At Dee Set, we understand that a successful supply chain is the backbone of retail excellence. Despite its critical role, the complexities and challenges of supply chain management are often underestimated. With unpredictable challenges on the rise, more retailers are turning to seasoned specialists to navigate end-to-end ecommerce logistics, mitigate delays, and tackle inventory issues. Supporting this shift, the 2023 Euromonitor International Sustainability Survey reveals that 56% of companies worldwide plan to increase investments in enhancing supply chain stability. In the fast-paced retail world, efficient supply chain management is essential for driving sales and maintaining a competitive edge. Retailers face the significant pressures of meeting consumer demands while safeguarding brand reputations and financial targets. In this high-stakes environment, mastering your supply chain operations is not just a necessity, but the key to success. At Dee Set, we take pride in orchestrating a seamless product journey—from global procurement to final retail presentation. Our expertise extends into the world of eCommerce, where we leverage data-driven insights to transform logistical challenges into streamlined operations. As reported by Social Shepherd, UK eCommerce revenue is expected to grow at an annual rate of 5.16% from 2021 to 2025, making effective eCommerce order fulfilment a crucial part of business success. In our latest blog post, we delve into the world of supply chain management with Lee Horton, our Product & Supply Director. With a career that spans roles from Pick and Mix Buyer to heading up Fulfilment and National Accounts, Lee has been instrumental in refining our supply chain processes. Join us as Lee shares his insights into our supply chain strategies, sustainability efforts, and the keys to successful retail operations. Discover the secrets behind our logistical processes and learn how we ensure every operation delivers excellence. A: In terms of the product side of things, this actually refers to the process of buying products from around the world. Here at Dee Set, we have the capabilities and technology to package these products and then sell them to other retail businesses and directly to consumers online. This could be through a platform like Amazon or eBay. In terms of the products we sell directly into retail, they can be on-the-shelf products, placed on a free-standing display unit (FSDU), or even a clip strip. The supply chain process is multifaceted, including consolidation, order fulfilment (also known as product POS, where we prepare store-specific picks), and UK distribution. For companies that manufacture products abroad, we act as their UK distribution centre, handling the supply chain and ensuring seamless delivery to retailers. We also have a thriving Co-Pack model, which includes services like security tagging at the source, assembling products into gift sets, attaching items to clip strips, reworking products in various formats, and providing end-to-end FSDU builds. Additionally, we offer e-tailing services for businesses that lack the infrastructure to manage their own supply chain. Essentially, products arrive at our distribution centre in one format, and we rework them in multiple ways to meet our customers' specific needs. A: It all boils down to driving sales. To achieve strong sales, you need products readily available on the shelves at competitive prices. A cost-effective supply chain is crucial because it helps manage expenses, improving ROI while ensuring a steady and reliable supply. Without this efficiency, prices could rise to the point where sales begin to decline. An efficient supply chain aims to streamline processes and minimise product handling. For this to work, a robust infrastructure is essential. Inventory management is the starting point—ideally, we'd have unlimited stock in our UK distribution centre to fulfil all orders effortlessly, but that's not realistic. Instead, we focus on balancing high product availability with optimal stock levels. Accurate forecasting and a team of experienced colleagues are key to mastering this balance, which is why we recruit professionals with a strong background in retail and branding. Building strong relationships between brands and retailers also plays a vital role. Our primary goal is to deliver projects in full and on time. To achieve this, agility is critical. We need to be responsive to shifting trends, which requires both a flexible workforce and a versatile distribution centre. Depending on the task, you may need different types of space—whether it’s floor space, detailed pick space, or pallet spaces. A seamless end-to-end process significantly reduces costs by eliminating silos and streamlining product handling from receipt to shelf placement. Data, analytics, and automation are integral to keeping supply chain costs down, while also providing the visibility needed to monitor, manage, and communicate effectively. Sustainability is also a growing priority. In recent tenders, environmental impact and corporate responsibility have taken centre stage, often outweighing cost considerations. While not all customers may require the same level of support, we can adapt our services to meet their specific needs. A: A great example to illustrate this process is an FSDU (Free Standing Display Unit). Whether it’s a product, POS material, or an FSDU, the core principles remain consistent. In the retail sphere, both the retailer and the brand make significant investments in promotional space. For instance, a promotional window usually lasts between three to six weeks. Every day that this in-store promotion isn’t active is a lost opportunity for your investment to yield returns. The process starts with the design of the FSDU, which is no small task, as every retailer has unique specifications. If these specs aren’t met, the project will be declined, making this your first critical investment. Next is the manufacturing stage, where again, each retailer has specific requirements for height, weight, and size. Following this, you move to stock management—ensuring the stock is correctly listed on the retailer's systems and available for fulfilment. It’s shocking how often stock forecasting is overlooked, resulting in a situation where all the investments are made, but the stock isn’t available. Then comes the assembly and filling of the FSDUs. This involves our expertise in packing, filling, conducting transit testing, and quality checks. The delivery phase follows, where specifications must again be met - whether delivering to a distribution centre or directly to a store. As a listed vendor with every major retailer in the UK, we use our own fleet to ensure that delivery is smooth and reliable. Unlike third-party agencies that may rush the process, we stay until the delivery is complete and meets all your business requirements. Once the FSDUs arrive at the store, our retail merchandising team steps in. They leverage strong in-store relationships to ensure the FSDUs are placed in the optimal location to maximise sales potential. Throughout this entire process, we’re continuously collecting data, providing live, mid, and closing reports, offering insights and recommendations, and managing the financial aspects. Typically, a retail brand might need to coordinate with six different companies to achieve this end-to-end process, but we streamline it all under one roof. If any part of the process fails, it can cause delays, additional costs, and a shrinking promotional window, leading to lost marketing spend and missed sales opportunities. A: Managing and delivering these projects is challenging, but experience makes it more manageable. Achieving 99% shelf and product availability, timely project delivery, and cost efficiency are crucial to our success. At Dee Set, we’ve accumulated extensive data through our years of experience working with both brands and retailers. Our audits reveal that when retailers handle their own promotional activities, success rates hover around 55%. In contrast, when we audit promotional spaces managed by our competitors, success rates are about 80%. However, with Dee Set’s end-to-end services, our success rate is an impressive 98%. Our success is driven by a combination of expertise, established relationships, and effective communication. We work with over 100 retailers and 1,000 brands, constantly consulting with key stakeholders and leveraging years of experience. Critical path management is vital, not just in identifying issues but in resolving them promptly and maintaining clear communication throughout. Promotional timelines typically span 12 to 52 weeks, but we often face shorter notice periods. Managing expectations, being transparent, and proactively addressing challenges are essential. Meeting client specifications is crucial, as failure to do so adds unnecessary costs and risks. For instance, different retailers have specific packaging and labelling requirements that must be adhered to precisely. Our experienced team, with an average tenure of 8 years, strengthens our client relationships and enhances our service. Retail analytics, retailing technology, and real-time reporting are integral to our approach, ensuring transparency and insight throughout the process. By retaining knowledge and continuously refining our methods, we provide the tools necessary for success, ensuring that every project is executed effectively. Be sure to check out our latest podcast episode with Lee Horton for more info: Retail Insider - Retail Behind the Scenes (youtube.com) In the ever-evolving, unpredictable retail sector, it’s clear that retailers will continuously face the challenge of ongoing uncertainties and new developments. One thing is for certain though: Ensuring that you have a supply chain process that adapts to the market and meets customer needs will only prove successful in helping you to avoid any adverse outcomes. These days, consumers expect so much more from retailers. From varied delivery options, and enhanced convenience and personalisation—staying agile and adapting your operations to meet these changing needs and expectations is crucial. Logistics and fulfilment have evolved beyond just packing and shipping; they now play a key role in customer satisfaction and business success. Struggling with your current eCommerce logistics process or your warehouse fulfilment services? Partner with Dee Set and let us handle each process, enabling you to focus on other important matters like building a standout business. Whether you need a complete end-to-end solution or help with specific challenges, we're here to assist. Get in touch today to see how we can transform your business for the better… Be sure to check out our latest podcast episode with Lee Horton for more: Retail Insider - Retail Behind the Scenes (youtube.com)Q: Hi Lee! Can you elaborate on the product and supply chain process within Dee Set?
Q: Why is the product and supply chain aspect so important for retail operations?
Q: Could you give us an insight into what a true end-to-end process looks like?
Q: So, what do you think the key to success is in managing and delivering on these projects?
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