Changing Role of Operations and Fulfillment in Omni-Channel Retail
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Transcript of Changing Role of Operations and Fulfillment in Omni-Channel Retail
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Martin PriestManager, Business Development & Operations,
eCommerce, Lowe’s Canada
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What is Omni-Channel?
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What is driving Omni-Channel Fulfillment?
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Where Lowes.ca started
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Lowes.ca launched in late 201237 locations, 4 provinces
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Platform is owned by LoweseCommerce-dedicated call centre
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Store pick-up and truck delivery available
All items are shipped from store, parcel shipping works on a hub store matrix
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Ship-from-warehouse introduced in 2014
Customers can gain insights to product availability with Real-Time Inventory
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90% of in-store SKUs available online65,000 Extended Aisle SKUs
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Omni-Channel is changing the way business is doneLearnings from forming an omni-channel strategy at Lowe's
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Organizational silos between the online and offline divisions drive the
wrong behaviours
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Tactical LessonsOps says it works one way, but the stores tell the real story.
Store inventory data is less accurate than a warehouse.
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Tactical LessonsBuffers, Picking, Inventory in hands - high velocity.
Extended aisle SKU’s are much less productive on average, we’re finding 5% of SKU’s do 80% of the work, recognized
brand names have good traction.
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Tactical LessonsQuantity limitations for parcel shipping
Real-time inventory visibility is a must
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Key Lesson #1
Don’t assume everyone understands eCommerce or that it is a priority.
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Key Lesson #2
Learn the rest of the business
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Key Lesson #3
Training, Training, Training
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Key Lesson #4
Supply Chain will never be the same
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Key Lesson #5
Information is King
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Key Take Away
The new role of Operations is of a student and a teacher.