A Dorm Room Degree in Durable Goods 101
Supply Chain Challenges Facing the Durable Goods Industry
Recently, like many parents across the globe, my wife and I sent our child (a.k.a. “young adult”) off to college. Our daughter will be studying Psychology and Spanish. Anyone who has sent a young adult to college knows there are a bunch of items Freshmen require in order to live comfortably in a dorm or apartment. Being a technical person, I was not sought out to assist in procuring fashion related items (bedspreads, towels, rugs, wall decorations), but was instead assigned to the refrigerator and microwave end of the spectrum.
I dug into my assignment with gusto and naivety. Not having purchased small appliances in quite a few years, I was unaware that these products come in many different sizes, with a bewildering variety of features and price points. Dorm refrigerators and microwaves can be bought from a variety of retailers, both online and in-store. By the number of ads and sales I was pummeled with it became clear that every one of these retailers knew that I would be needing these products in the next few weeks.
Being a supply chain guy as well as a dad, I got to thinking about the challenges manufacturers of durable goods now face (Read more about these challenges in the white paper: Five Supply Chain Threats Facing the Consumer Durable Goods Industry). Global competition, new product introductions, SKU proliferation, multi-channel distribution, rising customer expectations, seasonal demand…it prompts one to consider what supply chain actions durable goods companies should put in place to pass their final exam, the bottom line.
So, the promise of using statistical algorithms, forecasting and predictive analytics is now added to the list of a company’s number one priorities. T
In the world of commerce, every business ecosystem has a type of supply chain that is critical to corporate operations.These supply chains rely on a n