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Extending the Supply Chain How Cutting Edge
Companies Bridge the Critical Last Mile into Customers
Homes 1st Edition Kenneth Karel Boyer Digital Instant
Download
Author(s): Kenneth Karel Boyer, Markham T. Frohlich, G. Tomas M. Hult
ISBN(s): 9780814408360, 0814408362
Edition: 1st
File Details: PDF, 1.57 MB
Year: 2004
Language: english
Extending the
Supply Chain
This page intentionally left blank
Extending the
Supply Chain
How Cutting-Edge
Companies Bridge the
Critical Last Mile into
Customers’ Homes
Foreword vii
Preface xi
PART I: INTRODUCTION 1
Chapter 1:
The Great Divide Between Customers and Retailers 3
Chapter 8:
Supply Chain Design—How to Bridge the Last Mile 171
Chapter 9:
Information Technology—Facilitating Learning and
Streamlining Transactions 205
Chapter 10:
The Future of the Extended Supply Chain 231
Index 241
FOREWORD
There are things that work and then there are things that work well. We
watched in wonder and confusion from 1997 to 2000 as investors shoveled
money at scores of start-up companies with grand but ill-thought-out plans to
deliver everything from pet supplies to groceries to customer doorsteps. It was
not that we thought this was a bad idea—on the contrary, we believe that there
is a substantial, untapped market for consumer-direct products. Instead, we
were amazed at the apparent lack of thought underlying the supply chains that
were to deliver this smorgasbord of products. It seemed that people were so
caught up in the idea of the Internet that they forgot that products could not
be beamed through the wires, but still had to be physically delivered.
As we examined companies in our classes and research, we became con-
vinced that there was a great deal of opportunity in the last-mile supply
chain—if only companies would carefully sift through various decisions regard-
ing supply chain, marketing, and information technology. First and foremost,
we saw a need to tightly link marketing and supply chain decisions. Certainly
these decisions ought to be linked in all organizations, but the desire to deliver
directly to customers places extra pressure on the natural conflicts between
marketing and supply chain. Second, we began to see that delivering to cus-
tomers is a changing pool of quicksand—opportunities for improving and cut-
ting the length of the supply chain abound, but so do obstacles, which can
quickly pull a company down. Thus, there is a need for companies to examine
their supply chain strategies to clearly determine what their goals are and how
last-mile supply chains can benefit both companies and customers. Finally, the
Internet is a phenomenal tool, but like any other tool, it can be misapplied.
Many companies take orders over the Internet, but they are unable to stream-
line the order-taking or fulfillment process. We seek to understand how taking
vii
viii F
orders over the Internet (or some other automated system) can reduce labor,
improve accuracy, and provide customers with greater convenience and more
control over their purchases.
We are grateful to the many individuals and corporations that assisted us in
our research over the last three years. Supply chain management is an applied
field. We can observe and compare the experiences of a number of companies,
but we need to have access to them. We have benefited from the open ex-
change of ideas with executives of numerous last-mile retailers and manufactur-
ers. This book represents a compilation of insights gained from conversations,
surveys, and interviews with scores of executives and customers.
In particular, we would like to thank the following individuals and compa-
nies for their generous participation—both in terms of time and access for inter-
views and data collection. Monica Luechtefeld and Kathleen Stockham of
Office Depot; Roger Whiteside, Nigel Robertson, Robert Gorrie, Andy Mc-
Williams, Anne Marie Foley, and Claire Harper of Ocado; Jason Ackerman,
Daniel Radek, and Neal Bayless of FreshDirect; Ed Holmes and Julie Goggans
of PublixDirect; Terry Moore and Lisa Selip of Lowes Foods; Mike Spindler,
Karisa Greiner, and Cyndi Metallo of MyWebGrocer; Robin Lassiter, Christina
Thanassoulis, and Dave Merefield of Sainsbury’s; Jason Abbott, Amy Boyle,
Bob Krajeski, Pam Powell, Dea Parker, and Sandy Shook of Albertson’s;
Claude Germain, John Mozas, Scott Robinson, and Stephen Tallevi of Grocery
Gateway. All of these individuals and companies have been valuable in helping
study their companies and customers, as well as providing a sounding board for
our numerous ideas.
In addition, we would like to thank the following individuals who assisted
in some manner with data collection, analysis, or presentation in our various
studies. Leslie Zielke, University of Washington, Bothell; Krystle Canaii, Uni-
versity of Miami; Andrea McGee, Paul Myler, Kathy Mullins, Tiffany Nor-
wood, Michael Reed, and Mary Upshur, Michigan State University. We also
wish to thank the many individuals who have offered insights into last-mile
supply chains in telephone or personal discussions, including David Porter,
SmartBox Inc., Tom Coyne, Diamond Phoenix, Paul Demery, Internet Retailer,
and Chris Manella, Ensenda, Inc. Financial support was provided for much of
this research by the U.S. National Science Foundation (under the Information
Technology Research Program), and administrative support was provided by
the Marketing & Supply Chain Management Department and the Center for
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Liz. But you said you never could be happy without me, that some
day I should be your wife.
Eug. By Jove! was I so far gone as all that? Well, I did like you
amazingly, Lizzie, but, of course, that was mere talk.
Liz. (looking at him earnestly and moving towards him). You did not
mean it when you asked me to be your wife?
Eug. Of course not, and I did not suppose you thought I did.
Liz. (C.). And you call yourself a man, you who thus trifled with the
heart of an innocent girl who loved you! Then if you are a type of a
man, I thank heaven I am a woman.
Eug. Now, Lizzie, don't get mad. I did not mean any harm, 'pon my
word I didn't. (Aside.) By Jove, I believe I did treat the little girl
confounded mean.
Liz. I loved not you, but the man I dreamed you were. You I despise.
Mr. G. (C.). Answer and contradict if you can the guilt I see in your
face.
Mr. G. Then it was you, my son. My curse upon you, ungrateful and
miserable son. Go—to a prison. I will have no mercy on you.
Eug. Oh! a prison! (Staggers to R., and falls into chair. Lizzie leans
over him.)
Mr. G. Yes, a prison, and rot there. You have ruined me; do you
hear, ruined me! What have I done that I should be the father of a
son like this? A forger and a—(Staggers.) Ah, my head! how it burns!
What was I saying? Mercy! I will have no mercy! Where is Kate?
(Rings bell over desk furiously.) Yes, ruined! ruined!
Mrs. G. (L.). What can I do? Are you ill? Speak to me.
Mr. G. (raving). Yes, you have ruined me. (Enter Kate, L. U. E.) Who
will pay these bills? I am ill, dying, dishonored; no one will straighten
out my affairs. My son—no. I have no son. I—who will, who can
help, save me? (Falls, C. Kate comes down L. C., kneels and puts her
arms around him.)
Mrs. G. But since he has recovered his senses, his business affairs
are worrying him. Would it not be better to explain everything?
Dr. E. I doubt not this experience will be the needed one to arouse
him to better things. You had best leave him to Kate.
Mrs. G. Yes, I suppose so. Alas! I fear I have been much to blame
for what has happened. I was too ignorant and helpless to be a wise
mother. Dear Kate, what should we have done without her? (Rising.)
But I must now go to my husband, who needs me every moment. I
will follow your directions, doctor. (Exit, L. 2 E.)
Dr. E. I am sorry to see you looking pale, Miss Alice, I hope you are
not going to be ill also?
Alice. Yes, and now I am to confess the truth somewhat out of sorts
with myself.
Doug. That is right; get your hat and we will go at once. (Alice, exit,
L. 2 E.) You see I like to have her go out to wide, for it makes the
fellows all envy me, you know. Alice is a devilish handsome girl,
now, isn't she, doctor?
Dr. E. Her father has cause to be thankful that his daughter does
have everything her own way, at last. (Rises.)
Alice. Ah, yes. We will go. (Aside, as they go up.) I will teach him
something about a woman's smartness after we are married. (Exit
with Doughlass, C.)
Dr. E. (R., looking after them). Poor foolish couple! I pity you both.
She is marrying him for his money, and he her for her good looks.
And good looks fade, and money is powerless to satisfy the cravings
of the heart, and then, what? (Enter Jim, C.) Well, Jim?
Dr. E. Not yet. By the by, Jim, have you fixed everything all right
with Jennie?
Jim. Not—not exactly, sir. To tell the truth (comes down L.), she has
been going on worse than ever since the master has been sick, and
Miss Kate has been, as it were, the head of the family. "There's a
woman for you!" says Jennie, "and do you dare tell me you have any
business to go and vote and Miss Kate stay at home?" says Jennie,
and what can I say, sir? It's not for me to set myself up above Miss
Kate!
Dr. E. Poor Jim! Your love matters really do not glide along very
smoothly. But they never do, Jim (sighing), they never do.
Jim. You're very right, sir. To be in love is the most wearing thing I
know of.
Dr. E. Then if she makes you so unhappy, why not give up all
thoughts of her, and—
Jim. Give up all thoughts of Jennie! Never, sir! Why, I had rather be
made that miserable that I am reduced to walking about in my
bones than give up Jennie. No, sir! It's a curious fact. (Enter Jennie,
C.) A strange weakness in the composition of a man is that the more
unhappy a woman makes him the better he likes her!
Jen. Lor, sir, I don't know. I suppose Jim has been telling you some
nonsense or other! (Turns and makes face at Jim.)
Jim. No, I haven't, Jennie, upon my soul I haven't. I only told him
what you said about a man being inferior to a woman, that's all.
Jen. Oh! that was all, was it? Well, Mr. Jim, you are a smart young
man, you are! And besides, I never said anything of the kind. The
fact is, doctor, I expressed my sentiments to him, that's all.
Jen. Oh! it's only that I don't believe in getting married and being
made a slave of and perhaps beat and told you don't know anything
because you are a woman: those are the sentiments he objects to,
sir.
Dr. E. But really, my good girl, I do not believe you think in your
heart quite so meanly of Jim as your words would signify. In your
zeal for your own sex, do not be unjust to ours, for remember that is
the very thing you condemn in us. (Exit, C.)
Jen. (half crying). Well, Jim, I don't see what on earth you wanted to
go and make me out so horrid to the doctor for. Just because I think
a good deal of his opinion, I suppose.
Jim. There, now! oh, dear! how you do fly off, to be sure. Make you
out horrid? I, who would think you was perfect if you would only let
up a little once in a while on me about your rights.
Jen. Yes, and you went and made the doctor think that I not only
wanted my rights, which I do, but yours, too, which I don't.
Jim. Well, I— (Goes up C., then returns.) No, I can't get mad with
you, Jennie. But won't you please just remember how you went on
about the tyranny of the sex, and all that sort of thing, and then
don't blame me if I thought you wanted to tyrannize a little. I am
sure that wasn't stupid.
Jim. Is that all? Oh, Jennie (gets down on knees), if you will only
marry me, you shall have your share, yes, and a little more.
Jim. Who said anything about being trampled on? Well, your share of
trampling, if you must have it.
Jim (jumping up). Good gracious, there you go again! How you do fly
off. When did I ever say any such thing?
Jim. Oh, Jennie! If you only would. The very idea makes me so
happy, I—I could jump way to the ceiling.
(Holds out arms to embrace her, she runs under them.)
Jim. Jennie, do you want to see me pine to a shadow and blow away
with love? I can't stand this sort of thing any longer. I will go away
to California, that's what I will do!
Jen. (coquettishly). But, Jim, don't you think you had better wait until
I get through supposing?
Jim. Wait! I will wait until I am bald if you will only promise to have
me then.
Jen. Dear me, I shouldn't want you then. In fact, I couldn't think of
having you any way, if I thought you would ever be bald!
Jim (very fast). Oh, I never shall; no, indeed, we are not a bald
family, there never was a bald man in it, the babies are all born with
thick heads of hair. One of the family was scalped once, to be sure,
but it was accidental, and his hair all grew out again in a few days.
Look at mine. (Sticks it up.)
Jen. (screams). Oh, don't! Nature has made you homely enough
without your trying to help her.
Jim. But I only wanted to settle this bald question forever. And now,
Jennie, won't you go on supposing?
Jen. Well, supposing I should marry you some time, would you find a
minister who was willing to leave "obey" out of the marriage service?
Jim. If there is one in America I'll find him. For I shouldn't want to
make you swear to a lie, Jennie.
Jen. And then would you respect my rights and acknowledge equal
rights for both of us?
Jim (going near her). You shall have all the balances.
Jen. (edging away). I don't know but you are almost too willing.
Jim. Now she is off on another tack. What can a man do?
Jen. However, I can get a divorce if you don't keep your word, so, as
you are a pretty good fellow, Jim, I think I will condescend to try you
as a husband.
Jim. Oh, well! (Kisses her and is about to repeat when she stops
him.)
Jen. No, Jim. Equal rights. I must give you half, you know. (Kisses
him and runs off, C.)
Jim. Equal rights ain't so bad, after all. (Goes after Jennie and runs
against Eugene, who enters moodily, C.) I beg pardon, sir, but I am
so equal—happy. (Exit, C.)
Eug. What is the matter with Jim? Happy! Well, I am glad some one
is. I never shall be again. This is what my cursed easy disposition
has brought me to. I have ruined myself and almost killed my father.
If it was not for Kate I would blow my brains out—if I have any. (Sits
dejectedly, R.)
(Enter Lizzie, C.)
Liz. Eugene!
Liz. I have been trying to see you ever since that—that trouble, but I
never have been able to find you alone. I thought perhaps it might
be some little comfort to you to know that I sympathized with and
pitied you, and that I had faith enough in you to believe you would
redeem the past.
Liz. You have been gay, careless, reckless, but oh, I cannot believe
you wholly bad. My share in your thoughtless past I freely forgive. I
wanted to tell you this, and say I hope in the future to see you
worthy the esteem of every one.
Eug. Oh, yes! I shall try. But my father,—he will surely never forgive
me, will banish me from his house.
Eug. Kate, heaven bless her, I know she will. What has she not done
for me already? And to think that I once set myself up as so far
above her, and plumed myself on being a lord of creation,—I, a poor,
weak fool, not worthy to touch the hem of her garment.
Liz. Those words prove to me that you are no longer the Eugene you
were.
Eug. I hope, I trust not. As you say, I did not mean to be really bad.
I was inexperienced, thoughtless, eager for the pleasures of life, and
I never stopped to think of consequences. How could you have loved
me—for you did love me once, Lizzie?
Eug. Lizzie, I did not mean to break your heart. Do you believe me?
Eug. For the first time I begin to realize the happiness that might
have been mine, the value of the heart I threw away.
Eug. (taking her hand). Mine! Mine now! What! Do you mean to say
that you love me now, ruined and disgraced as I am, soon perhaps
to be driven from my father's door, and go forth into the world
penniless and alone?
Liz. How little you know of woman's love! Think you it endures only
through the bright summer days of sunshine? No, Eugene. In the
time of darkness and sorrow a woman's love never fails.
Liz. Would I? Oh, how gladly! But you forget, I am a poor girl, a
seamstress in your mother's house, and—
Eug. I would indeed be unworthy of the blessing of your love should
I think of that. Lizzie, your love shall raise me from the depths into
which I have fallen. (Embraces her as Kate enters, C.)
Eug. (R. C.). Do not misapprehend, Kate. Let me explain before you
judge.
Liz. Do you not remember, I told you all the first day I came to your
house?
Kate. What do you say? Do you mean (staggers back against table
for support)—can it be that it was to him—to Eugene that you then
referred?
Kate. Eugene! Oh, what a cruel mistake! Oh, what a wrong I have
done a noble man! Heaven forgive me!
Eug. (going to her). Dear Kate, what is the matter? what do you
mean?
Kate. Do not ask me; dear, forget what I have said. It is all right now
—yes! all right now! Eugene—Lizzie—you do not need tell me
anymore. I understand (joins their hands); I am very glad, and now
will you please leave me? I—I would like to be alone.
Eug. Dear Kate, with the help of my sister and my wife, I hope I may
one day be what I once thought I was—a man! (Exit, C., with Lizzie,
who comes back to kiss Kate, then exit.)
Kate. Can it be true? Has the heavy load that has lain on my heart,
at the bottom of all the other loads that have lain there of late, really
gone? Yes—gone—all gone! Will he, can he forgive me? I must see
him at once! (Rings bell.) How could I for a moment mistrust him?
Jen. Yes'm. (Aside.) They two would make another nice equal-rights
couple. (Exit, C.)
Kate. What shall I say to him? Oh! if they could see me tremble, they
would no longer call me "strong-minded."
Kate. For ever having doubted you. Oh! how can I say how bitterly I
have wronged you?
Dr. E. Wronged me? and how? Do not fear: tell me all. Whatever it
may be, it is forgiven.
Kate. I doubted you. It seems impossible now that I could have done
so, but I did; circumstances caused me to lay the wrong-doing of
another at your door.
Dr. E. If the cloud that has been between us so long has gone, I am
too thankful to give anything else a second thought. So ask me not
to forgive you, but rather let me ask you if you love me?
Mr. G. Thank you, Kate. I—I hope to get back to business again
soon.
Dr. E. (L. of Mr. G.). Do not give yourself any uneasiness about your
business. That has gone on well.
Dr. E. That you were on the verge of ruin. But the crisis has passed,
and now all is well.
Mr. G. Paid! can it be? But how, who has done all this—you, doctor?
Dr. E. Not I, but one nearer and dearer, one more deserving of your
thanks—your daughter. (Indicates Kate to him, who is leaning over
his chair.)
Kate (coming around to his side, R.). Yes, dear father, my woman's
wit has been equal to the occasion. I saw Brown myself. I had saved
up a little money for the purpose of some day using in studying art,
and with that I settled Eugene's debts. I have taken your place in
the business as far as with my limited knowledge I could. So do not
worry any more, dear father.
Mr. G. Ah! my daughter, how foolish, how blind I have been! But the
scales have fallen from my eyes at last, and I thank God for the
great gift of my daughter. (Embraces Kate.)
Eug. Father, can you overlook what has passed and let me try once
more?
Kate (bringing down Lizzie, R.). And now, father, give your blessing,
will you not, on his union with one who has long loved him, and who
will help him to keep his word?
Mr. G. What! He wishes to marry Lizzie!
Kate. Yes, father, and she will make him a good wife.
Mr. G. (taking Lizzie's hand). Let me look at you. You have a good,
sweet face, child. Away with all false ideas of caste. Help my son to
overcome his past errors and I will love you always. (Lizzie kneels at
Eugene's side and he joins their hands.)
Eug. (rising and taking Lizzie L. to Mrs. Grovenor). And you, mother,
do you consent?
Mrs. G. I will confess that once I might have said no, but now—now
—now that I realize how false have been so many of my ideas, I
dare trust myself only to say, may you be happy. (Goes back of Mr.
Grovenor's chair, leaning over it.)
Dr. E. (R. of Mr. Grovenor's chair with Kate). And now, Mr. Grovenor,
will you give your blessing? For Kate has promised to be my wife.
Mr. G. Doctor, you have won a pearl of great price, but you are
worthy of it. Heaven bless you both.
Alice (aside). My ideas have been all wrong, but my fate is fixed
now.
Jim (coming down L. with Jennie). If you please, now, there is so
much being said about getting married, I would like to mention that
Jennie and I are going to get married, too.
Kate. And I wish to every woman in the land might come equal
rights, independence, and last, but not least, love.
Music, curtain.
Alice, Doughlass, R. Kate, Dr. Endicott, R. C.; Mr. Grovenor in chair C.;
Mrs. Grovenor at back of chair; Eugene, Lizzie, L. C.; Jim, Jennie, L.
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