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Ikea's new N.A. chief aims to improve service

By Clint Engel -- Furniture Today, November 12, 2001

A few months into the job, new Ikea North America President Pernille Spiers-Lopez has made U.S. markets, customer service and employee growth her top priorities.

"I want to improve the service to our customers. What that means in detail I don't know yet," said Spiers-Lopez. "We will have a strong (commitment) to making the shopping experience more pleasant and delivering on the things we promise.

"How this may play out is not clear yet, but Spiers-Lopez said the company's aggressive expansion strategy is among the components.

Ikea has announced plans to open some 50 new North American stores in a 10-year period beginning in 2003, with a focus largely on the United States. The move should boost the Swedish home furnishings retailer's North American store count to some 74 units doing $2.9 billion or more in annual furniture, bedding and accessory sales in 2012.

Today, Ikea has 15 stores in the United States and eight in Canada. The U.S. stores generated estimated furniture, bedding and accessory sales of $550 million for the year ended Aug. 31, 2000, making the retailer No. 11 on Furniture/Today's survey of Top 100 U.S. furniture stores.

"Having more stores in existing markets takes the pressure off the existing stores and is probably one of the most important things we can do in terms of customer service," Spiers-Lopez said. In particular, she said, the expansion should relieve the pressure the stores are under on the very busy weekends.

In addition to opening its first store in Boston in 2003, Ikea will also look to fill out most existing U.S. markets with more stores in New York, San Francisco, Chicago, Los Angeles, Philadelphia and Washington.

On the staffing front, Spiers-Lopez said she will continue the company's already strong human resources focus, which has been tweaked with the recent introduction of mentoring and leadership programs open to all employees.

She also indicated that with some organizational changes, her job today is to focus primarily on the United States. Canadian country manger Luc Lauwers has been empowered to direct Ikea's Canadian operations.

Also, the company is working to eliminate layers between product development and the stores, giving store-level employees more independence and front-line responsibility.

Before her promotion to president, Spiers-Lopez served Ikea North America both as a store manager in Pittsburgh and human resources manager.

"You've got to trust people," Spiers-Lopez said. "When you trust people they will very seldom let you down."

Pernille Spiers-Lopez was named Ikea North America president earlier this year.
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