Today is Labor Day, a moment when we fire up the grill, crack open a cold one, and pay tribute to the hardworking individuals who keep our economy thriving. As the unofficial end of summer approaches, families and friends across the nation are gearing up for the ultimate backyard grilling, stocking up on burgers, brats, and beverages for this special occasion.
But behind the scenes, major retailers and businesses nationwide work tirelessly to ensure our shelves are stocked.
Sizzling strategies for the Labor Day rush
A recent survey reveals that 80% of Americans plan to host or attend a barbecue during Labor Day weekend. Grilling or not, 90% plan to purchase food, and over half plan to purchase alcoholic beverages. To cater to this demand, supermarkets are making strategic preparations and implementing several strategies. They are:
- leveraging advanced analytics to analyze sales data from previous years to determine the ideal quantities of grilling equipment helps businesses forecast the ideal quantities of grilling essentials. Predicting demand at the day-SKU-store level, enables them to position inventory more effectively, minimizing waste and maximizing sales opportunities.
- expanding inventory for grilling essentials including different cuts of meat, plant-based options, and long-shelf-life items like hotdogs and frozen buns. This strategy not only caters to diverse consumer preferences but also ensures that businesses can meet the rising demand without running into stock shortages.
- building strong relationships with suppliers to ensure a reliable and efficient flow of goods, as it is essential for alternating sourcing options and expediting delivery services in case of potential disruptions. So retailers can act proactively to find alternative sourcing options, expedite deliveries, and provide real-time information to help businesses adapt in an agile manner.
- leveraging just-In-Time (JIT) inventory management to receive products based on actual sales rather than forecasts. This helps retailers reduce the need for large storage spaces and reduces the risk of spoilage for perishable goods. By using real-time insights into stock levels, retailers can dynamically order based on actual sales trends. If a particular item is selling faster than anticipated, supermarkets can quickly place additional orders with suppliers to restock, ensuring that they do not run out of popular items during the holiday weekend.
- using omnichannel integration by integrating their online and offline channels. They can provide an easy shopping experience for customers such as offering curbside pickup and same-day delivery.
- building effective communication and collaboration among all stakeholders in the supply chain to enhance operational efficiency and responsiveness, especially during the peak seasons. They can facilitate real-time data sharing across departments and various stakeholders, so everyone to reach the same information enabling quicker decision-making and more agile response to changes in demand.
The importance of prioritizing employees in the supply chain
Upholding employee rights and ethical standards is continuously increasing as consumers, investors and governments demand transparency and accountability in supply chain practices. Laws like Germany's Supply Chain Act enforce due diligence in respecting human rights throughout the supply chain, protecting against issues like forced labor and discrimination. Companies that proactively manage these risks can avoid reputational damage and legal implications that arise from labor violations.
And of course, it fosters trust. Prioritizing employee rights fosters a culture of trust and accountability. When employees are treated fairly and their rights are respected, it leads to higher job satisfaction, reduced turnover, and better overall performance, which benefits the entire supply chain. Leaders who model ethical behavior and hold themselves accountable create an environment where employees feel valued and motivated.
By focusing on the rights of workers and communities, we can achieve sustainable development, create positive social impacts, and build a more equitable and inclusive future.
On this special day, let’s take a well-deserved break and reflect on the supply chain heroes who keep our shelves full, and supply chains running. From the truck drivers logging countless miles to deliver our goods, to the warehouse workers tirelessly picking and packing orders, to the dock workers loading and unloading cargo - you are the backbone of our economy.
Are you ready to transform your supply chain into a resilient and sustainable powerhouse? Download the Oxford Economics Report: “5 Supply Chain Strategies to Achieve Resiliency and Avoid Risk”
