distributionstrategies-国立中正大学制商整合研究中心.ppt

Distribution Strategies Chap 05 王仁宏 助理教授 國立中正大學企業管理學系 ?Copyright 2001 製商整合科技中心 Centralized vs. Decentralized Control Decentralized system: local optimization Centralized system: global optimization using advanced IT, all facilities in a centralized system can have access to the same data to form partnerships to approach the advantages of a centralized system Distribution Strategies Direct Shipping No DC needed Lead times reduced “smaller trucks” no risk pooling effects Warehousing Cross-docking: warehouses rarely keep items for more than 10 to 15 hours Cross Docking In 1979, Kmart was the king of the retail industry with 1891 stores and average revenues per store of $7.25 million At that time Wal-Mart was a small niche retailer in the South with only 229 stores and average revenues about half of those Kmart stores. Ten years later, Wal-Mart transformed itself; it has the highest sales per square foot, inventory turnover and operating profit of any discount retailer. Today Wal-Mart is the largest and highest profit retailer in the world. What accounts for Wal-Mart’s remarkable success The starting point was a relentless focus on satisfying customer needs; Wal-Mart’s goal was simply to provide customers access to goods when and where they want them and to develop cost structures that enable competitive pricing The key to achieving this goal was to make the way the company replenished inventory the centerpiece of its strategy. What accounts for Wal-Mart’s remarkable success? This was obtained by using a logistics technique known as cross-docking. Here goods are continuously delivered to Wal-Mart’s warehouses where they are dispatched to stores without ever sitting in inventory. This strategy reduced Wal-Mart’s cost of sales significantly and made it possible to offer everyday low prices to their customers. Characteristics of Cross-Docking: Goods spend at most 48 hours in the warehouse, Avoids inventory and handling costs, Wal-Mart delivers about 85% of its goods