Target Tests Retail ‘Flow Center’ for Faster, Nimbler Distribution - News Summed Up

Target Tests Retail ‘Flow Center’ for Faster, Nimbler Distribution


The company hopes to send shipments to stores more frequently and in smaller lots tailored more precisely to demand rather than shipping big cases of products. The company hopes to send shipments to stores more frequently and in smaller lots tailored more precisely to demand rather than shipping big cases of products. Photo: Associated PressTarget has been expanding its use of stores to fulfill online orders, and nearly 70% of its online volume was handled by stores during the 2017 holiday season. “Shipping more orders from our stores reduces our costs, while allowing us to move faster,” he said. “We cannot survive if we replenish the store with cases, because…there is no space.”At Target, stores supported by the flow center have reduced back-room inventories “to a fraction of the norm,” Mr. Mosier said.


Source: Wall Street Journal May 14, 2018 12:00 UTC



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