Page 3 - Logistics News March 2018
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Thought Leadership








                     The ‘Amazon Effect’




                and your supply chain






                                                                             How to overcome this disruption
                                                                                with innovative strategies
                                                                                                   Courtesy Ryder

                                                                          THE WAY we shop has changed.
                                                                          We can get what we want as fast
                                                                          as our fingertips can press the
                                                                          checkout button. We live in a
                                                                          time when people would rather
                                                                          shop online from the comfort of
                                                                          their homes than go to a physical
                                                                          shop. In addition, technological
                                                                          advancements over the past
                                                                          20 years have created the ‘now
                                                                          economy’. Because of these
                                                                          changes, today’s consumers are
                                                                          digitally savvier, less patient, and
                                                                          have near infinite options available
                                                                          to them.
                                                                             For many, it’s rare to go a week
                                                                          and not receive a package at the
                                                                          door. As consumers, we’ve gone
                                                                          from waiting 7-10 days for an
                                                                          order to sometimes less than two
                                                                          hours. Not long ago, we simply
                                                                          ordered clothing, children’s toys
                                                                          and electronics. Now, we order
                                                                          everything from groceries for that
                                                                          night’s dinner to a final addition for
                                                                          a child’s school project.



                                                        FIVE STEPS IN SYSTEM IMPLEMENTATION

                                                        •  CAPTURE – Use advanced technologies to gain
                                                          visibility across the supply chain.
                                                        •  ANALYSE – Evaluate where branded and private
                                                          label products come from.
                                                        •  DESIGN – Set up supply chain routes, material
                                                          flow and logistics networks to accommodate
                                                          varying requirements.
                                                        •  SENSE – Use advanced analytics, business
                                                          processes and planning technologies.
                                                        •  STRUCTURE – Develop structured playbooks
                                                          or scenarios to know how to comply with rules,
                                                          regulations, exceptions and practices.





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