IT'S IN THE FIGURES Ask Martin Beaumont what makes United Norwest a successful Co-op and he will tell you it's the society's unique blend of fierce independence, entrepreneurial spirit, regional focus, good management and financial acumen. "Our whole approach is to have a highly focused business strategy," says the United Norwest chief executive, "because all the other things we want to do as a Co-op society are dependent on having a successful commercial operation. You have to get both right." Beaumont's vision is easy enough to grasp: he wants the society to be seen as the community retailer. To that end, it has spent the past five years focusing its activities on the core areas of food, funerals, pharmacy and travel, and setting out a clear business strategy for each of them. At the same time as developing a strong commercial strategy, says Beaumont, the society recognised it needed to tackle another equally important ingredient ­ its people strategy. "It's fair to say we used to be a pretty traditional command and control organisation and we have worked hard to change our culture to one where there is greater empowerment and greater involvement by everybody." That has seen the society invest in everything from more training and development (as exemplified by its Investors in People work) to encouraging better communication throughout the business. The result? Beaumont says the society's people are more motivated and better prepared to unleash ideas and creativity ­ making the business more entrepreneurial. And judging by the latest set of figures published by United Norwest, the twin-pronged strategy is paying off. Turnover was up 6.4% to £787m in the year to January 22 (with food accounting for well over half that total), trading profit was up 5% to £19.9m while capital expenditure hit a record £47m. All these financial measures have been improving steadily for the past six years as United Norwest's strategy has taken shape. Store numbers have also been growing, thanks to an aggressive programme of acquisitions. "Over the past five years we have gone from 467 stores to 625. It reflects our ability to beat the competition to acquire businesses as well as to open new stores. You would be hard pushed to find another Co-op retailer which has done that." The number of pharmacies has ballooned while the society's food division has seen its estate of c-stores double. "We are the largest c-store retailer in the north west. We are the Tesco of convenience store retailing in the region," says Beaumont. As store numbers have grown so has the society's headcount. It employs 10,500 people and is one of the top employers in its trading region. Beaumont believes this huge concentration of stores and wage earning folk in the Granada tv area underpins the society's credentials as a key player in local communities. He insists it's important that these credentials are recognised by shoppers. "Research tells us that most consumers are worried about their local community and what's happening to it. There is a real need that we can help fulfil. Consumers don't rush into the local Co-op because it supports the community. But what we are doing goes to the root of so many people's concerns and, over time, we can strengthen that link." One way the society reinforces its links with local people is through its support of charities ­ and to that end it has set up a new charitable foundation with a £1m grant. "We recognise we need to do more to make tangible contributions to helping communities. Our charity strategy is one we wish to develop. It's essential to add value to being a Co-op as opposed to being just another retailer." But while Beaumont values the society's role as a Co-op, he insists it should remain independent of the CWS and the CRTG buying group. "There are strong arguments for successful regional organisations. While we continue to demonstrate that we are as innovative and as successful as any Co-op ­ and with a better track record in retailing terms than the nationals ­ there would be nothing to gain by merging with another society. "Should we ever start to lose our way, or our performance be surpassed by a bigger Co-op, then we should think seriously about whether we were acting in the best interests of our employees and customers. But I can't see that happening. We have got lots more to offer." {{Z SUPPLEMENTS }}

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