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Sprinting the Last Mile

By Francis J. Quinn, Editor -- Supply Chain Management Review, 1/1/2001

More and more, we're hearing of the "last mile" of the supply chain. It's that critical point at which the product or part makes contact with the user. The idea is that all of the pre-planning and strategizing leading up to that point will go for naught if the customer contact is poorly executed.

The last-mile notion underpins a number of articles in this issue. It's really at the center of Chris Newton's comments in his Technology column. The AMR analyst believes that most business-to-consumer (B2C) endeavors will live or die based on the home delivery portion of the buying experience. That same theme is clear in our opening feature article on e-fulfillment. The authors from the Amos Tuck School at Dartmouth chronicle the trials and tribulations of one particular business segment that has jumped into e-business—the furniture industry—as it struggles to satisfy customers while keeping costs under control.

As Laura Rock Kopczak points out in her instructive article, the training for the last mile really starts at the design stage—well before the race ever begins. This is particularly true, she observes, in designing supply chains for the new "click-and-mortar" economy. Those chains must deliver a consistently positive customer experience regardless of the channel being used—online, in-store, or a combination of the two.

Technology can be a powerful aid in helping companies manage that critical last-mile leg. And fortunately for supply chain professionals, it is becoming increasingly robust. This is the message underscored in two of our feature articles.

The first focuses on the real-time supply chain, a concept that embraces instantaneous global connectivity, total asset visibility, and interactive "smart networks." Sandor Boyson and Thomas Corsi of the University of Maryland's Supply Chain Management Center describe the real-time concept and spotlight a few of its leading practitioners. These leaders, incidentally, are enjoying a widening competitive lead over the rest of the pack, the authors note.

Another article looks at intelligent trading networks, an intriguing technology of the not-so-distant future. As analyst Tim Minahan of the Aberdeen Group writes, companies will be able to use these ITNs to get all the information they need to make a more intelligent sourcing decision, one more responsive to actual customer needs. The engine that will drive, aggregate, order, and present this information is called the "knowledge hub."

Collectively, the insights and information offered in this issue can help ensure that the last mile is covered with enthusiasm, energy, and confidence.

New Web address: Supply Chain Management Review has updated and expanded its Web site. We also have a new address. Visit us at www.scmr.com.

617-558-4468, fquinn@cahners.com

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