The Canadian Office Products Association and Supply Chain Network have agreed to work jointly on an in depth study of the potential for Physical Consolidation of deliveries in the Office Products Industry. Although this study should show benefit to all delivery locations, those vendors delivering direct to store are expected to see even greater benefits from participation.
The following announcement from COPA was sent to all members in a recent newsletter:
Participants Sought for Freight Consolidation Study
Staples, S.P. Richards and Staedtler-Mars confirm participation
An innovative new pilot project that could see all participants reap the reward of substantial cost savings has been launched by COPA as another means of delivering uncompromising service to its members.
Although just in the formative stages, the project focuses on bringing together delivery shipments in a consolidated environment in order to benefit from both economies of scale and efficiency. Participation in the pilot study is open to all COPA members regardless of member type. To date, Staples/Business Depot, S.P. Richards and Staedtler-Mars have all agreed to proceed with the pilot.
Jeff Ashcroft, a logistics professional and developer of the Supply Chain Network (SCN) project, presented the idea to a group of interested COPA members last month. He explained the concept and mapped out the participation parameters and requirements. Ashcroft said that the pilot study would take some 3 months to complete once â€œa critical mass (8-10) companies is reached and all data has been provided.â€
Ashcroft cited several positive results from a successful and functioning program including a reduction in overall freight costs of between 10 and 20 per cent, an increase in the frequency of deliveries to destinations, and increased delivery reliability.
â€œConsolidation has the potential of great gains for all that participate,â€ noted Ann Kelly, logistics, Staples/Business Depot. â€œIt can be a complex process but certainly deserves some investigation. I would encourage all vendors to participate in the study.â€
To learn more about this project or if your company is interested in participating, just ASK and we can provide you with additional details on this collaborative Supply Chain Network initiative.