don’t let dangerous goods handling and other … · 2019-09-19 · don’t let dangerous goods....
TRANSCRIPT
DON’T LET DANGEROUS GOODSHANDLING AND OTHERBARRIERS STAND IN THE WAY OF AN EFFECTIVE OMNICHANNELSHIPPING STRATEGY
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Bob Liva, Alliances and Partnerships, Pierbridge
Through a series of leadership roles since the inception of computerized parcel shipping with organizations such as ConnectShip/UPS, Pitney Bowes and Pierbridge, Bob has worked with some of the nation's largest shippers including electronics manufacturers, software distributors, and retailers.
SPEAKER
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How to stay Dangerous Goods (DG) compliant and avoid fines and penalties in a decentralized shipping environment
How to better manage inventory, improve delivery time, and increase delivery convenience
How to pack for success to reduce shipping cost, waste, and unexpected fees
Make the best carrier and service choice with every shipment
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WHAT YOU WILL LEARN TODAY
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WHAT IS AN EFFECTIVEOMNICHANNEL SHIPPINGSTRATEGY?
Why Omnichannel?a
b
c
What are the Challenges of Implementing an Omnichannel Shipping Strategy?
What are Benefits of an Omnichannel Shipping Strategy?
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WHY OMNICHANNEL?
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Parcel volumes grew 17 percent in 2017, according to the Pitney Bowes Shipping Index
Global shipping volume to surpass 100 billion parcels in 2020
500,000 companies in the courier & delivery services industry worldwide employing 2.8 million people
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Meeting customer demands for free and fast shipping
Avoiding inventory outages, customer don’t care where it comes from, just that they get it
Getting closer to the customer
The Traditional Supply Chain Model
1. Easier to control
2. Fewer partners
3. Less touches
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WHAT ARE THE CHALLENGES OF IMPLEMENTING AN OMNICHANNEL SHIPPING STRATEGY?
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Manufacturer Distributor Warehouse | Distribution Center Retailer Customers
The Omnichannel Supply Chain Model
1. More untrained hands touch the shipment
2. Decentralized and harder to control processes, rules, and compliance
3. Managing larger carrier networks
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WHAT ARE THE CHALLENGES OF IMPLEMENTING AN OMNICHANNEL SHIPPING STRATEGY?
Warehouse Customer Store CustomerManufacturer Customer
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Improved customer service
Shorter distances to the customer
Increased speed of delivery
THE BENEFITS OF AN OMNICHANNELSHIPPING STRATEGY
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IV Reduced costs
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AUTOMATING DANGEROUS GOODSHANDLING REGARDLESS OF WHO IS SHIPPING
a CHALLENGE
b SOLUTION
c RESULTS
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CENTRALIZATION VS SHIP FROM ANYWHERE TO ANYWHERE
Traditional Supply Chain Model
1. Centralize in one warehouse. Special team handles Dangerous Goods and knows how to ship them
2. Knowledge and certification are centralized in one or a few people
3. Where does liability start and end?
Omnichannel Supply Chain Model
1. Anyone can ship anything from anywhere
2. Can be lower waged, less skilled, less knowledge
3. Too few experts
III
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GETTING THE RIGHT RULES TO THE RIGHT PEOPLE AT THE RIGHT TIME
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Alerts shippers when something needs additional handling to be compliant. Won’t let them ship without it
Provides workflows and proper labeling when something is classified as DG
Know your products
Continuous training (higher turnover)
Tools to automate DG handling
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COMPLIANT SHIPMENTS EVERY TIME
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Avoid fines and penalties
Reduces frustration from items that won’t be shipped due to incorrect labeling
Allows staff to step-up and handle shipping from non-traditional locations (ship-from-store, etc.)
OPTIMIZE PARCEL SHIPPING TO REDUCE COSTS AND IMPROVE CUSTOMER SATISFACTION
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Traditional Supply Chain Model – Single Warehouse / Distribution Centera
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Omnichannel Supply Chain Model – Many Points of Inventory and Distribution Powered by Local Delivery
Delivers Results that Increase Revenues and Cut Costs
Single warehouse / distributions center
1. All orders are processed from a centralized warehouse
2. Great distances between warehouse and customer – more cost and longer delivery times
3. Single inventory source that can “run-out”
4. Typically uses major carriers
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TRADITIONAL SUPPLY CHAIN MODEL
Ship-from-stores
1. Retailers don’t have a “retail problem,” they had a real estate problem
2. What to do with brick-and-mortar stores when consumers are buying goods online?
3. Turn them into fulfillment centers where
a. Consumers can look at goods and then buy them online
b. Buy them online and pick them up and return them to stores
c. Get them shipped the same day from the store to their home
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OMNICHANNEL SUPPLY CHAIN MODEL – MANY POINTS OF INVENTORY AND DISTRIBUTION POWERED BY LOCAL DELIVERY
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Ship-from-suppliers / manufacturers
1. Expand your network of drop-ship suppliers and manufacturers
2. Create an “endless aisle” of inventory closest to the consumer
3. Meet the demand for fast (including same-day) and free delivery
4. Never experience a stock-out
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OMNICHANNEL SUPPLY CHAIN MODEL – MANY POINTS OF INVENTORY AND DISTRIBUTION POWERED BY LOCAL DELIVERY
Specialized carriers: local and white glove
1. Local delivery carriers provide the same services as national and regional carriers
2. Access to the more than 500,000 courier & delivery services companies worldwide
3. Bike messengers, couriers, gig-economy, and LTL deliveries are all in play
4. Enables same or next day, personalized, white-glove, over-the-threshold delivery
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OMNICHANNEL SUPPLY CHAIN MODEL – MANY POINTS OF INVENTORY AND DISTRIBUTION POWERED BY LOCAL DELIVERY
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DELIVERING RESULTS
Choice enables shippers to save money
and time on deliveries
Customers get their deliveries when they
want, where they want, and how
they wantBoosts customer
satisfaction along with repeat and referral
business
Efficiently utilize retail square footage
as a distribution center
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OPTIMIZE PARCELPACKING
Traditional Shipping Modela
b Optimized Omnichannel Shipping Strategy – Pack for Success
c Results – Pack for Profits
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I Limited number of carton choices
Charge by weight, not by space
Service demands were not as high as they currently are
Carriers hate shipping air – charge an air tax and increase DIM fees
TRADITIONAL SHIPPING MODEL CHALLENGES
Packaging waste is bad for the environment and adds unnecessary costs
Small orders in big boxes can lead to damage and returns
Shipping cost disadvantage
Customers hate receiving air
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Avoid shipping in cartons too large
Avoid shipping too many cartons
Consider alternate carriers and negotiate a better DIM factor
Use cartonization technology
OPTIMIZED OMNICHANNEL SHIPPING STRATEGY –PACK FOR SUCCESS
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Reduce lost sales and shopping cart abandonment
Reduce shipping and packaging costs
Eliminate packing waste
Improve customer satisfaction
Reduce shipping damage
PACK FOR PROFITS
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OPTIMIZE PARCEL CARRIER SELECTION THROUGH RATING AND ROUTING
Traditional Shipping Modela
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Optimized OmnichannelSupply Chain Model
Results
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TRADITIONAL SHIPPING MODEL
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Shippers relied on a single carrier with their supplied shipping software
Single purpose multi-carrier shipping software
Customers didn’t expect free and fast delivery
Locked into a carrier’s service levels and zone pricing - not all zones and service levels are equal
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OPTIMIZED OMNICHANNEL SUPPLY CHAIN MODEL
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Multi-carrier selection – include regional and non-traditional carriers
Multi-service level selection including a calendar view that shows delivery window
Business rules and wizards to force the most efficient and cost-effective transportation method
RESULTS
Reduces costs Efficient processingReduces shopping cart
abandonment by providing shipping costs early in the
purchase process
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Pierbridge, Inc.67 Forest St. | Suite 288Marlborough, MA 01752-3199508 - 630 - 1220
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QUESTIONS?