Supply Chain Briefing

Thanks to my client Dan Vest, I read a fascinating article about Sears and Amazon. Who knew Sears and Amazon had so much in common?  Pretty startling!  The Reader’s Digest version is as follows:  Sears was the former Amazon just about 100 years ago, growing 50-fold within a decade with its world-famous catalog and then transforming from a mailing company to a brick-and-mortar giant.  They were the everything store with an uncanny feel for consumer demand.  Sound familiar?   So what might we learn from thinking about history and paying attention to trends?   

What Should We Consider and/or What Impacts Could Arise?

Perhaps Sears isn’t something to be totally ignored….  As transformative, customer-focused and growth-oriented as they were 100 years ago, they stopped looking for the next customer-focused innovation and have suffered mightily.  Clearly, if you lose track of your customer, you are likely to lose track of your growth and profits to boot!  It is also easy to get lost as you get big – suddenly what used to be innovative is replaced with ridiculous rules and bureaucracy with no glance in the direction of the customer.  Walmart came on the scene with amazing service and low costs.  And now Amazon is the 80 pound gorilla!

There is also another interesting development to note.  Amazon tends to choose strange bedfellows and has partnered with the brick-and-mortar giant.  Amazon will sell smart technology such as the Echo in Sears stores and the Sears flagship Kenmore brand product line will be sold through Amazon.  Unique collaborations seem to be driving success.  Just look at the partnership of innovative Amazon with “not-known-for-its innovation” United States Postal Service yet it “works”.  Do you see postal trucks delivering on Sundays?  I do.

Pay attention to history, trends and never stop thinking.  Add collaboration into the mix and you might just hit a home run.   

October 10, 2017

© Lisa Anderson