In a world where consumers want their online purchases pretty much the moment they hit “confirm order,” Amazon is launching a new delivery program, Flex.  This new delivery process will use any Average Joe with a car and a drivers license to deliver your Amazon purchases.

Don’t miss updates on Procurement & Supply Chain, Subscribe here!

Let’s face it, we’ve all become pretty accustomed to free shipping. But that free shipping isn’t free to the company and as delivery expenses increase, companies are forced to either pass along those costs to consumers or find some other way to control and/or reduce costs. Flex is Amazon’s purported answer to controlling delivery expenses while getting packages to consumers faster.

Whether Flex ends up working and solves the problem it was created to fix remains to be seen. Amazon is taking a cautious approach and launching only in the Seattle area as a start. If all goes well, they’ll slowly expand into other geographic markets.

What Amazon continues to do is something that we here at the NLPA always stress -“thinking outside of the box.”  What could your company change within it’s processes that could open up new avenues for revenue or increased cost savings?

 

Charles Dominick, SPSM, SPSM2, SPSM3

Charles Dominick, SPSM, SPSM2, SPSM3 is an internationally-recognized business expert, legendary procurement thought leader, award-winning entrepreneur, and provocative blogger. Charles founded the Next Level Purchasing Association in 2000, oversaw its incredible growth, and successfully led the organization to its acquisition by the Certitrek Group in 2016. He continues to blog and provide advisory services for the NLPA on a part-time basis as he incubates his upcoming business innovations. Charles is also the co-author of the wildly popular, groundbreaking book, "The Procurement Game Plan: Winning Strategies & Techniques For Supply Management Professionals."

More Posts