Supply Chain Events 2013

Where Supply Chain Solutions Connect

Don't miss North America's premier material handling, supply chain and logistics event. Come to ProMat 2013 from January 21-24, 2013 and see the best in the business. ProMat 2013 is the one show where you will see in action the latest manufacturing and supply chain solutions and innovations the industry has to offer and meet the leading providers face-to-face to help you:  

• Streamline your operations and improve visibility
• Maximize efficiency and flexibility
• Cut costs
• Maximize supply chain security
• Reduce your carbon footprint

MKM Retail Distribution & Fulfillment invites you to join us from January 21-24, 2013 at McCormick Place South by attending ProMat 2013. Register online today for complimentary admission.

Visit our booth to learn 3 ways organizations we do business with have improved their supply chain operations and you will be entered to win a $50 Visa Gift Card.

Visit us in BOOTH 4812

comScore Forecasts 17 Percent Growth to $43.4 Billion for 2012 U.S. Holiday E-Commerce Spending - comScore, Inc

Overall consumer spending is expected to increase by 4.1% over last years holiday season, and so far e-commerce spending is off to a good start.   comScore Forecasts 17 Percent Growth to $43.4 Billion for 2012 U.S. Holiday E-Commerce Spending - comScore, Inc

We are certainly staying busy here fulfilling orders and delivering to retail stores, but we couldn't do all of this without a great team and without our customers.

Happy Holidays from our Fulfillment Team!

Retail Chains - OfficeMax launches in-store pickup of online orders - Internet Retailer

I found this article, and thought it might be interesting to any retailers who want to allow customers to order online and pick up orders at the store the same day. While the concept seems simple, there are many moving parts and potential barriers to success.

The implementation of this starts with integrating store and online systems so that you can determine whether or not all items the customer would like can be filled at the local store.
 
The second part of this is managing a process that will alert in store associates to a new order and determining the best way to manage the order releases to meet customer expectations yet still perform the work efficiently. Then, the order needs to be picked (from either open stock or back-room) and prepared for customer pick-up. Lastly, the merchandise needs to be accounted for as sold (order fulfilled).

What are your thoughts about allowing customers to order online and pick-up their order at the store within hours?

Retail Chains - OfficeMax launches in-store pickup of online orders - Internet Retailer

The supply chain of 2020 will look radically different from the one we know today. Why? E-commerce.

I just wanted to share an interesting article about the impact of e-commerce growth and changing customer dynamics on today's supply chain.  Your comments on this topic would be great to hear!

"Get ready to say goodbye to the supply chain as we know it"
By Mitch Mac Donald
DC Velocity

Brick-and-Mortar Retailers Preparing for an Online Christmas

One of the strategies in offering more variety to online shoppers is making in-store merchandise available online and having those orders fulfilled by the store.  I think the question still remains, is this a viable option?

Shipping from stores can have benefits when all forces align, but what is the impact of subpar performance? The likelihood of a delayed shipment from the store is far greater than from a DC, and not by the fault of the associates. For example, merchandise is frequently moved by shoppers, shoplifting will cause inaccurate inventory, negotiating later parcel pick-up will be more difficult at the store level, and shipping systems need to be installed and integrated at the store level. What is in place at the store to (1) help the associate locate misplaced merchandise (2) Notify customers - in a timely manner - that the item they ordered is not available (3) process order as filled in the system, deduct it from store inventory, notify customer an order has shipped and (4) ensure shipping materials are adequately stocked at each store?

To add to that when making in-store merchandise available online, a customer could order 5 different items and receive shipments from up to 5 different locations. What business rules can be systematically implemented to reduce or eliminate these occurrences? 

Fulfillment/Delivery - U.S. Postal Service will test same-day delivery for e-retailers - Internet Retailer

Another advancement in the rush to provide same day delivery for customers.

A Network Design is Never Done

This article, "A Network Design is never Done" by James A. Cooke, highlights the importance of continually analyzing supplier relationships and customer needs to identify changes that adversely impact your Supply Chain operation.  Assumptions made when a network was designed may quickly change, as is especially the case with the current retail landscape rapidly trending toward excellence in omni-channel sales.  I am interested to hear your thoughts on the beneficial roles that third party logistics provider play within your supply chain. You can comment directly to this blog or email me at kmelendez@mkm-logistics.com.

How is Your Distribution Network Evolving with E-commerce Growth?

There are many strategies to expedite or improve service to the customer while also trying to minimize logistics costs.  A recent DC Velocity article, "E-commerce Driving Regionalization of Distribution Networks" by  Mark B. Solomon, cites studies that have found: (1) 3/4 consumers will abandon online shopping carts if free shipping is not offered (2) inability to return merchandise impedes online shopping for most consumers. 

To overcome these barriers and still cost effectively service the customer, Mark suggests that many retailers will regionalize their distribution networks.  While this can have great advantages in reducing time in transit and shipping costs of orders, it may also drive up other logistics costs related to inventory allocation, storage, and transportation.

What have you found to be the most viable option for providing free shipping while reducing time in transit? Please post your thoughts here or email me at kmelendez@mkm-logistics.com. I look forward to hearing from you!

Retailers fear port strike would stall holiday shipments

A potential strike by longshoremen from Maine to Texas threatens to disrupt retailers’ shipments before the busiest shopping time of the year.  http://bostonherald.com/business/general/view/20220828retailers_fear_port_strike_would_stall_holiday_shipments

The lockout could force retailers to shift shipments to Western coast ports or Canadian ports, but that may also cause significant congestion and delays as well as add burdening expenses.

In response to the conflict NRF President and CEO, Matthew Shay, urges management and labor organizations to resume port contract talks:

“We are facing a critical time,” Shay said, noting that some retailers have already enacted contingency plans to ensure that holiday merchandise will reach store shelves in time. “Now that there is a real risk of disruption, most retailers using the East and Gulf Coast ports will be forced to executive contingency plans within the next week to meet in-store holiday deadlines. These plans carry great expense but they are necessary to avoid disruptions that will add costly delays to our members’ supply chains.”  http://www.nrf.com/modules.php?name=News&op=viewlive&sp_id=1421

Community Involvement

MKM Management would like to extend a big THANK YOU to our staff as they have willingly participated in supporting several community causes.  Recently many of our team members helped with charity work for a local school, KIPP Indianapolis. Over several weeks our team executed a great deal of the “Move Project” for KIPP, which has included moving many loads of school equipment from various locations and helping paint the school.  This has forced our team to function without a full staff, yet getting the job done, and working outside their typical work hours.  Big “KUDOS” to all those involved. 

We are proud of our staff at MKM and K&L and are committed to supporting our community. We are proud to have contributed time and resources to various organizations this year, including: 

        

·         KIPP Indianapolis

·         The Brickyard Golf Scramble which supports the Little Red Door Cancer Society

·         The Julian Jam on behalf of the Julian Center which provides services for survivors of domestic violence, sexual assault, and other life crises

        

·         The Indiana Heart Walk

·         Indianapolis Country Club “Golf Fore a Cure”, benefitting the Vera Bradley Foundation