losses. Top executive Tjeerd Jegen has to turn that tide and increase HEMA's profits. An important aspect of this is reducing the size of the product range. Currently, HEMA offers as many as 25,000 items, an unsustainable number. "This has grown organically, but it is too much," Jegen said. In addition, HEMA has started looking critically at the type of items it sells. Bicycle items are no longer offered, and rewritable DVDs, apples and oranges are also removed from the range.
Read also: HEMA distribution centre cannot cope with e-commerce growth
Logistics highest priority
To improve logistics processes, stocks are being reduced and shelves in shops are being filled better. Earlier this year, Jegen revealed that improving logistics is top priority at HEMA. "We showed a disappointing operating result in the first quarter," he said in a reaction to the quarterly figures. "We have set a number of priorities to improve our performance, focusing specifically on logistics."
