This document outlines a proposal for a new distribution model for Lowe's Home Improvement. It discusses insights into consumers, the company, and the home improvement retail category. It then poses a question about how a "hub-and-spokes" warehouse and distribution model could lower purchase costs for consumers and allow for more tailored customer service by decentralizing some operations away from large centralized stores. The document also references business consulting, storytelling, and media studio services from an organization called Humanity Compassion through Story.
29. We’ll have a shot because…"
- We act intentionally based on a vision we
wrote and re-wrote together as an
organization!
- We chase improvement in our own work
rather than the next job!
- We begin and end with purpose!
32. Consumer + Channel Insights !
‘Hub-without-Spokes’ Model!
1. Urban big-box retail customer purchase and
return opportunity cost high due to transport
logistics !
2. Centralized warehouse / sale / service model
makes customer care homogenous!
3. What % customers return or request service on
purchases?!
33. Company Insights !
‘Hub-without-Spokes’ Model!
1. Big-box retailers generally combine their
warehousing, retail, and customer service
operations under one roof!
2. Team member stocking, other non-customer-
facing activities rival, prioritize over customer
interaction!
3. Cross-department generally knowledge low,
awareness generally high!
4. Product volume, restocking rates vary across
departments!
5. Product mix consistent across stores!
34. Category Insights!
1. Amazon, Wal-Mart achieve efficiency through
fulfillment, warehousing centers respectively!
2. Best Buy Geek Squad at-home customer
service directly correlates with consumer
confidence!
35. How might a warehouse hub-and-spokes model
lower purchase opportunity costs and tailor
customer service?!