Re: Re: Covid Delta
By: Dr. What to Tracker1 on Tue Oct 05 2021 07:54 am

Tracker1 wrote to Ogg <=-

Depends on the business... too many are and have been interdependent on on-dem
shipments and limited inventory.

That's the lean inventory system. Many companies have gone to that over time. No
warehouses, no stock loss. A big retailer here in Michigan doesn't have warehouses
They just have cross dock facilities. Manufacturer trucks pull in on one end, and
unload. The stock goes through the facility, gets split up and comes out the other
end to a truck destined for a store.

The problem isn't lean inventory. It's offshoring of manufacturing, which many
companies did to save money because of 1) unions demanding professional level
compensation for still-less jobs and 2) the gov't raising the cost of maintaining a
employee (think unemployment, insurance, gov't regulations, etc.).

... If corn oil comes from corn, where does baby oil . . .

At college every professor promoted working without deep inventories as the end all be
all of stocks administration.

There is a bunch of markets where such a thing does not work at all I am afraid. If
you don't have deep stocks you cannot absorb spikes of demand. If your regular saleflow is 100 per week and you store 100 units only, if you get some psycho to
purchase 90 units on monday you are screwed because chances are you won't get supply
enough quickly enough for tuesday and every unit you cannot supply will be sold to
your would-be-customers by your competitors.

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Arelor wrote to Dr. What <=-

There is a bunch of markets where such a thing does not work at all I
am afraid. If you don't have deep stocks you cannot absorb spikes of demand.

And I think that's one of the lessons learned from the scamdemic. I think you'll see companies running lean - with some warehousing to handle the spikes.


... I've met zucchini with more potential.
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