omnichannel success factors supply chain strategy ...€¦ · omnichannel success factors –...
TRANSCRIPT
Dr. Michael Krings
DHL Omnichannel Day 2017
Troisdorf, DHL Innovation Center, May 4th 2017
Omnichannel Success Factors – Supply Chain Strategy @ Parfümerie Douglas
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Douglas is the driver of the beauty market: innovative shopping and service
experience with a „touch of luxury“, always emotional and close to customers
Market leader in the selective beauty market
in Europe with
Approx. 1.700 parfumeries1
in 19 countries and
15.000 employees2
More than 17 mill. people in Europe own a
Douglas or Nocibé loyalty card3
Assortment range of more than 35.000
products (online), with many exclusive brands
which are only at Douglas available
Comprehensive services in the stores e.g.
Day Spa, Douglas Hair Design, manicure, …
Complete and seamless omni channel
services of parfumeries, online shop and
mobile app
Introduction of Douglas
1 As of 31st March 2015; including freanchisees
2 Annual average in the pafumerie business (without trainees) in BY 2013/2014
3 10 mio. Douglas loyalty card holders and 7 mio. Nocibé loyalty card holders as of 31st March 2015
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Douglas‘ Supply Chain Management covers the entire supply chain: all value
chain levels, channels and transports are included
Private Label / Exclusive
Brands- DC Zossen
Customer level Distribution level
B C
D
Suppliers of selective brands
CDC A
B C
B C A
A
BCD
Supplier level
Douglas Supply Chain
Douglas Stores
E-Commerce DCs
(Cross Channel DC)
Ship to store
Ship to
customer
range of control
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Douglas has increased its logistical infrastructure consequently over the last years – core element is the modular SAP LES platform
Basic concept of SAP LES
One step
X-Dock
One step
X-Dock
Central
DC
PL&EB*
One step
X-Dock
Central
DC
PL&EB
Central
DC
E-Com
One step
X-Dock
Central
DC
PL&EB
Central
DC
E-Com
Bulk-
break-
to-zero
Standardised, scalable processes
Comprehensive process transparency
Flexible options of development
KPI based, permanent optimization
Basic strategy: Cross Docking
Focus on supplier management
and collaboration
* PL & EB: private label and exclusive brands
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Supply chain development has to be sychronized with customer require-ments – a four step process leads to a close link between the channels
Indipendency
Separate development
of e-commerce and
stationary logistics
Alignment
Common development
and alignment of
solutions
Synergies
Operations of logistics
„under one roof“
Omni Channel
Utilization of „best
practice“ services
depending on the
customers
requirements
Phases of development of the omni channel supply chain
Status Douglas
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The offer of omni channel services follows the customers needs and will be increased and internationally implemented
Services for the „customer journey“
On line shop
order
@
Store and
event finder
Returns to
store
Delivery Payment Information Availability Pre-sales info …
Ship to
store
Omni channel
vouchers
Store
vouchers
Indivual
shipping
schedule
Online
appointment
Source: Parfümerie Douglas, Cross Channel & Business Development, as of 6/2016
Mobile
payment
Guided
selling
partner /
Douglas
beauty
tab
Online stock
information
Online product
reservation
* Pilot phase
Same
Day
Delivery
3. Mai 2017
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■ Low picking
costs
■ Low returns
■ High order
frequency
A flexible step-by-step approach leads to higher customer satisfaction while delivery quality stays a distinctive success factor
Approach to higher delivery quality
Guaranteed
next day
delivery
No minimum
order value
Late order
cut off (> 20
p.m.)
Near SDD /
silent
upgrading
Time Slot
delivery
■ Regional structure
■ Loyalty card
■ Innovative services
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Situative shopper behaviour requires a modular, fully integrated and trans-parent supply chain concept: omni channel logistics is obligatory
It is the objective to cover all requirements by a modular concept which allows increasing integration and strong capability to control all supply chain processes
Logistics must face its challenges: capability to perform omni channel logistics is obligatory. Therefore logistics achieves more strategic relevance.
Shopper behaviour defines the retail landscape of tomorrow: customers decide by situation which shopping location they want to use
Summary
A modular stepwise approach will lead to high customer satisfaction
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Summary: the requirements of omni channel logistics are increasing constantly – we are prepared for (almost) each and everything!
Thank you for your
attention!
Source: Online Handel 2014
Now would you please be so kind and wait some ten minutes in order to take
those parcels right back with you …