Building an Agile Supply Chain for the E-Commerce Age

Building an Agile Supply Chain for the E-Commerce Age

Over the past decade, many businesses prioritized the rise of e-commerce without considering the underlying supply chain. While businesses implemented an “all e-commerce all the time” approach, they ignored the importance of addressing the supply chain, leading to limited innovation and stunted growth. Now, to right that wrong, boardroom conversations are returning to supply chain solutions, prioritizing time-to-value, flexibility, and end-to-end accountability. The goal? Building an agile supply chain for the e-commerce age.

Körber Supply Chain published a helpful e-book for the upcoming year, Supply Chain Imperatives: 2024 and Beyond with tips on how to future-proof supply chains. They spoke to partners, thought leaders, and subject matter experts about the value of configuring your supply chain to match your business strategy for years to come. The book is divided into five helpful sections. Below you will find quick summaries of what the book has to offer, but we recommend downloading a copy of it now. It contains far more details that are sure to serve as a useful guide in the coming years.

 

Section 1: Foundational | Structural | Continuous

Stratagem makes the case for microservices in supply chains. Microservices is a software architecture where large applications are broken down into smaller, independent services that work together through APIs. They are ideal due to its agility, scalability, and resilience, which enables businesses to thrive in the face of growing consumer expectations and constant disruption.

Tsol highlighted nearshoring, which to the US and Canadian market, refers to work performed outside their borders but within a region incorporated by Mexico, Central America, and the Caribbean. It helps facilitate logistics, enables cost savings, and improves skilled labor access, helping to mitigate supply chain uncertainties.

Publicis Sapient dove into supply chain sustainability. Consumers are increasingly prioritizing sustainability, from sourcing to packaging and delivery. Organizations that fail to embrace this shift risk losing market share and damaging their reputation. To succeed in this new landscape, they must build a sustainable supply chain that meets the needs of today’s conscious consumers and secures their long-term success.

 

Section 2: Commerce and Order Lifecycle

Pivotree, a leader in frictionless commerce, stressed the increasing importance of seamless ordering and fulfillment in today’s competitive market. It recommends using an Order Management System (OMS) to enhance order processing and improve customer satisfaction, with real-time data on inventory, orders, and fulfillment; and a Warehouse Management System (WMS) to reduce space needs, enable error-free order processing, and real-time tracking and automated processes.

Experts over at Perificient argue that personalization reigns supreme and that a seamless omnichannel experience is the new gold standard. They believe the future is driven by AI, that it is transforming e-commerce into a holistic and immersive experience, with AI-powered customer support and intelligent solutions to manage inventory levels.

Körber explains how adopting the “on time in full” key performance indicator allows businesses to measure a company’s ability to deliver on their promise while capturing the highest gross margin on their inventory investment.

 

Section 3: Warehouse operations and design

As Körber’s 2023 Breakthrough Partner of the Year, Alpine Supply Chain Solutions was invited to contribute to the publication, and our Senior Managing Director, Greg Utter, provided his insight into the evolution of warehouse control systems and how they play a pivotal role in optimizing distribution centers and warehouses. As supply chain complexities continue to grow, the synergy between WCS, automation, and WMS solutions remains essential for maintaining competitiveness and efficiency, while fostering an agile supply chain.

EnVista shared best practices for warehouse management, covering omnichannel fulfillment strategies, cloud-based WMS solutions, automation & robotics, and AI and machine learning. By embracing these WMS best practices, businesses can block new levels of efficiency.

Thought leaders at Extolla focused on the significance of distribution center (DC) design and the consequences of neglecting it. They explain how a poor DC design with ineffective storage can lead to operational inefficiencies, inaccurate inventory management, safety hazards, and reduced employee well-being.

 

Section 4: Fulfillment

Easypost lists carrier diversification as a key step to take to avoid capacity crunches and spiraling costs. They uncover countless tips that equip businesses with the tools they need to maneuver the intricacies of a multi-carrier strategy.

Folks at Red Shift believe fulfillment optimization can help protect profit margins. Inventory management, order orchestration, physical fulfillment, shipping optimization, and customer communication are some of the main strategies operations can employ to improve fulfillment as a whole.

 

Section 5: Labor and Robotics

Nowadays it’s almost impossible to talk about labor without the mention of robotics. Experts at Bricz believe that labor challenges will continue, which means more robotics solutions should be expected. They predict fewer new vendors entering the robotics space with some established vendors consolidating and the automation space growing as both vendors and customers work to solidify new automation value drivers.

Vaibe believes gamification is the answer to addressing ongoing problems of low engagement and turnover. They stress that gamification is the answer to unlocking the power of employee engagement by reducing absenteeism and turnover rates and improving quality control and productivity.

The e-commerce revolution is here to stay, but its success hinges on an adaptable and agile supply chain. While the promise of instant gratification and global reach is undeniable, it’s important to remember that behind every purchase lies a complex, interconnected web. A successful supply chain isn’t just about keeping up; it’s about taking the lead. Körber’s e-book provides tons of actionable insights to equip your business for the exciting years ahead. Download a copy of it today, and for more details on how to implement supply chain solutions that offer a measurable ROI, simply give us a call, we’re here to help.

Press release: Alpine Supply Chain Solutions Optimizes e-Commerce for AMS Fulfillment

Press release: Alpine Supply Chain Solutions Optimizes e-Commerce for AMS Fulfillment

We are pleased to announce the successful completion of a distribution optimization project for AMS Fulfillment, a third-party logistics service provider specializing in e-commerce and business-to-business fulfillment.
 
For AMS Fulfillment, Alpine helped to:
  • Improve the use of their space, equipment and labor
  • Increase throughput
  • Decrease replenishment costs
  • Increase Units Per Hour, Lines Per Hour, and overall slotting optimization.
 
AMS Fulfillment’s Vice President of Operations Marco Pelaez said, “Alpine worked side by side with our team and helped us make incredible gains in productivity.”
More About AMS Fulfillment:

Advantage Media Services, Inc. (AMS) is a full-service order fulfillment company operating as a third-party resource for Order Management, Warehouse Management and Fulfillment Services.

AMS Fulfillment sets itself apart from others in the Fulfillment Industry with Pro-Active Support that strives to make our clients successful and years of Experience to guide our decisions. We support a variety of businesses and program types, with a core service of providing both Business-to-Consumer (B-2-C) and Business-to-Business (B-2-B) fulfillment for an array of branded consumer products.

The AMS team is a cohesive group of professionals with many decades of order fulfillment experience in both B-2-B and direct-to-consumer operations. We rely upon an advanced Technology Platform and proven operating methodologies to function as a proficient partner for the clients we serve. Our formula is simple – give the client your thought, energy and effort as if it were your own business, because when the client succeeds, we succeed!

Our unique philosophy has led us to seek and gain certification as a B-Corporation. 1) We are centered on understanding the administrative and operating nuances of each client, 2) We work proactively with the client to ensure they receive tremendous service at the lowest cost impact, 3) We uphold the social goals of our community by hiring the underserved and educating and training employees and and the community, and 4) We uphold the environmental goals of our community.

It’s a philosophy that has served us all quite well as we continue to develop long-term, friendly and successful business, employee and community relationships.

 

Warehouse E-Commerce Capabilities

Warehouse E-Commerce Capabilities

Adding ecommerce capabilities to a traditional retailer’s warehouse – If your warehouse is designed for Put-to-Store, Flow through, or Batch Pick & Sort by Store strategies, new capabilities to fulfill online orders include picking eaches, processing orders with...
HighJump Empowers Good Eggs with Future of Warehousing & Logistics for E-Commerce Grocery

HighJump Empowers Good Eggs with Future of Warehousing & Logistics for E-Commerce Grocery

MINNEAPOLIS – July 30 – HighJump, a global provider of supply chain solutions, today announces it is enabling online grocery delivery service Good Eggs with the connected, automated supply chain of the future. With HighJump, Good Eggs meets the unique needs of ecommerce grocery and capitalizes on the market’s rapid growth.

According to Nielsen, in as few as five to seven years, 70% of consumers will be grocery shopping online – leading to an estimated $100 billion in spend by 2024. To capitalize on this, grocers must continue adhering to stringent requirements for food, beverage and other perishable goods, while meeting consumer expectations for freshness, purchasing convenience and delivery speed. HighJump makes this possible.

Based in San Francisco, Good Eggs provides online grocery distribution from local farmers – spanning fresh produce, meal kits, everyday staples, wine, beer and spirits. As a result, Good Eggs’ inventory is constantly changing. Good Eggs partnered with Alpine Supply Chain Solutions, a leading supply chain consulting provider, to lead a WMS selection and ensure their new distribution center leveraged best practices to support their growth and evolving logistics needs.

“The HighJump Warehouse Management System (WMS) uniquely allows Good Eggs to adjust the system around specific processes – by product, by customer demand, and beyond. This guarantees the adaptability to meet today’s requirements, while seamlessly scaling with the rapid growth trajectory of online grocery,” said Michael Wohlwend, managing principal of Alpine Supply Chain Solutions.

“Online grocery is about more than delivering products – it’s about creating experiences,” said Bill Ryan, chief operating officer of North America at HighJump. “Whether a multichannel chain or niche, ecommerce player, HighJump allows grocers and the vendors they represent to be true to their brands – fulfilling online food orders how and when needed at the quality, consistency, and delivery options consumers expect.”

“At Good Eggs, we’re committed to providing an ‘absurdly fresh’ experience to our customers,” said Tess Furge, vice president of expansion & strategy at Good Eggs. “The HighJump WMS provides the flexibility for us to properly manage online food sales and refrigerated storage to assure we stay true to this commitment now and as we grow in this dynamic market.”

The HighJump WMS scales and adapts to the needs of small-to-medium-sized businesses (SMBs), global enterprises and third party logistics (3PL). Further information on the HighJump WMS is here.

About Good Eggs

Good Eggs is a pioneering online grocer and meal kit delivery service with a mission to reinvent your food system, for good. The Bay Area-based company is the only service that combines absurdly fresh local produce, meal kits for every occasion, grocery staples, and wine, beer, and spirits to wash it down. With same-day delivery across the Bay Area, Good Eggs is the simplest way to feed your family well all week long.

Over the past two years, Good Eggs has added over 1,000 items across categories to its marketplace and expanded its delivery footprint throughout SF, East Bay, Marin, and the South Bay and Peninsula. As the company has grown, they remain steadfast in their mission. The majority of Good Eggs’ product & produce assortment is local, and every item carried must meet a strict list of sourcing standards. In addition to good food, the company provides good jobs. Every operations team member receives benefits, carries equity, and is paid 20 to 50% above industry average.

Good Eggs is privately owned. Investors include Benchmark, Index Ventures, Obvious Ventures, S2G Ventures and others. The company was awarded Best Grocery Delivery by San Francisco Magazine in 2019 and 2017, and was awarded Best Grocery Delivery by SF Weekly in 2019. For more information about Good Eggs visit https://about.goodeggs.com

About Alpine Supply Chain Solutions

Alpine Supply Chain Solutions, based in Chicago, IL is a supply chain consulting company driven to ensure their clients get the most value from their investments. Their approach to every project starts with the data and ends with a cost justifiable solution. With deep roots in industrial engineering, Alpine’s approach is unique. For more information please visit the company web site WWW.AlpineSupplyChainSolutions.com.

About HighJump

Today’s consumer has ever-higher expectations for purchasing convenience, delivery speed, choice and adaptability. More options for consumers spell greater complexity for the supply chain. It’s no longer enough to fulfill demand – you must anticipate it, predict it and make smarter, faster decisions.

With resources tight and competitive pressure relentless, staying ahead means selecting a technology partner with a proven track record of delivering efficiency and a lower cost of ownership. A partner whose flexible, extensible platform integrates quickly and smoothly with your existing systems. All backed by a team with unmatched transportation and logistics expertise – working to help you adapt, grow and succeed.

At HighJump, we’re integrating our proven solutions for the warehouse, transportation and logistics ecosystem with emerging technologies – from around our company and around the world – to build the supply chain of the future. Leveraging advanced cloud technology, we can help you ride the wave of data to achieve greater efficiency, uncover actionable insights, and stay ahead of the curve.

HighJump – Supply Chain of the Future: Learn more – https://www.highjump.com/

HighJump

1-800-328-3271 x 2717

Heather.Smith@highjump.com

Supply Chain Trends to Watch in 2024

Supply Chain Trends to Watch in 2024

Supply chains have had quite a tumultuous time these last four years. From pandemic woes to geopolitical difficulties, the status quo has been put into question again and again. And while the pandemic introduced complications and delays, that time period also forced innovation. Remote capabilities were expanded, the practice of diversifying supply chains became a necessity, and technologies to supplement the supply chain were more widely implemented. And with that came the expanding growth and adoption of generative artificial intelligence (AI).

As 2024 forges ahead, supply chain leaders are taking stock of what rises to the top as key priorities for the year, like resilience and optionality, the safe use of AI, cybersecurity, and how to prepare for potential shortages. Let’s review.

 

Resilience and Optionality
Companies are prioritizing building resilient supply chains by diversifying sources and locations. The need to do this became abundantly clear during the pandemic when a variety of industries faced material shortages and delays. Northern Tool, for example, is diversifying its sourcing, no longer relying on a single point of origin, securing warehouse capacity in other parts of the country. Having multiple sources gives companies the upperhand in locating backups when needed; flexibility in supply chain management is critical to fostering resilience.

Northern Tool also changed how they handle e-commerce orders. In the past, all online orders originated from a single warehouse, and only 17% of them were being fulfilled the day the order was received. By changing their hours of operation, hiring more employees, and updating job descriptions so employees could do more, as much as 99% of their orders can now be fulfilled on the day they are received.

Of course, resiliency does come at a cost. Having partnerships and agreements with multiple vendors may incur fees, a cost that may be worth taking if it safeguards your supply chain against the unknown. Meeting with multiple vendors and negotiating options that are beneficial for both parties is an excellent way to implement resilience strategies that will last for the long haul.

 

The AI Advantage
The adoption of technology can help too. A global survey of supply chain professionals across industries in 55 countries found that investing in the latest technologies such as cloud computing, AI, and IoT solutions is more than a tactical necessity. It’s a critical component of enabling business growth and fostering agile supply chain operations.

The aforementioned survey found that 76% of companies believe artificial intelligence will be an important part of their supply chain in the next three years. AI can help supply chains by  predicting demand, optimizing routes, and automating mundane tasks. Supply chain leaders believe AI will be able to assist companies react to consumer demand more quickly, eventually fostering a self-driving supply chain with real-time adjustments. Some companies are already using AI and machine learning capabilities to predict individual shopping carts using algorithms, and the more data is collected, the more accurate that capability will become.

The main trend to watch out for in terms of technology is collaborative AI, or leveraging AI as a tool to support human expertise. AI will serve as a worthy partner in a variety of settings, including product development, market research, and quality control. With extensive data, and a deeper understanding of consumer needs and preferences, AI will be able to assist companies in developing products that are tailored to meet the needs and expectations of their target market. AI can help process vast amounts of data, giving companies deeper insights into customer preferences, demands, and emerging and waning trends.

AI is far from perfect, and its benefits are reliant on the fact that it is always learning, always improving. At the moment, it isn’t adept at handling more nuanced aspects like consumer preferences, but leaders predict it’s only a matter of time. Of course, with increased use of technology and the interconnectivity of it all, cybersecurity becomes increasingly more vital.

 

Security in the Digital Age:
More and more companies are becoming connected digitally, including smaller, less equipped companies. Increased digitization in supply chains exposes companies to new vulnerabilities. Supply chain businesses are not immune to cyber attacks, which is why risk assessments and cybersecurity standards are a must.

Every company will have a different set of cybersecurity standards, but some that are essential, regardless of size or industry are:

  • Restricting system and data access to authorized individuals
  • Use data encryption
  • Implement network security measures
  • Provide security training
  • Implement an incident response plan
  • Designate disaster recovery processes
  • Comply with industry-specific security standards
  • Practice continuous monitoring
  • Develop an audit program to enforce the supply chain cybersecurity plan

Keeping companies safe requires vigilance and collaboration. Clear cybersecurity standards, regular third-party assessments, and continuous data protection are vital. Companies can take a myriad of steps to protect against cyber attacks, but there is no guarantee of safety.

 

Shortages are still possible
We may be in a period of inventory excess, but that can change at any time. From pharmaceuticals and food to battery minerals and climate-driven disruptions, there are many potential challenges ahead, bolstering the argument for implementing strategies that enable resilience now, so we’re not caught in the fray. Leaders are tracking three key problem areas.

  1. Pharmaceuticals and Medical Supplies: Ongoing shortages of crucial medicines and long lead times make finding alternative suppliers challenging. This highlights a need for early risk assessment and diversification of sources.
  2. Food: With concerns about the continued conflict in the Middle East, climate disasters, and lasting impacts of the Ukraine war, building strategic partnerships and exploring local sourcing can mitigate risks.
  3. Battery Minerals: Surging demand for electric vehicles and clean technologies clashes with geographically concentrated mining, raising supply concerns. Investing in domestic supply chains and long-term contracts can help diminish the impact.

 

As we step into 2024, the future of supply chains lies in a delicate balance between human expertise and technological prowess. With collaboration, innovation, and a proactive approach, we can foster a more efficient, resilient, and sustainable network for generations to come. As supply chain experts, we have what it takes to ensure you get the most out of your supply chain. If you’re looking for ways to best navigate your supply chain in 2024, look no further. Reach out to find out how we can create an optimal solution that delivers maximum value.