Omnichannel is raising the bar for fulfillment and distribution operations, as companies strive to satisfy escalating customer expectations. Based on an online survey, our new report explores how manufacturers, retailers and ecommerce companies are adapting to today’s omnichannel environment.
Ready or Not: Omnichannel Fulfillment & Distribution examines the current state of the omnichannel supply chain, top challenges, industry trends, the role of technology, use of outsourcing and more.
- Distribution model. Data points to a growing shift toward a multi-site distribution model. Within two years, the number of companies using multiple DCs where the fulfillment source is determined by business rules for the order will more than double – up from 23.5 to 49.4 percent. Another 28.4 percent will use multiple DCs, with each primarily serving a specific geographic area or sales channel.
- Technology. While companies are using a range of technology solutions to support their order fulfillment operations, 27.8 percent of respondents say that technology limitations are one of their top challenges related to order management, fulfillment and distribution.
- Outsourcing. A growing number of companies are seeking outside help in managing their omnichannel operations. Over a third of respondents (35.9 percent) currently use a 3PL, and an additional 12.8 percent say they plan to use or consider using a 3PL in the next 12 months.