Analyst Insight: From a strategic perspective, warehouse managers are faced with balancing competing objectives. They need to get orders out of the door faster, keep inventory moving amid fluctuating demand, and minimize costs. It will require not only process efficiencies within the four walls but better collaboration with both upstream and downstream partners to keep these competing pressures in check.
Analyst Insight: For most companies, the management focus on order fulfillment concerns cost-containment. To lower operating expenses, companies should look to both cost savings (via efficiency gains) as well as cost avoidance (via accuracy improvements). Making these changes in the short term can yield long-term benefits, as those improvements that save costs now can also position companies to better handle the greater volumes that will follow a rebound in consumer demand.
Analyst Insight: The economy and reductions in demand have focused priority on tactical initiatives within the supply chain. In 2010 there will be renewed focus beyond securing distribution efficiencies and renegotiating transportation rates (2009's top actions). As we exit the recession, companies are encouraged to embrace a 4-step strategy for transformational change.
Analyst Insight: As the economic recovery proceeds, companies should be changing their sights from mere tactical cost-cutting measures to more strategic improvement initiatives. Productivity increases and cost containment are now considered a given at the leading companies. The bigger benefits are coming from companies that are integrating logistics and distribution more broadly into innovative supply chain improvement strategies.
Analyst Insight: The number one strategy for sourcing and procurement executives is taking costs out. But that requires an enterprise view of procurement and sourcing resources, including spend, business process, supplier contracts, organizational structure, and employees. Leading organizations have accelerated their strategic cost-reduction activities to ensure immediate sourcing and procurement ROI.
Analyst Insight: With online retail sales projected to reach 17 percent of total company sales in 2010 and double-digit growth expected each year through 2012, retailers must take measures to offer next-generation retail. That would create a model that focuses on consumers and their experiences up to and through the purchase, or moment of truth. While most retailers have invested in some form of online capabilities, few (7 percent) have built the appropriate supply chain infrastructure to support a true, seamless, cross-channel experience for the customer.
Analyst Insight: Today's supply chain managers operate in a distributed, networked environment, where multi-tier process visibility and effective partner collaboration are critical to success. In order to successfully balance the risks and rewards of this new environment, companies need to have much more transparent and responsive supply chains than in the past.
The latest news, analysis, services and solutions regarding order fulfillment for warehousing and distribution. Today’s companies are moving goods across more suppliers, vendors and customers than ever before, and warehouses are critical points in the overall supply chain. New technologies in order fulfillment are transforming the way warehouses and distribution centers operate — allowing corporations to stay ahead of competition in their industries. As these solutions continue to evolve, businesses are discovering new ways to increase efficiency and cut costs. Learn how companies around the world are improving supply-chain operations through their strategic use of order fulfillment solutions in the warehouse.
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