"What No One Tells You About Inventory Management," DropShip Commerce >> Jeremy Hanks [COMMERCISM...

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STOCKPILING THE GOODS: WHAT NO ONE TELLS YOU ABOUT INVENTORY MANAGEMENT, Jeremy Hanks, Founder & CEO, DropShip Commerce Check out Jeremy's presentation that goes with this slide deck here: http://www.youtube.com/watch?v=ZV64ERGvbjE

Transcript of "What No One Tells You About Inventory Management," DropShip Commerce >> Jeremy Hanks [COMMERCISM...

STOCKPILING THE GOODS

STOCKPILING THE GOODS: What No One Tells You About Inventory ManagementWHAT NO ONE TELLS

Jeremy Hanks Cofounder & CEO DropShip Commerce

@ j e r e m y h a n k sJ E R E M Y H A N K S

INVENTORY DISTORTION*

$1.5 Trillion inventory sitting in overstock position.

* IHL Group 2012

@ j e r e m y h a n k sJ E R E M Y H A N K S

INVENTORY DISTORTION*

$1.5 Trillion inventory sitting in overstock position.

That turns into:

* IHL Group 2012

$326B

@ j e r e m y h a n k sJ E R E M Y H A N K S

INVENTORY DISTORTION*

$1.5 Trillion inventory sitting in overstock position.

That turns into:

* IHL Group 2012

$326B

Out of stocks are an even a bigger problem.

$456B

@ j e r e m y h a n k sJ E R E M Y H A N K S

INVENTORY DISTORTION*

$1.5 Trillion inventory sitting in overstock position.

That turns into:

* IHL Group 2012

$326B

Out of stocks are an even a bigger problem.

$456B $818B

@ j e r e m y h a n k sJ E R E M Y H A N K S

INVENTORY DISTORTION*

Growing by

* IHL Group 2012

$50B Per year

@ j e r e m y h a n k sJ E R E M Y H A N K S

TRADITIONAL RETAIL SUPPLY CHAIN

SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

B2B B2C

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eCOMMERCE

SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

B2B B2C

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DROP SHIPPING/MARKETPLACE

SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

B2B2C

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MANUFACTURER DIRECT TO CONSUMER

SUPPLIERS CONSUMERS

B2C

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VERTICALLY INTEGRATED eCOMMERCE

RETAILERS CONSUMERS

B2CSTOCK POS

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SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

B2B B2C

B2B B2C

B2B2C

B2C

B2C

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SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

VIRTUALIZATION

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SUPPLIERS RETAILERS

STOCK POS

CONSUMERS

VIRTUALIZATION

DIRECT

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RETAILERS CONSUMERSSUPPLIERS

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AGGREGATION DEMANDSUPPLY

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SUPPLY AS AGGREGATORS

AGGREGATION DEMANDSUPPLY

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CROWD AGGREGATION

AGGREGATION DEMANDSUPPLY

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CROWD SUPPLY

AGGREGATION DEMANDSUPPLY

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PRODUCT PUSH TO CONSUMER PULL

AGGREGATION DEMANDSUPPLY

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PRODUCT PENETRATION

73%

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PRODUCT SELECTION

25% - 33%

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CHALLENGES

INVENTORY VISIBILITY ORDER ASSURANCECONSUMER CATALOG

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ALIGNMENT: SAME PAGE

SHARED PROBLEMS

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ALIGNMENT: TEST

Place Order

Receive Order

Return Order ALIGNED APPROACHES

ALIGNMENT: TEST

PLACE ORDER RECEIVE ORDER RETURN ORDER

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ALIGNMENT: SCORECARDS

68% 83%

DATA CHANGE

ORDER MOVEMENT

OPEN & SHARED

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ALIGNMENT: TECHNOLOGY

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THINK ABOUT: MINDSET

VENDORS DEALERS

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THINK ABOUT: MINDSET

PARTNERS PARTNERS

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THINK ABOUT: MODELS

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THINK ABOUT: ATOMS > BITS

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