WHY IT MATTERS: Digital Transformation
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The Next Shipping & Delivery Battleground: Why Amazon, Walmart, & Smaller Retailers Are Betting On Micro-Fulfillment via @CBinsights

The Next Shipping & Delivery Battleground: Why Amazon, Walmart, & Smaller Retailers Are Betting On Micro-Fulfillment via @CBinsights | WHY IT MATTERS: Digital Transformation | Scoop.it

As retailers spar to offer a better online shopping experience, micro-fulfillment technology could deliver a faster service for customers while boosting profits for retailers.

Farid Mheirs insight:

WHY IT MATTERS: ecommerce fulfillment must be efficient to be profitable. With order volume increases in recent months, the benefits of micro-fulfillment solutions have become clearer than ever. With setup costs in the tens of millions, they remain capital intensive endeavours for the long run. When combined with automated delivery, they can make eCommerce a profitable business for many retailers. This report highlight some of the key characteristics of these solutions.

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The (not so) hidden cost of food #delivery shows that the current model is unsustainable - and not just for restaurants via @techcrunch

The (not so) hidden cost of food #delivery shows that the current model is unsustainable - and not just for restaurants via @techcrunch | WHY IT MATTERS: Digital Transformation | Scoop.it

The food delivery ecosystem suffers from a lack of differentiation, compounded by an opaque and confusing web of markups and fees.

Farid Mheirs insight:

WHY IT MATTERS: delivery is the last problem to solve for eCommerce to explode. Not only do delivery fees need to be reduced via automation and "milk runs", but it is impossible for retailers and restaurant to support the rent of mostly empty space (during covid and I assume some time after) in prime locations. The overall business model has to change. Ghost kitchens, dark stores, and other solutions are required.

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Coronavirus: Grocery #eCommerce margins are unsustainable because of #delivery fees - I posit that this is also true for most #retailers. Delivery is the last issue to solve for #eCom via @CNBC @Bain

Coronavirus: Grocery #eCommerce margins are unsustainable because of #delivery fees - I posit that this is also true for most #retailers. Delivery is the last issue to solve for #eCom via @CNBC @Bain | WHY IT MATTERS: Digital Transformation | Scoop.it

The pandemic has laid bare the broken business model for online grocery shopping and created new urgency for grocers to fix it, a Bain report said.

Farid Mheirs insight:

WHY IT MATTERS: grocery is tough with small margins and this chart from Bain says it all: delivery and the fees are the last problem to solve with eCommerce. And I would say this is true for all other retail industries, not just grocery. It is that grocery is more sensitive with their high volume and low margins.

And here the original article from Bain&co : https://www.bain.com/insights/how-to-ramp-up-online-grocery-without-breaking-the-bank/#

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An analyst note highlights the impact of covid-19 on the Grocery Industry - pushing it over the hump and shaving 2 years in adoption cycle via @PitchBook

An analyst note highlights the impact of covid-19 on the Grocery Industry - pushing it over the hump and shaving 2 years in adoption cycle via @PitchBook | WHY IT MATTERS: Digital Transformation | Scoop.it

In the wake of the COVID-19 pandemic, several technologies have emerged that are helping reshape the grocery landscape and fuel the shift toward delivery.

Farid Mheirs insight:

WHY IT MATTERS: online grocery adoption has been very slow (I know, I did the first IGA online in 1996!) but now it seems covid may have pushed it over the hump. And if not, at least it appears that it has shaved about one or two years in its adoption cycle. This report provides useful insights as well a great review of startups in the field.

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As Workers Spread Out to Halt the Virus, #Robots Fill the Gaps via @WIRED

As Workers Spread Out to Halt the Virus, #Robots Fill the Gaps via @WIRED | WHY IT MATTERS: Digital Transformation | Scoop.it

Social distancing requires rethinking the layout of workplaces. A new breed of robots can help keep factories and warehouses running.

Farid Mheirs insight:

WHY IT MATTERS:  I've seen these robots at CES2020 (or was it NRF?) and they are quite impressive. The video in the article shows that having small robots work alongside humans is a reality today. You'll see in the video that they use a modified kinect camera to sense depth, devices that I've also seen at CES this year and years before. Applications are endless and relatively low cost.

https://www.youtube.com/watch?v=tGYVsr-pBgw

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One of the best webinar on #eCommerce #logistics - in french from @GCLGroup

GCL vous propose un petit webinaire d'une heure sur les meilleures pratiques a adopter sur l'organisation de vos opérations logistique ecom.

Farid Mheirs insight:

WHY IT MATTERS: one of the best webinar on eCommerce fulfillment out there - in french!

benvidiexpert's curator insight, May 11, 2:18 AM
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The first to crack the delivery issue of #ecommerce is going to win the war! Walmart is testing different options from store pickup to Autonomous Grocery Deliveries to get ahead of Amazon?

The first to crack the delivery issue of #ecommerce is going to win the war! Walmart is testing different options from store pickup to Autonomous Grocery Deliveries to get ahead of Amazon? | WHY IT MATTERS: Digital Transformation | Scoop.it

Expansion through pilot with tech company Nuro. Walmart continues expanding its Grocery Pickup and Delivery service, currently with nearly 3,100 pickup locations, and deliveries from more than 1,600 stores. 

Farid Mheirs insight:

WHY IT MATTERS: this is the Holy Grail of eCommerce: cheap, fast, reliable delivery of orders. Looks like grocery delivery, with its high frequency and large order size is the killer app as evidenced by these many tests by Walmart and - my own opinion - the acquisition of Whole Foods by Amazon. 

Scooped by Farid Mheir
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Loblaw streamlines #BOPIS with #microfulfillment pilot project of @takeOff #robotic #technology that impressed me at #Shoptalk2019 - question remains about the financial viability of this level of ...

Loblaw streamlines #BOPIS with #microfulfillment pilot project of @takeOff #robotic #technology that impressed me at #Shoptalk2019 - question remains about the financial viability of this level of ... | WHY IT MATTERS: Digital Transformation | Scoop.it

A leading Canadian grocer will pilot automated fulfillment of its buy-online-pickup-in-store (BOPIS) offering.

Loblaw Inc. is building an automated picking facility to support its PC Express BOPIS service. Leveraging a hyperlocal fulfillment solution from Takeoff Technologies that functions in compact vertical spaces, Loblaw will launch the 12,000-sq.-ft. facility inside one of its GTA Real Canadian superstores in 2020.

Farid Mheirs insight:

WHY IT MATTERS: order fulfillment and delivery is the last remaining hurdle to eCommerce. Loblaws in Canada will pilot a micro-fulfillment solution from TakeOff that impressed me last year at Shoptalk. In short, they create an automated back-store where eCommerce orders are prepared with a huge amount of automation. The question remains whether the economics is better for micro-fulfillment or if centralized warehouse fulfillment with hub-and-spoke delivery is better suited for high volume / low margin eCommerce that grocery is about. Thus this "test" by Loblaws. Note that Sobeys has decided in favor of more centralized ocado-driven automated warehouse and Metro remains with the more traditional decentralized (and manual) store-based pick-pack-deliver process. Given the low volume of orders for online grocery in Canada I remain partisan of a store-based manual approach but the economics I got from TakeOff was promising. Below additional links if you want to read more about takeoff and ocado.

http://fmcs.digital/blog/a-new-store-experience-windowless-automated-micro-warehouse-with-hyperlocal-presence-may-be-the-future-of-grocery-shopping-takeoff-solution-suggests-this-may-be-the-case-robots-ai/

http://fmcs.digital/blog/video-of-the-inside-of-ocados-robotic-warehouse-where-thousands-of-robots-pack-groceries-retail-robots/

https://www.takeoff.com/why-takeoff

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Boston Dynamics’ robot dog Spot is going on sale for the first time - this is a major milestone, moving from R&D to potential real-world applications , but be warned about the current limitations...

Boston Dynamics’ robot dog Spot is going on sale for the first time - this is a major milestone, moving from R&D to potential real-world applications , but be warned about the current limitations... | WHY IT MATTERS: Digital Transformation | Scoop.it

Boston Dynamics only has 20 of the robots available right now, but it’s hoping to manufacture about 1,000 for use out in the field. So it has to be very choosy about who gets one. It hasn’t disclosed how much they will cost.

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WHY IT MATTERS: this is a big deal because the Boston Dynamics robots appear to be the advanced and versatile. The fact that they are made commercially available is significant after years of being research project. You have to be in the market for an early device with lots of limitations but, looking down the road a few years, one has to start planning for robots to start making their way into practical use cases in construction, etc. Plus the videos are just fun to watch!

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parcel delivery remains the last hurdle for #eCommerce - FedEx to deliver 7 days a week to satisfy online shoppers - and also because growth of eCommerce so strong that it does not have enough truc...

parcel delivery remains the last hurdle for #eCommerce - FedEx to deliver 7 days a week to satisfy online shoppers - and also because growth of eCommerce so strong that it does not have enough truc... | WHY IT MATTERS: Digital Transformation | Scoop.it

FedEx plans to deliver packages seven days a week starting next January as it tries to keep up with the continuing boom in online shopping. The company is also taking back nearly 2 million...

Farid Mheirs insight:

WHY IT MATTERS: again and again it is clear that home delivery is the last hurdle of eCommerce. It is expensive and cumbersome. Adding an extra day by FedEx and others will not solve the core issue: low-cost fast and efficient home delivery. I keep thinking that milkman pre-defined routes with some form of robotization will be the solution. No one seems to be addressing this complex problem...

Ablaye Kebe's curator insight, June 28, 2019 8:30 PM
This article explains efforts FedEx is taking to make there delivery services more dependable and further relied upon in this time and space where ECommerce is continually on the rise and the demand for efficient delivery is rising as well.
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#drone parcel delivery inching forward: Amazon Unveils Futuristic Helicopter-Plane Hybrid Drone - #delivery remains the #finalFrontier for #eCommerce as current solutions are slow & very expensive-...

#drone parcel delivery inching forward: Amazon Unveils Futuristic Helicopter-Plane Hybrid Drone - #delivery remains the #finalFrontier for #eCommerce as current solutions are slow & very expensive-... | WHY IT MATTERS: Digital Transformation | Scoop.it

Amazon’s business model for the device is to make deliveries within 7.5 miles (12 kilometers) from a company warehouse and to reach customers within 30 minutes. It can carry packages weighing as much as five pounds. More than 80% of packages sold by the retail behemoth are within that weight limit, Kimchi said.

Farid Mheirs insight:

WHY IT MATTERS: the final frontier in eCommerce is delivery to the home - the "last mile". Retailers have been great at solving technical issues around selling online and fulfilling orders cost effectively in large warehouses. Delivery remains plagued with slow and costly solutions that have not much changed since the FarWest postal delivery by horse-drawn carriage (think about it). This must change and we must apply automation, robotics and other tech to improve that and make it so that any retailer can send a parcel in few hours for as little as the cost of gas/electricity to get the parcel to the customer...

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eCommerce changes the way warehouses operate: this white paper explains how to go from inefficient discrete picking systems to pocket #technology and high density storage #ecommerce

eCommerce changes the way warehouses operate: this white paper explains how to go from inefficient discrete picking systems to pocket #technology and high density storage #ecommerce | WHY IT MATTERS: Digital Transformation | Scoop.it

This white paper explores the limitations of current e-commerce and omni-channel distribution and order fulfillment systems. In addition, it takes an in-depth look at how to evaluate various logistics concepts coupled with real-life application challenges and introduces NextGen automated handling systems and companion software. This white paper does so with the concept of stocking 1 million SKUs and moving them at rates of 1 million units per day with just 1-hour lead time and minimal labor requirements.

Farid Mheirs insight:

WHY IT MATTERS: order fulfillment is an essential component of ecommerce digital transformation and there are solutions to reconfigure existing warehouses to improve picking efficiency and maximise storage space.

NeXus Portal Solutions's curator insight, January 31, 2019 9:12 AM

eCommerce changes the way warehouses operate!

NeXus Portal Solutions's curator insight, January 4, 12:30 PM

New Warehouse Design for eCommerce

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Phoenix will no longer be Phoenix if Waymo’s driverless-car experiment succeeds

Phoenix will no longer be Phoenix if Waymo’s driverless-car experiment succeeds | WHY IT MATTERS: Digital Transformation | Scoop.it

Experimental Design imagines another scenario: neighborhoods eliminate the growing stream of delivery vehicles by organizing central locations or deploying a kind of package delivery van that comes around once or twice a day like an ice-cream truck. Neighbors might gather around the day’s influx of retail goods and exchange news, transforming the hermetic life behind closed garage doors into a more open and collaborative kind of community.

Farid Mheirs insight:

WHY IT MATTERS: the impact of self-driving cars for cities that were designed and built around cars remains unknown. Phoenix being one of them where Google waymo self-driving taxis is being tested at scale today. This article explores the possible impacts and they are fascinating, going well beyond transportation.

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Video of The Gigantic Grocery Warehouses Built like Living Organisms

Ocado, the world's largest online-only grocery retailer, relies on robots to deliver fresh food to hundreds of thousands of people in the UK. Its warehouses are designed like living organisms – there's a central nervous system (software), a cardiovascular system (conveyor belts) and red blood cells (crates). But as online shopping becomes more popular, Ocado is looking to new distribution systems to meet the growing demand.Click here to edit the content

Farid Mheirs insight:

WHY IT MATTERS: the video provides a glympse inside a large automated warehouse. Conversation starter at the christmas table!

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The Long Road to Self-Driving Trucks

The Long Road to Self-Driving Trucks | WHY IT MATTERS: Digital Transformation | Scoop.it

Dave Mercer has been driving trucks across America since 1986. He has hauled ice cream to Nevada, burgers to Oregon, and trailers to Baltimore. “It can be a rough life,” he says. “You’re away from…

Farid Mheirs insight:

WHY IT MATTERS: self-driving cars may actually impact the truck transportation industry in a huge way. The papers explores how it will do so.

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Technology Roadmap for scale.ai #Canada's supply chain #AI effort #supplyChain

Technology Roadmap for scale.ai #Canada's supply chain #AI effort #supplyChain | WHY IT MATTERS: Digital Transformation | Scoop.it

In the short term, SCALE AI will adopt and scale existing supply chain (SC) solutions implemented by members to drive immediate benefits.

SCALE AI will identify SC challenges and needs, agree on core requirements and drive towards common standards and processes. Moreover, it will encourage SC/AI/digital providers to collaborate, extend existing AI-based offerings, and share data. This will result in facilitated connections between supply chain users and SC/AI/digital providers to accelerate adoption of existing solutions.

Farid Mheirs insight:

WHY IT MATTERS: the website provides a number of use case and examples of the use of AI in supply chain, along with a very comprehensive framework to put the pieces together.

Vezta & Co.'s curator insight, December 5, 2018 12:16 PM

WHY IT MATTERS: the website provides a number of use case and examples of the use of AI in supply chain, along with a very comprehensive framework to put the pieces together.

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The Blockchain Bean- an explanation of how IBM is using #blockchain to track coffee from the field to the cup

The Blockchain Bean- an explanation of how IBM is using #blockchain to track coffee from the field to the cup | WHY IT MATTERS: Digital Transformation | Scoop.it

Learn how blockchain helps you feel confident your coffee is fresh and fairly-sourced—even when it's traveled 7,000 miles around the world.

Farid Mheirs insight:

WHY IT MATTERS: the blockchain is showing promise for product traceability and this simple example from IBM shows how it is used.

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Video of the inside of Ocado's robotic warehouse where thousands of robots pack groceries #retail #robots

Ocado's new warehouse has thousands of robots zooming around a grid system to pack groceries. The thousands of robots can process 65,000 orders every week. They communicate on a 4G network to avoid bumping into each other. Is this the future of retail?

Farid Mheirs insight:

WHY IT MATTERS: this videos shows the inside of the new Ocado warehouse in UK. This warehouse is making its way top Canada, with Sobeys opening one soon: http://fmcs.digital/blog/u-k-s-ocado-taps-into-canadas-online-grocery-market-with-sobeys-tie-up-is-canada-mature-enough-to-have-automated-grocery-fulfillment-centers-ecommerce-robots/ 

Kodilla's curator insight, October 31, 2018 10:47 AM
This is the future of the retail industry, robots are so much more efficient and they don't need a paycheck
 
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Prepare for the Holiday eCommerce rush with this guide

Prepare for the Holiday eCommerce rush with this guide | WHY IT MATTERS: Digital Transformation | Scoop.it

Ready for unique insights into Canada’s e-commerce holiday landscape – and tips on how to make the most of this 2018 holiday season?

Farid Mheirs insight:

WHY IT MATTERS: holiday season starts with black friday / cyber monday. Companies need to prepare to get their logistics and delivery ready. Some useful insights in this shameless plug from Canada Post...!

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Future retail store may look more like a large vending machine or Sears counter : Walmart eyes pickup-only store in former Dominick’s HT @O_Laborne

Future retail store may look more like a large vending machine or Sears counter : Walmart eyes pickup-only store in former Dominick’s HT @O_Laborne | WHY IT MATTERS: Digital Transformation | Scoop.it

Proposed facility part of push to boost online grocery fulfillment. Walmart representative said the concept marks a different grocery pickup approach and would represent its largest pickup-only site. The location also would be Walmart’s first stand-alone, drive-up grocery facility in Illinois. The building would have no customer access and house 41,700 square feet of inventory space. Signs would direct customers driving through the lot to one of three canopied pickup bays, where they would park in a designated space and have their groceries loaded into their vehicle. Customers would order their groceries as usual via the Walmart Grocery app or website and select a pickup time in one-hour windows. Pickup trips and parking spots would be coordinated to avoid congestion.

Farid Mheirs insight:

WHY IT MATTERS: when Walmart gets into something, you should watch out. Here it seems they are exploring options for grocery fulfillment and delivery - as everyone is trying to figure out what will customer prefer and where to make money. But the solution feels like back to the future: the concept looks like a sears pickup counter from the old days! The article also mentions some delivery options being tested by Walmart including autonomous cars and crowdsourcing.

Tuhin Islam's curator insight, October 25, 2018 1:57 AM
Online grocery fulfilment? Can there be a Bangladesh version?
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Is this the future of local delivery? k-ryole builds autonomous #electric-powered trailers pulled by a #bike - I tried it and it is #impressive

Is this the future of local delivery? k-ryole builds autonomous #electric-powered trailers pulled by a #bike - I tried it and it is #impressive | WHY IT MATTERS: Digital Transformation | Scoop.it

Transformez votre vélo en véhicule utilitaire en un clin d'oeil K-Ryole est la première remorque électrique intelligente pour vélo. Conçue pour le milieu urbain, elle permet aux professionnels de transporter jusqu'à 250 kg sans effort. Pratique, écologique, économique.

Farid Mheirs insight:

WHY IT MATTERS: I tried this electric powered trailer at CES 2018 and it is truly amazing. Is this the missing piece in the delivery logistics nightmare of urban areas? Not sure but certainly fills a missing piece of the puzzle.

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US E-Commerce Trends and the Impact on Logistics

US E-Commerce Trends and the Impact on Logistics | WHY IT MATTERS: Digital Transformation | Scoop.it

The growth of last-mile delivery and demand for next- and same-day service is pushing logistics beyond traditional hub and spoke models to regional options, crowdsourcing, digital, and smart automation.

Farid Mheirs insight:

WHY IT MATTERS: delivery models are plenty and need to be expanded to reduce the cost of eCommerce deliveries.

How to Grow your Business's comment, May 21, 2019 5:18 AM
Logistics Management Strategies & Improvement Tips https://urlzs.com/fuZW
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How customer demands are reshaping last-mile delivery via @McKinsey

How customer demands are reshaping last-mile delivery via @McKinsey | WHY IT MATTERS: Digital Transformation | Scoop.it

The last mile is seeing disruption from new business models that address customer demand for ever-faster delivery, as well as new technologies such as drones and autonomous ground vehicles.

Farid Mheirs insight:

WHY IT MATTERS: delivery is the last problem to solve to continue ecommerce growth. McKinsey explores the different delivery models for the last mile in this article.

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Delivering Tomorrow: Logistics in 2050 via @DHL #Logistics

Delivering Tomorrow: Logistics in 2050 via @DHL #Logistics | WHY IT MATTERS: Digital Transformation | Scoop.it

Will we be able to create sustainable prosperity, or are we on the way to a climate crash? Is the world interconnected or fragmented? Which new technologies shape our everyday lives? In a new study entitled “Delivering Tomorrow: Logistics in 2050," Deutsche Post DHL Group presents five sweeping, sometimes radical, prospects for the world in 2050 as well as the impact they would have on the logistics industry.

Farid Mheirs insight:

WHY IT MATTERS: very interesting future projection regarding logistics and parcel delivery in the future by a world leader in the field - DHL.

Salman Ali's curator insight, April 6, 2018 1:17 PM
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The world’s first crewless cargo ship will launch next year #digitalTransformation #WhyItMatters

The world’s first crewless cargo ship will launch next year #digitalTransformation #WhyItMatters | WHY IT MATTERS: Digital Transformation | Scoop.it

The world’s first crewless, automated cargo ship will launch in 2018, reports the Wall Street Journal, and is expected to be fully autonomous by 2020.

Farid Mheirs insight:

WHY IT MATTERS: we think of autonomous vehicles as self-driving cars. But we are more likely to see business and professional applications such as this self-driving cargo ship appear first.

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