Putting products in right place at the right time
Supply chains for all of these online solutions must be optimised to ensure on-shelf availability and in-time shelf replenishment. While online shopping is yet to fully develop in South Africa as it has in the UK, it is an indication of things to come.
But innovation is no less creative in South Africa. There are exciting developments in pallet and other distribution platform designs that can allow attractive, practical new-generation smart platforms to move from the distribution centre direct to store and be installed in the aisle ready for display – saving on packing costs and efficiency.
With new-generation platforms and pallets, embedded promotions-tracking technology works hand-in-hand with LMS solutions, monitoring various metrics that ensure the product is in the right place at the right time, in the right condition and optimising value.
Technology being trialled in Europe allows for the following:
Proximity marketing – When a shopper enters a store of which they have the app downloaded and they come within Bluetooth range, the platform will be able to send relevant push notifications to shoppers about available promotions at the right time.
Tracking – It provides real-time product visibility, showing the tracker whether the product is in store or at the DC.
Product quality – It tracks the condition of the product, by monitoring humidity, temperature, etc.
A holistic understanding of value will also mean ensuring the sustainability of all supply chain solutions. Here the “share and re-use” principles of the circular-economy approach are particularly relevant.
In the circular economy, platforms can be shared by fractional customers, and reused by others, making customer supply chains more efficient in terms of cost and use of natural resources.
Where platforms need not be sold to customers, but can be rented as required, waste is minimised and efficiency grows.
Transport collaboration ensures trucks or pallets are optimally utilised, “closing the loop” to reduce empty kilometres.
Each of these tactics requires a holistic approach to supply-chain management. Even last mile solutions cannot be limited to the last mile. They require a broader approach, that needs to be integrated from the middle mile all the way through to the last mile, and involving manufacturers and retailers, as well as their logistics service providers.
Such an understanding of supply chain logistics can mean efficiency wins for all role players and the environment, as we gain a better understanding of consumer preferences and use innovation to deliver these as effectively as possible to the benefit of all of us – and for generations to come.