Although the company had
annual revenues of $9 billion and 20,000 domestic
locations, they needed to respond quickly to
competition by mass retailers who were attacking their
market share. The solution was to roll out new product
and merchandising formats in more than 4,000 locations
as soon as possible. The challenge was compounded when
the company realized that the process would also
require the use of multiple vendors.
 The
major product needed for the roll out would come from
one location while the necessary merchandising
fixtures and components would come from multiple
vendors in several different locations. Careful timing
and coordination were again the critical success
factors. As the project plan unfolded, the company
also identified still another potential danger.
The marketing
department was having difficulty closing the sale to
convert the departments to their product. The cost of
downtime at each store, and the internal logistics
required to complete the set up in a timely manner,
could render the entire project ineffective and cost
prohibitive from the retailers perspective. To
overcome the problem, all products and fixtures would
need to arrive at the stores in “retail ready” format
upon delivery with minimal assembly and merchandising
on site. Down time would have to be reduced from days
to hours in order to receive commitment from the
retailers to implement the plan. Assembly and
merchandising would also have to be completed upon
delivery in order for the stores to be operational in
time for the opening.
 As
a result of careful planning, the company outlined
three essential requirements:
The entire operation
would require a 98%+ reliability factor for On Time
deliveries and with less damage than is commonly
associated with traditional shipping methods.
Down time at each
store would be limited to 6 hours or less and a new
system of assembly and set up would be needed to
complete the roll out at each location.
The company would
need a transportation and logistics provider with a
proven track record of innovative team-work and
collaboration.
 After
outlining the project, the company turned to AFC
Worldwide Express for the best network and mode of
transportation to support a flawless execution. AFC’s
response to the challenge involved a four step process
which leveraged the use of a centralized hub for the
warehousing and assembly of both the product and
fixtures.
The first step was to
develop a detailed production plan to carefully
coordinate day and time-specific delivery schedules.
AFC worked closely with the customer to outline an
effective schedule to address the timing and
coordination requirements of each location and vendor.
Second, a system was developed to preassemble both the
product and fixtures at the hub in a “retail ready”
fashion. This step-by-step approach would help ensure
safe delivery and timely set up once the items arrived
at the locations.
The third step required a creative new packaging
system using special blocking and bracing so
everything could be safely transported without damage.
AFC also worked with the customer to develop an
automated load planning tool to handle any schedule
changes and to identify the most efficient line haul
methods.
Finally, an eight member installation team was
selected, trained, and deployed to each store
location. AFC worked closely with the customer to
quickly assess the quality of all product and fixtures
on delivery and completed the nationwide rollout.
 AFC’s
collaborative approach to team-work and innovation
allowed the company to move their product to market in
record time and maintain their competitive edge.
In a final analysis, the company confirmed a 98.9%
on-time delivery and .001% damage of all goods
shipped. The average down time at each store was 4
hours and the changeovers and setups were seamless to
the customer.
Teamwork and innovation are industry benchmarks used
by AFC Worldwide Express to consistently exceed
customer expectations.
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