Extending the Supply Chain: How Cutting-Edge Companies by Kenneth Karel Boyer

By Kenneth Karel Boyer

This e-book appears to be like at how shops and particularly grocers are utilizing the net, to aid them construct greater relationships with their clients and hence relieve the consistent strain of competing on rate issues alongside. The recommendations within the ebook might help readers improve their courting with buyers, raise shopper loyalty and reduce bills utilizing the web to increase the provision chain.

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Additional info for Extending the Supply Chain: How Cutting-Edge Companies Bridge the Critical Last Mile into Customers' Homes

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18, where 4 means the time is about the same as a traditional supermarket and 7 is much better). What is more intriguing is the very high ratings for product freshness. Customers rate the freshness and quality of produce, meats, and fish as substantially better than what they can get in their local supermarket. This illustrates the capabilities of FreshDirect in particular and the decoupled extended supply chain in general to deliver fresh, customized products. 25, indicating that customers truly love this new method of shopping for groceries.

In contrast, extended supply chains offer opportunities to provide service quality that is substantively better than normal supply chains. For the most part, the improved quality is offered by delivering orders directly from a manufacturer or distribution center, rather than from a store. The advantage here is that delivering from the manufacturer or distribution center cuts a link out of the supply chain. Most products sold in stores today are shipped according to the general flow shown in Figure 1-1.

5 Given the tough daytime traffic in Manhattan, it makes sense to deliver later in the day when the roads are less crowded, people are more likely to be home, and the masscustomized groceries can be delivered as fresh as possible. Figure 2-3 shows the average response to a survey of 450 FreshDirect customers. As we would expect, the customers think that the service saves them From 1 = Much Worse than In-store shopping to 4 = no change to 7 = Much Better than in-store shopping Figure 2-3. The average response to a survey of 450 FreshDirect customers.

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