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Boparan to trim fat off supply chain

by insidermedia.com - 02/06/2011

Boparan to trim fat off supply chain

"Birmingham food entrepreneur Ranjit Boparan is looking to halve the number of suppliers to Northern Foods and 2 Sisters as he bids for a £1bn boost in turnover by 2015."

A Northern Foods spokesman told Insider top level executive meetings were held last week looking at ways of consolidating the supply chains to the two businesses.

Currently, there are about 4,500 businesses in the supply chain and the spokesman said Boparan was hoping to work closer with fewer suppliers as he integrates Northern and 2 Sisters.

Boparan aims to increase the integrated businesses' turnover by £1bn to £3bn by 2015. "To do that the business will need suppliers to work very closely with us," said the spokesman.

With a large percentage of the food produced by both businesses being own label, the spokesman added that lowering costs for the customer was a key driver behind the move.

Earlier this year, Harry Ramsden-owner Boparan acquired Northern in a £342m deal. The business has since de-listed from the Stock Exchange and is set to leave its Thorpe Park headquarters in Leeds as it looks to relocate employees to Wakefield.

More Details: http://www.insidermedia.com/insider/midlands/53284-/