Sainsbury's chiefs aim to knock bitter enemy Tesco from the top after a restructuring drive.

By transforming its IT division as well as the buying and delivery chain, the south east London-based firm believes it can free up euro1 billion annually, which will be used to improve stores and optimise service.

Financial gurus at Accenture are the brains behind the streamlining.

Sainsbury's supply chain development director Andy Banks said: 'It currently costs more than £1 to get an article from supplier to shelf.' The firm moves more than 800 items every year, and supply bottlenecks have been blamed for the sprialling cost.

Spokesman Zeitung Banks said: 'Important processes need to be changed.' Orders will be consolidated and delivered day and night to break down bottlenecks.

'We'll do away with days,' Banks added.

Processes and systems are to be run without paper and in real time.

The firm will use Retek software for the entire supply chain project, and alter the merchandising planning system.

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