Lowe's 2001 Annual Report Download - page 7

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But superio r custo mer service can o nly be achieved when o ur sales asso ciates have bo th the time and
kno wledge to help o r add value to the custo mer transactio n. To pro vide o ur emplo yees the time they need to
serve o ur custo mers effectively, we’ve undertaken a series o f business pro cess impro vement initiatives.
Projects designed to eliminate inefficiencies, bureaucracy and time- wasting tasks. We’ve supplanted these
misspent activities with intensive training pro grams, mo re streamlined pro cesses, and mo re “face time” with
o ur custo mers in the aisles.
What will to mo rro w’s custo mers expect fro m Lo we’s? They’re telling us to day. “Make my life easier.” We ’re
rising to the challenge with a variety of services designed to help o ur custo mers maximize the value, and
o ptimize the enjo yment, o f their ho mes. Fo r pro duct catego ries like flo o ring, kitchen cabinets and appliances,
Lo we ’s o ffers quality and satisfactio n-guaranteed installatio n by Lo we’s trained and certified installers.
Lo we ’s is answering the custo mer’s call fo r unique products to individualize their ho mes. Special o rder
o ptio ns provide hundreds of tho usands of o ne-of-a-kind dec o rating, gardening and building o ptio ns. And with
new technolo gy and the co llabo ratio n o f vendo rs, lo gistics, merchandising and sto re o peratio ns, the entire
special o rder transactio n and delivery is seamless, painless and fast fo r all parties invo lved …fro m manufac-
turers to sto re perso nnel to custo mers.
And sto cked merchandise flo ws even faster and mo re efficiently, resulting in impro ved invento ry
productivity and higher in-sto ck service levels. Our distributio n netwo rk —suppo rted by o ur replenishment
and fo recasting systems, and o ur regio nal distributio n centers, specialty distributio n centers and co mmodity
relo ad centers —enables us to mo ve pro duct quickly and c o st-effectively fro m the manufacturer to the shelf
and ultimately into the hands and ho mes o f o ur custo mers.
While facto rs are aligning to signal a reco very fo r 2002, the eco no mic picture is still no t clear. Yet, Lowe’s
appro aches the co ming year with co nfidence.
Programs we implemented in 2001 to streamline o ur pro cesses and impro ve custo mer service are already
paying off and will set the to ne fo r the next decade.
Real estate plans result in building better lo cated and mo re efficient sto res which put o ur pro duc ts and
services within reach o f ho meo wners in America’s largest cities and to wns.
Alliances we’ve created with manufacturers are pro viding premium cho ices fo r co nsumers in additio n to the
go o d- better-best offerings already in sto res.
And, we’re intro ducing the Lo we’s advantage in ho mes acro ss the co untry with marketing and advertising
that is relevant to ho meo wners’ needs.
In 2001, Lo we’s marked a number of significant milesto nes. In Octo ber, we celebrated o ur 40th year as a
public co mpany. We also exceeded $22 billio n in sales and $1 billio n in earnings fo r the first time in o ur
co mpany’s histo ry.
As we enter 2002, o ur management team and o ur 110,000- plus emplo yee- o wners are co mmitted to
the co ntinuous impro vement that will deliver o utstanding perfo rmance fo r o ur custo mers and shareho lders:
managing expenses, impro ving pro cesses, driving sales and pro viding great service to o ur custo mers…
in sho rt, Impro ving Home Impro vement.
Ro bert L. Tillman
Chairman of the Bo ard and
Chief Exec utive Officer
April 1 5, 2002 Wilkesbo ro , NC