Category Archives: Service Operations

Managing retail customer queues to decrease dissatisfaction

An article in the Wall Street Journal (Dec 8, 2011) describes retail queues and consumer perceptions of waiting time.  While a single queue is mathematically ideal as an approach to decrease average wait times, consumers perceive any waiting time greater … Continue reading

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Toygaroo – the “Netflix of Toys” ?

Toygaroo (http://www.toygaroo.com) is a Netflix like service for children’s toys. parents sign up for three different levels of service (4, 6 or 8 toys outstanding) and pay a monthly fee. All shipping is through federal Express and is free to … Continue reading

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Higher taxes for ebooks than books in Europe

An article in the New York Times (Dec 2, 2011) describes the classification of ebooks as a service in Europe, thus facing sales taxes close to 20% vs a tax close to 5% for paper books.  In addition, books a … Continue reading

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Outsourcing labor to comply with India’s labor laws

An article in the New York Times (Nov 29, 2011) describes the outsourcing of the salespeople by Whirlpool’s India division. The varying labor regulations and enforcement, rules regarding layoffs for companies with mo than 100 employees etc, all combine to … Continue reading

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Slow down Postal delivery to save USPS ?

An article in CNNMoney (http://money.cnn.com/2011/12/05/news/economy/postal_service/index.htm?iid=HP_LN&hpt=hp_t2) describes a proposal by the US Postal service to change the delivery guarantee for first class mail from the current one to three days to a slower two to five days.  The slower delivery will … Continue reading

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Light Bulb regulation in January 2012 and supply chain impact

An article in he New York Times (Nov 16, 2011) describes the impending regulation that bans manufacturing of the traditional light bulb in January 2012. While sales from inventory can continue, new light bulbs will be required to be more … Continue reading

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Paper pallets at IKEA and supply chain benefit

An article in Bloombergbusinessweek (Nov 28, 2011) describes efforts by IKEA to replace its 10 million annual usage of wood pallets with paper pallets. The paper version is 90% lighter, designed to pack more load, is single use and can … Continue reading

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Walmart’s environmental efforts in China and US retail impact

An article in the Atlantic (December 2011) suggests that 70 % of Walmart’s $420 billion in sales are provided by 20,000 Chinese suppliers. Walmart’s efforts at decreasing waste, pollution etc thus impact its supply chain in China significantly, and increase … Continue reading

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Slower, larger, less polluting but on time ships

In an interview with Nils Anderson, CEO of Moller-Maersk, in Fortune (Nov 7,2011), he claims that ships have a 50% on time arrival rate.  His company is now adding larger but slower ships, which will emit 50% less CO2, but … Continue reading

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Making brick and mortar stores like ecommerce sites

An article in bloombergbusinessweek (Nov 14, 2011) decribes worries by retailers regrading an increase in informed focused consumers, a decrease in impulse shopping, and steps to compensate. Pacific Sunwear offers iPads to salespeople to assist consumers with possible clothing combinations, … Continue reading

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