Retail – Logistics Manager Magazine https://www.logisticsmanager.com Pan-sector news, insight and analysis for logistics practitioners and supply chain strategists Tue, 25 Jun 2019 14:16:56 +0000 en-GB hourly 1 https://wordpress.org/?v=5.2.2 ReBOUND and Pitney Bowes partner https://www.logisticsmanager.com/rebound-and-pitney-bowes-partner/ https://www.logisticsmanager.com/rebound-and-pitney-bowes-partner/#respond Tue, 25 Jun 2019 14:16:20 +0000 https://www.logisticsmanager.com/?p=37584 Technology company Pitney Bowes has partnered with returns company ReBOUND with to provide retail brands worldwide with fast, data-driven international returns. ReBOUND will make use of Pitney Bowes’ US transport and logistics network to process returns for its EMEA clients. And Pitney Bowes will use ReBOUND’s data-driven platform and multi-carrier shipping technology to support cross-border […]

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Technology company Pitney Bowes has partnered with returns company ReBOUND with to provide retail brands worldwide with fast, data-driven international returns.

ReBOUND will make use of Pitney Bowes’ US transport and logistics network to process returns for its EMEA clients. And Pitney Bowes will use ReBOUND’s data-driven platform and multi-carrier shipping technology to support cross-border returns for its clients across the US, CA, UK and APAC.

“This partnership brings together two leaders in ecommerce logistics services to deliver a world class returns process for hundreds of global retailers and their customers,” said Pitney Bowes Commerce Services EVP and president, Lila Snyder. “By linking our networks, Pitney Bowes and ReBOUND will expand our collective returns footprint and capabilities, offering a seamless international service for e-commerce retailers.”

Wiggle goes with ReBOUND for returns

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Rationalising logistics helps Hornby cut losses https://www.logisticsmanager.com/rationalising-logistics-helps-hornby-cut-losses/ https://www.logisticsmanager.com/rationalising-logistics-helps-hornby-cut-losses/#respond Mon, 24 Jun 2019 13:29:12 +0000 https://www.logisticsmanager.com/?p=37529 Hornby has returned to competence in key areas of activity such as supply chain, Hornby chief executive Lyndon Davies told shareholders when the company released its results for last year. The company which makes Scalextric, and Airfix products as well as Hornby model trains, has struggled over the past few years. But in its results […]

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Hornby has returned to competence in key areas of activity such as supply chain, Hornby chief executive Lyndon Davies told shareholders when the company released its results for last year.

The company which makes Scalextric, and Airfix products as well as Hornby model trains, has struggled over the past few years. But in its results for the year to 31st March 2019, it was able to point to a reduction in pre-tax loss from £10.1m to £5.3m.

The company’s recovery plan has focused on five areas of activity:

a) Ending the discounting that destroyed trust and brand integrity.

b) Adding directly relevant knowledge and experience.

c) Re-engaging with key licensing partners.

d) Getting the design schedule and supply chain humming so the right products were ordered in the right quantities, arriving at the right time and at the right cost: and

e) Frugality – doing more with less and thinking about every penny of spend with respect to how it benefits our stakeholders.

Chairman John Stansfield said: “Overheads have been streamlined and reinvested into more productive uses. Cost savings have been achieved in many areas including rationalising logistics to suit our business and returning to our ancestral home at the Margate site.”

Total sales were down from £35.7m in 2018 to £32.8m this year. In the UK sales fell by nine per cent to £25.9 million “as a result of late placement of purchase orders by previous management leading to delays in product supply.”

Setting out the recovery strategy, Davies said: “We will continue to optimise these basic building blocks of our business forever. You can always add to and improve talent. You can always get better licensing deals. You can always make your supply chain slicker and more cost effective. There are always ways to save money and do more with less. We will be relentless in our pursuit of perfection.”

And he highlighted the importance of inventory management pointing out that year end inventory as a percentage of sales was 33 per cent in 2019. Between 2004 and 2008, this figure remained below 20 per cent.

“Our inventory balance relative to our sales is higher than it was in more normal times,” said Davies. “While we are prepared for all these valuable and sought-after models in our warehouse to sell down at their natural rates, there is a lot to be gained from being even more clever in the way we manage our inventory balance.”

“Just to be absolutely crystal clear to all our stakeholders reading this annual report – we do not need to discount stock to optimise this position. We have the support of our shareholders and the luxury of a strong balance sheet now. Discounting is truly a thing of the past and we are already seeing trust return as a result of this clear message.

“As this trust returns to the brands, our marketing efforts become more efficient/focused and our Group sales grow then you should see our year-end inventory balances as a percentage of sales tick down,” said Davies.

 

Stock shortage hits sales at Hornby

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Aldi extends iForce contract https://www.logisticsmanager.com/aldi-extends-iforce-contract/ https://www.logisticsmanager.com/aldi-extends-iforce-contract/#respond Fri, 14 Jun 2019 09:05:02 +0000 https://www.logisticsmanager.com/?p=37400 Aldi has extended its partnership with iForce, an Eddie Stobart company, to support the future growth of its online platform for non-food products. The extension of the partnership, which began in 2015, will enable Aldi to develop its online proposition and grow its market share across the UK. iForce will continue to operate out of […]

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Aldi has extended its partnership with iForce, an Eddie Stobart company, to support the future growth of its online platform for non-food products.

The extension of the partnership, which began in 2015, will enable Aldi to develop its online proposition and grow its market share across the UK.

iForce will continue to operate out of the Corby campus sites and provide Aldi with its fulfilment service powered by its proprietary software SMART, iForce Gateway.  Aldi will also continue using iForce Pathfinder, a carrier management solution supported by iForce’s Route Genie software.

Following the 2015 launch, Aldi and iForce have continued to expand the range and scope of its online operation which has included the of spirits, an expanded garden range and a number of fast-moving consumer goods.

“Our eCommerce platform is a key part of our business, making our award-winning quality wine and Specialbuys available to as many people as possible,” said Aldi managing director of IT David Barter. “Using iForce’s expertise in fulfilment means we have now been able to expand our online offering, and we look forward to continuing to work with them in the future.”

TheWorks.co.uk awards four year contract to iForce

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Morrisons and Amazon extend same day delivery https://www.logisticsmanager.com/morrisons-and-amazon-extend-same-day-delivery/ https://www.logisticsmanager.com/morrisons-and-amazon-extend-same-day-delivery/#respond Thu, 13 Jun 2019 11:12:31 +0000 https://www.logisticsmanager.com/?p=37373 Morrisons and Amazon are extending the same day delivery service “Morrisons at Amazon” to more cities, including Glasgow, Newcastle, Liverpool, Sheffield and Portsmouth. Doug Gurr, Amazon UK country manager, said: “We are committed to growing our grocery business so that we can continue to deliver what we know our customers will always care about – […]

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Morrisons and Amazon are extending the same day delivery service “Morrisons at Amazon” to more cities, including Glasgow, Newcastle, Liverpool, Sheffield and Portsmouth.

Doug Gurr, Amazon UK country manager, said: “We are committed to growing our grocery business so that we can continue to deliver what we know our customers will always care about – low prices, vast selection, and fast delivery – and our relationship with Morrisons is an important part of that long-term growth.”

The service is already available in Leeds, Manchester, Birmingham and parts of London.

Customers can order a full Morrisons shop online, which is then picked at a local Morrisons store, and delivered by Amazon. The option for delivery within one hour of the order being placed is available for many customers across these cities.

The expansion will see Morrisons becoming a retailer on Amazon’s Prime Now website and app, through ‘Morrisons at Amazon’, and selling directly to customers. Morrisons will continue as a wholesaler for all Amazon’s other UK grocery offers for customers.

Morrisons chief executive David Potts said: “Continuing to partner with the best digital operators such as Amazon is a significant, capital light growth opportunity for Morrisons.”

Asda to trial same day grocery deliveries

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FedEx drops Amazon in the US https://www.logisticsmanager.com/fedex-drops-amazon-in-the-us/ https://www.logisticsmanager.com/fedex-drops-amazon-in-the-us/#respond Tue, 11 Jun 2019 10:45:03 +0000 https://www.logisticsmanager.com/?p=37345 FedEx has decided not to renew its US domestic contract with Amazon.com, saying it wants to focus on the broader e-commerce market. Amazon represents just under 1.3 per cent of total FedEx revenue. In 2018, FedEx Express’s US domestic package revenue was $12.8 billion. Total group revenue was $65.5 billion. The move comes at a […]

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FedEx has decided not to renew its US domestic contract with Amazon.com, saying it wants to focus on the broader e-commerce market.

Amazon represents just under 1.3 per cent of total FedEx revenue. In 2018, FedEx Express’s US domestic package revenue was $12.8 billion. Total group revenue was $65.5 billion.

The move comes at a time when Amazon is expanding its logistics operations. It has just launched a scheme offering workers in the US a $10,000 incentive to leave and set up their own delivery company delivering parcels for Amazon.

In a statement, FedEx said its decision would not affect any existing contracts between Amazon.com and other FedEx business units or relating to international services.

“As previously disclosed, Amazon.com is not FedEx’s largest customer. The percentage of total FedEx revenue attributable to Amazon.com represented less than 1.3 per cent of total FedEx revenue for the 12-month period ended December 31, 2018.”

And, said FedEx: “There is significant demand and opportunity for growth in e-commerce which is expected to grow from 50 million to 100 million packages a day in the U.S. by 2026. FedEx has already built out the network and capacity to serve thousands of retailers in the e-commerce space. We are excited about the future of e-commerce and our role as a leader in it.”

FedEx cuts costs in face of weak European market

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Consumers back ASOS returns policy change https://www.logisticsmanager.com/consumers-back-asos-returns-policy-change/ https://www.logisticsmanager.com/consumers-back-asos-returns-policy-change/#respond Mon, 10 Jun 2019 13:00:57 +0000 https://www.logisticsmanager.com/?p=37317 Three quarters of serial returners support ASOS’s new returns policy, according to a survey by Whistl. The research found that those who are classified as serial returners were predominately in favour of the changes with 76 per welcoming the change. However, support for the idea was only 63 per cent among younger consumers and 66 […]

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Three quarters of serial returners support ASOS’s new returns policy, according to a survey by Whistl.

The research found that those who are classified as serial returners were predominately in favour of the changes with 76 per welcoming the change. However, support for the idea was only 63 per cent among younger consumers and 66 per cent among less affluent shoppers.

Some eight per cent of shoppers disagree with the changes and this increased to 16 per cent when related to ASOS shoppers. Argos shoppers were the most negative with 19 per cent against the changes.

Consumers who support the policy changes think others are being dishonest and negatively impacting on everyone else by making items second-hand and pushing prices up. And those who were against the policy think it is against the principle of being able to buy and return and worry that genuine customers might be unfairly penalised.

“Although the changes brought in by ASOS created a lot of debate at the time, our research indicates that the changes are widely welcomed, even by those who are considered to be serial returners,” said Whistl marketing and communications director Melanie Darvall. “It’s a good lesson for retailers when looking at developing their return policies for online purchases.  If explained well and seen as reasonable, the general public will welcome them, no matter how controversial they may first appear.”

Retailers get tough on serial returners

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Amazon reveals new drone design https://www.logisticsmanager.com/amazon-reveals-new-drone-design/ https://www.logisticsmanager.com/amazon-reveals-new-drone-design/#respond Fri, 07 Jun 2019 11:49:49 +0000 https://www.logisticsmanager.com/?p=37294 Amazon has revealed its latest autonomous latest Prime Air drone design that can fly up to 15 miles and deliver packages under five pounds to customers in less than 30 minutes. Chief executive of Amazon Worldwide Consumer Jeff Wilke said: “We expect to scale Prime Air both quickly and efficiently, delivering packages via drone to […]

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Amazon has revealed its latest autonomous latest Prime Air drone design that can fly up to 15 miles and deliver packages under five pounds to customers in less than 30 minutes.

Chief executive of Amazon Worldwide Consumer Jeff Wilke said: “We expect to scale Prime Air both quickly and efficiently, delivering packages via drone to customers within months.”

Amazon’s drone is a hybrid design and features advances in efficiency, stability and safety. It uses the latest artificial intelligence for improved safety. For example, if its “flight environment changes, or the drone‘s mission commands it to come into contact with an object that wasn’t there previously—it will refuse to do so—it is independently safe,” said Wilke.

Like a helicopter the drone can do vertical take-off and landing, and like an airplane it is aerodynamic. The drone easily transitions between the two modes. It is controlled with six degrees of freedom, as opposed to the standard four, to ensure more stability when operating in windier weather.

The done is also fully shrouded, including the wings, which improves flight efficiency.

The fully electric drone will also contribute to reducing emissions. Wilke said: “An electric drone, charged using sustainable means, traveling to drop off a package is a vast improvement over a car on the road. Today, most of us run to the store because we need an item now. With a service like Prime Air, we’ll be able to order from home and stay home. This saves tremendously on fuel usage and reduces emissions.”

 

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David James becomes Boohoo supply chain director https://www.logisticsmanager.com/david-james-becomes-boohoo-supply-chain-director/ https://www.logisticsmanager.com/david-james-becomes-boohoo-supply-chain-director/#respond Thu, 06 Jun 2019 13:53:31 +0000 https://www.logisticsmanager.com/?p=37267 David James has moved from Primark to become group supply chain director for Boohoo Group, the Manchester-based online fashion retailer. James spent five years at Primark, most recently as supply chain director responsible for the global supply chain covering inbound, logistics, transport and customs at both an operational and strategic level. Boohoo has grown rapidly […]

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David James has moved from Primark to become group supply chain director for Boohoo Group, the Manchester-based online fashion retailer.

James spent five years at Primark, most recently as supply chain director responsible for the global supply chain covering inbound, logistics, transport and customs at both an operational and strategic level.

Boohoo has grown rapidly since it was founded in Manchester in 2006 targeting young, value-orientated customers.

Earlier this year Boohoo acquired women’s pure-play fashion brand MissPap.

In 2017 the group acquired fashion brand PrettyLittleThing, and free-thinking brand Nasty Gal.

James joined Primark in 2014 from Sainsbury’s where he spent six years in a variety of roles rising to senior manager -supply chain strategy.

Boohoo completes automation of Burnley DC

 

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5G will drive supply chain improvements https://www.logisticsmanager.com/5g-will-drive-supply-chain-improvements/ https://www.logisticsmanager.com/5g-will-drive-supply-chain-improvements/#respond Thu, 06 Jun 2019 13:52:14 +0000 https://www.logisticsmanager.com/?p=37278 The introduction of 5G technology could drive a move to self-triggered order placement based on inventory level – just one of a number of supply chain benefits identified in a new study by Capgemini. EE launched the UK’s first 5G network last week, and more 5G networks will be launched over the coming months. In […]

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The introduction of 5G technology could drive a move to self-triggered order placement based on inventory level – just one of a number of supply chain benefits identified in a new study by Capgemini.

EE launched the UK’s first 5G network last week, and more 5G networks will be launched over the coming months.

In its report, 5G in industrial operations, Capgemini highlights the benefits of 5G in both industrial supply chain and shop floor operations. Key supply chain applications include:

  1. Self-triggered order placement based on inventory level. “5G’s ability to connect 10–100 times more devices with better security protocols and 99.999 per cent availability will make these transactions more reliable,” said the report.
  2. Virtual testing of parts and packing from suppliers. “3D X-ray imaging can be used to create extremely accurate digital replicas of manufactured components to verify their specifications remotely. 5G’s improved speed, ability to connect 100x more devices, and improved network reliability can make this use case commercially feasible,” said the report.
  3. Remote monitoring of en-route shipment conditions
(e g., temperature and humidity). “5G’s ability to connect more devices with improved security will enhance the effectiveness of this use case,” said the report.

Capgemini surveyed executives from more than 800 industrial companies and 150 telecoms executives. When industrial companies’ executives were asked which technologies will be the most integral to their digital transformation over the next five years,

Some 75 per cent of industrial company executives said 5G would be a key enabler of their digital transformation over the next five years.

“Industrial companies believe that 5G’s versatility, flexibility and reliability will help address connectivity challenges (a limiting factor to digital transformation for 44 per cent of those polled) and fuel future use cases.”

One-third of industrial companies are planning to apply for their own 5G licence and large organisation will take the lead with 47 per cent expressing interest. This is fuelled by a desire for greater autonomy and security combined with concerns about telecom operators being too slow in rolling-out 5G public networks. However, there will be regulatory barriers which differ across countries.

 

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The Works extends Europa contract https://www.logisticsmanager.com/the-works-extends-europa-contract/ https://www.logisticsmanager.com/the-works-extends-europa-contract/#respond Thu, 06 Jun 2019 13:14:27 +0000 https://www.logisticsmanager.com/?p=37263 The Works Stores has extended its contract with Europa’s Air & Sea division, to manage its inbound movements. The Works, a specialist retailers of value books, arts, crafts, toys, gifts and stationery, employs more than 3,000 people and has 500 UK stores. It has worked with Europa for four years. Janet Du Boulay, head of […]

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The Works Stores has extended its contract with Europa’s Air & Sea division, to manage its inbound movements.

The Works, a specialist retailers of value books, arts, crafts, toys, gifts and stationery, employs more than 3,000 people and has 500 UK stores. It has worked with Europa for four years.

Janet Du Boulay, head of supply at The Works, said: “We are always impressed by Europa Air & Sea’s dedication to the success of our business and quality of service. Our experience to date meant that we had no hesitation to ask Europa to support all of our logistics operations, from handling our inbound supply chain to worldwide shipping. We look forward to working together as the business continues to grow.”

Going forward, Europa Air & Sea will handle The Works’ inbound supply chain from various worldwide origins from supplier to door.

Europa refits Birmingham depot

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