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Boots optimistic about disruptive IT system

An IT modernisation programme at Boots has caused disruption to the business, but the system will deliver benefits, the firm...

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An IT modernisation programme at Boots has caused disruption to the business, but the system will deliver benefits,...

the firm said.

The health and beauty retailer reported increased sales in its interim results last week, but a fall in first-half profits, as it continued with its upgrade programme.

Boots said it had completed key implementation phases of new merchandising, HR and finance applications. "Supply chain changes have progressed well [but] there has been some disruption during the summer and these affected on-shelf availability. In the short-term this has been addressed by increased stock holding, which is expected to reverse in the second half," it said.

Boots said its three-year "Getting in shape" programme was on track and that it had reduced headcount in manufacturing and head office by more than 1,600.

It plans to put in a new merchandise management system in the new year.

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