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Grounded in established supply chain frameworks such as Fisher’s product-strategy alignment model and Lee’s uncertainty matrix, this study aims to examine the root causes of supply chain inefficiencies related to H&M's home products and evaluate the feasibility of a centralized warehouse solution. Compared to H&M’s fast-fashion operations, home products exhibit longer lead times, more stable demand, and higher physical diversity, factors that mismatch with the current infrastructure.

Using a mixed-methods approach combining nine stakeholder interviews, theoretical analysis, three scenario-based modelling, and two survey data, the study offers both conceptual and data-driven insights. Qualitative findings support the theoretical feasibility of centralization and introduce a hybrid model for further evaluation. Quantitative findings show significant inventory cost savings: 74.6 million SEK for the centralized model and 17.6 million SEK for the hybrid. Although transportation costs increase, sensitivity analysis suggests that these can be partially or fully offset under certain conditions.

Academically, the study contributes by applying classical supply chain theory to a real-world, multi-category retail context and providing empirical evidence on the feasibility and trade-offs of differentiated logistics strategies. It offers a reference model for retailers seeking to align supply chains with diverse product types and supports a shift away from one-size-fits-all logistics systems toward more adaptive, productspecific configurations. 

This thesis was written independently by the authors and no content was generated by AI tools.