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Last winter saw the logistics sector
hitting the headlines for all the wrong
reasons as Black Friday and Cyber
Monday took the whole industry
by surprise. This was then followed
by a busier than normal Christmas
period which saw some retailers and
carriers struggle to meet demand and
consumer confidence in home delivery
taking a dive.
This year retailers and their supply chain
partners have had a clearer picture
of what to expect, providing ample
opportunity to fully prepare in advance.
However, these plans will have to be
developed and executed in a highly
efficient manner if the industry wishes to
avoid a severe case of déjà vu.
At Hermes we agree that carriers have
a responsibility to supplement the
ongoing investment from retailers by
continuing to develop and strengthen
their own operations. With online sales
thriving, carriers require more capacity
in order to process and deliver the
increased number of parcels in an
efficient and timely manner.
It is for this very reason that for this
peak period we have completed the
construction of a secondary sortation
tier at our fully automated distribution
hub in Warrington, providing the
capability to process up to one
By Mark Pettit, Sales & Marketing Director at Hermes
million parcels a day. The £10 million
investment will allow us to further
support retailers that are witnessing
significant growth in online sales,
especially during peak periods.
We have also strengthened our
infrastructure by opening another 125
sub depots and adding to the number of
scanners and handheld terminals across
the business. We have embarked on
a recruitment drive to supplement our
10,000-strong courier network and
this year we will employ an additional
2500 staff. When you are serving within
an industry that is witnessing annual
double-digit growth you cannot afford
to stand still.
We are providing a money-back
delivery guarantee this Christmas to
retailers and their customers to give
them peace of mind ahead of the 2015
peak season. The Hermes Guaranteed
Christmas Delivery Promise, which is
now in its third year, helps retailers
to avoid disappointing consumers by
guaranteeing that all online purchases
will be delivered before Christmas Day.
The terms of the commitment apply
to each individual parcel that enters
the Hermes network, with a UK
mainland address, by 23.59 on Monday
21 December. It guarantees that a
minimum of one delivery attempt will be
made to ensure purchases are received
in time for Christmas, otherwise Hermes
will refund the delivery charge.
Another key reason behind the
industry’s struggles last year was a
lack of collaborative planning between
the carriers and their retail clients.
With such intense activity squeezed
into such a condensed period, it is
now essential for both parties to work
more closely together to execute an
effective forecasting framework that
guarantees increasing volumes can
be fulfilled efficiently. For the last few
months, our Client Managers have been
in regular contact with our customers -
including Next Directory, ASOS, Tesco,
John Lewis, Debenhams and Arcadia
Group – to finalise plans ahead of the
peak season by analysing forecasted
volumes and confirming collection
schedules.
In conclusion, the industry must
continue to streamline its processes and
prioritise innovation in order to increase
proficiency and effectively manage
increased volumes during the peak
season. The retail sector has proven
to be the very best at doing this and
therefore carriers must replicate that
dedication to ensure the end consumer
receives exceptional levels of service
during the busiest time of the year.
How to guarantee a
successful Christmas
18
Logistics Business Magazine | November 2015
COURIERS & DELIVERY