Case Study Analysis: Sainsbury's Business Operations and Strategies

This case study examines Sainsbury's business operations, focusing on their "Leading the way on collection and delivery" strategy. It explores key areas such as production, supply chain, logistics, local strategies, quality control, and human resources. The analysis highlights Sainsbury's efforts to optimize online marketing, improve customer experience through 30-minute click and collect services, and maintain strong relationships with suppliers. The study emphasizes the company's commitment to quality, efficient logistics, and effective human resource management to achieve its business objectives and maintain a competitive edge in the retail market. The study also touches upon Sainsbury's innovative approaches to online delivery platforms and applications to provide seamless shopping experiences. The case study provides insights into Sainsbury's strategies for sustainable growth and efficiency within the dynamic retail landscape.

Case Study

Table of Contents
CASE STUDY.................................................................................................................................3
Sainsbury's “Leading the way on collection and delivery.”........................................................3
REFERENCES................................................................................................................................8

CASE STUDY
Sainsbury's “Leading the way on collection and delivery.”
Business operations in referred to as the activities which are in turn carried out by the
company on a day to day basis. This in turn helps in increasing the value of the enterprise in
order to earn a profit (Erbas, 2019). The management of the company can optimize the activities
in order to generate sufficient revenues. The simplified business operation within the retail firm
is mainly associated with service, sales, marketing and buying decision, etc. Business operations
tend to evolve as business grows and helps in accommodating with the changes in order to
prevent various glitches which in turn might occur within the system. One of the key goal of
retail industry is to effectively stock products which in turn customers are willing to pay a price
in order to buy that product. This states that, every retail company must effectively maintain
efficient level of inventory system in order to reduce instance of dead stock. The company must
focus on stocking fast moving products which are high in demand (Jones and Comfort, 2019). A
friendly credit terms with the suppliers helps in preventing stock out. In order to improve the
business operations, the company must focus on measuring business performance, keeping up
with the latest trends and effectively streamlining the inventory process in order to increase
productivity and ease critical processes.
The key function of the business operation is that, they are responsible for planning,
coordinating and controlling various resources in order to effectively produce the goods and
services of the company (Blackmon, 2016). Sainsbury tends to have a separate sales and
marketing departments which in turn has been used in order to reach the target market within
stipulated time. The company focus on advertising through television, radio and also through
adverts in newspaper and magazines. The production department of the Sainsbury mainly deals
with clothes, books, petrol, food, pharmaceuticals, restaurants, etc. Management, communication
and administration department is useful in achieving the objectives which in turn is considered to
be very necessary for effective taking strategic decision and attain higher operational goals.
Finance function of the organization in turn helps in keeping the finance of the company up to
date in order to carry out all the business operations in a systematic and productive manner. For
the innovation, Sainsbury tends to focus on developing a website and online application in order
to push faster and innovative delivery option (Ormerod, 2017). Online marketing has eventually
led to increasing growth in the grocery sales. All the business operations which in turn has been

carried out in a coordinated manner in turn helps in effectively carrying several business
operations and attain greater business heights.
Sainsbury is a public limited retail company which was founded 151 years back on 1869
in Holborn. The founder of the company is John James Sainsbury and the company is
headquartered in London, UK. Sainsbury company is considered to be one of the second largest
retail company in the UK and deal in various range of product and services which mainly
includes groceries, supermarkets, hypermarkets, convenience shops, energy, toys, Tu clothing,
home ware, electronics, cars, petrol, financial services, etc. Sainsbury tends to have around 1417
shops across UK. Sainsbury has 608 supermarkets, 820 convenience stores, 100+ supermarkets
offering smart shop self scan and 12000+ own brand products.
Sainsbury has engaged in the 30 minute click and collect services in order to attain higher
sustainable growth and efficiency (Szydlowska, 2020). The way customer has been shopping has
been changing drastically. They tend to opt for more convenient and faster options in order to
continue leading the way within the market. Sainsbury in turn is considered to be one of the
foremost UK retail supermarket who in turn tends to focus on looking for faster and more
convenient options in order to continue to lead in the mere future. This helps in providing
customers with the services that they can effectively lead the way from whenever and wherever
they intend to purchase goods and services offered by the Sainsbury. The click and collect
strategy was considered to be as the cutting edge in order to fulfil various shopping orders which
in turn has been made online. This helps in providing seamless shopping experience to the
customers (Grubor, Đokić and Milićević, 2017). 30 minute click and collect services in turn
helps customers to effectively improve the shopping experience with the help of smartphone
application with just a touch. Sainsbury tends to focus on offering high degree of customer
experience which in turn has been differentiated in terms of price. The customer in turn are
looking for faster and convenient options in order to aid to more convenient options which in
turn eventually leads to higher operational growth and sustainability. Sainsbury wants to offer
various range of customer experience in a differentiated manner (Ramanathan, Subramanian and
Parrott, 2017). This tends to aid to complete autonomy and adds excellent flexibility to the
customers in order to gain higher operational growth and productivity. It also tends to offer sub 1
hour collection options and also offer same day grocery delivery in order to stand out in the
market.

Production: This business operation of the Sainsbury tends to state that, the company
must effectively comply with the resources which in turn has been required to produce various
range of goods and services in a systematic and efficient manner. Sainsbury focuses on
producing large number of varied range of products and services which in turn offers
merchandise, clothes, groceries, financial services, books, toys, petrol, home wares, etc. The
company focuses on analysing the demand of the particular products in order to meet the market
needs and requirements (Keiningham and et.al., 2019). Sainsbury focuses on producing high
quality goods and services which in turn eventually leads to long term growth and efficiency.
Supply chain: Sainsbury tends to have a greater pride in maintaining a good relationship
with the suppliers. They focus on working together with the partnerships both overseas and UK.
Sourcing with the integrity helps in building strong relationship with producers and suppliers in
order to offer great customer products and services. Sainsbury supply chain is considered to be
very effective because it helps in managing and improving the way goods are delivered to the
customers. Sainsbury business in turn is built on tremendous long lasting relationship with the
suppliers (Robinson and et.al., 2016). Sainsbury tends to work closely with the suppliers,
growers and farmers both international and in UK in order to assure customers about how and
where the products will be sourced. They also tend to source various range of Sainsbury's
branded products from across UK and various other 70 countries. Large degree of investment in
turn has been made in order to encourage young talent to engage within the world's largest
retailer company.
Logistics: Sainsbury focuses on planning the efficient strategies associated with the
transportation in order to reach the end customers within the stipulated time (Allen, Piecyk and
Piotrowska, 2018). Sainsbury has focused on effectively reducing the transportation cost in
order to reduce on time deliveries. They tend to have an integrated logistical network who in turn
focuses on delivering market leading products which in turn are available at the store and online
digital platforms. Sainsbury's convenient store networking in turn tends to put proper foot within
the online retail store. This in turn eventually becomes the most profitable logistical hub which
helps in serving high degree of urban customers (Sainsbury's and Asda: Why logistics, not
regulators, will be its biggest challenge, 2018). Sainsbury's logistic network is so effective that it
focuses on preventing waste and focus on moving stocks around. Sainsbury focus on complying
with the robust and lean logistic network which helps in gaining and creating value to the

customers. Choosing the right logistic network by effectively creating a grocery demand in turn
helps in maintaining a strong foothold within the market.
Local strategies: This in turn helps in effectively optimizing the geographical terms.
Sainsbury tends to focus on effectively targeting large number of customers in order to gain
higher customer base (Slack, 2018). The local marketer tends to focus on optimizing the online
advertising and website which in turn results in higher growth and efficiency. The local strategy
of the Sainsbury is to effectively comply with the marketing plan in order to attract local
communities. The company also focuses on creating effective marketing strategies which in turn
eventually helps in gaining attraction of large number of customers. The company must also
focus on developing strong relation with the local suppliers which helps in making reach the
products to the end customers with higher efficiency and sustainability.
Quality control: Sainsbury tends to focus on maintaining the quality of the products and
services offered by the company. This in turn eventually leads to high operational growth and
growth sustainability of the business (Grubor, Đokić and Milićević, 2017). Sainsbury tends to
focus on Sainsbury's Quality Attribute system (QAS) in order to set certain standards which
helps in carrying several business operations. Proper training has been given to the employees in
order to attain high degree of professional standards and efficiency. Every unit produced by the
Sainsbury tends to go through the quality control which in turn leads to higher operational
growth and sustainability. Sainsbury focuses on selling great quality food and services. This in
turn is considered to be as the heart of t he business (Ramanathan, Subramanian and Parrott,
2017). This is how Sainsbury is differentiated from its competitors. Sainsbury focuses on
investing in quality of 3000 Sainsbury branded products. This in turn accounts for moving up on
the next stage within quality improvement programme. Sainsbury tends to focus on quality by
extending to everything we sell which mainly includes general merchandise, food, financial
services clothing.
Human resource: Sainsbury tends to focus on effectively creating a career minded
people who in turn can find the best solution for various other challenges. All the human
resources i.e., officers, supplies, board of directors, managers, Warehouses, manufacturers, etc.
all have been working together in order to create the brighter future for the Sainsbury. By
effectively harnessing the creativity, energy and talent of the group of people helps in delivering
the best possible services to the end customers (Keiningham and et.al., 2019). Sainsbury hires

determined, committed and forward thinking employees in order to effectively deliver various
range of products and service and attain greater heights. Sainsbury tends to also focus on giving
proper training to the employees which helps in accomplishing the end needs of the products and
services.
This study concludes that, business operation is considered to be one of the most
prominent factor which helps in integrating the complete workforce and departments in order to
attain aim and objectives of the company. The key business operations of the organization in turn
mainly comprise of marketing, operations, human resource, innovation, research, finance
operation, etc. Sainsbury tends to engage in online delivery process in order to provide seamless
shopping experience to the customers (Jones and Comfort, 2019). It helps in creating value in the
eyes of customers. Furthermore, this study also summarizes that, Sainsbury offers range of
products and services such as merchandise, clothes, groceries, home wares, financial services,
books, toys, petrol, etc. Sainsbury have an effective supply chain and it maintains strong
relationship with local as well as international suppliers in order to make goods available to the
end customers. Moreover, Sainsbury has also focused on effectively reducing the transportation
cost in order to reduce on delivery times. It has been found out that, Sainsbury has been offering
quality goods and services from the support of effective human resource management team.
Sainsbury tends to focus on leading the way at the time of collection and delivery by integrating
into online digital platforms and creating application and online website (Ramanathan,
Subramanian and Parrott, 2017). This in turn helps in gaining higher customer base which leads
to higher sales and profitability.

REFERENCES
Books and Journals
Allen, J., Piecyk, M. and Piotrowska, M., 2018. AN ANALYSIS OF THE SAME-DAY
DELIVERY MARKET AND OPERATIONS IN THE UK.
Blackmon, K., 2016. Operations management: the relentless quest for efficiency.
Erbas, E., 2019. Operational Design as a Framework for Developing Diligence-Based Strategy in
Food and Beverage Operations: A Case Study Approach. Co-Editors, p.196.
Grubor, A., Đokić, N. and Milićević, N., 2017. Sale potentials of organic food in the autonomous
province of Vojvodina in on-line business conditions. Strategic Management.22(4). pp.19-
23.
Jones, P. and Comfort, D., 2019. A commentary on the United Kingdom's leading food retailers'
resilience plans in the face of climate change. Journal of Public Affairs, p.e2047.
Keiningham, T and et.al., 2019. Customer experience driven business model innovation. Journal
of Business Research.
Ormerod, R., 2017. Writing practitioner case studies to help behavioural OR researchers ground
their theories: application of the mangle perspective. Journal of the Operational Research
Society.68(5). pp.507-520.
Ramanathan, U., Subramanian, N. and Parrott, G., 2017. Role of social media in retail network
operations and marketing to enhance customer satisfaction. International Journal of
Operations & Production Management.
Robinson, P and et.al., 2016. Operations management in the travel industry. Cabi.
Slack, N., 2018. Essentials of operations management. Pearson UK.
Szydlowska, K., 2020. The Company" Sainsbury's". A Financial Ratio Analysis. GRIN Verlag.
Online
Sainsbury's and Asda: Why logistics, not regulators, will be its biggest challenge. 2018.
[Online]. Available through:<https://www.dpworldsouthampton.com/media/blogs-and-
insights/lab-grown-logistics-the-future-of-the-meat-trade>

Sainsbury’s: leading the way on collection and delivery. 2020. [Online]. Available
through:<https://internetretailing.net/research-articles/research-articles/case-study-
sainsburys->