This week’s roundup of links features supply chain and logistics stories about two big box stores having two very different fourth quarters. We also have a link to a great read on price optimization and warehouse productivity.
I. You may have seen the numbers released for the recent quarter for Target. If so, their investment announcement towards winning big-box price wars will come as no surprise. Brian Cornell, the CEO of Target revealed at the company’s analyst meeting in New York, “We’re investing in stores, we’re investing in our supply chain and in digital. We’re investing to win share not surrender it.” This will be a win for consumers and something for those in the supply chain and logistics industry to keep our eyes on.
II. Walmart launched a new price-comparison test to help the company find the right price point on groceries at roughly 1,200 stores in 11 Midwest and Southeastern states. Unlike Target, Walmart’s e-commerce sales grew 29% during the fourth quarter, boosted by its September $3 billion purchase of Jet.com and investments in online grocery. Brace yourself for an all-out battle between Walmart / Target/ Amazon / and our local grocers!
III. Steve Banker has a great essay on the evolution of price optimization as a supply chain tool over on Forbes. It’s a thought-provoking read, and this part especially stood out:
“Transactional data for electronic devices can include pricing not just the finished product, but looking at things like how much of a demand surge comes from models, how truly “new” those models are, and whether customers always bought a computer with the maximum amount of disc space or the fastest speed.”
IV. We are fans of warehouse productivity for sure and this short article titled Improving Warehouse Productivity even works in 3-D printing as a way to increase productivity and decrease transport times. Kevin Hill of Quality Sales Unlimited includes tips on using technology and efficient weighting systems as ways to improve productivity as well.
As of September 8, 2020, Crimson & Co (formerly The Progress Group/TPG) has rebranded as Argon & Co following the successful merger with Argon Consulting in April 2018.