Target corporation distribution strategy

Again, you will research the various elements of the marketing plan as it relates to this company.

Target corporation distribution strategy

Published estimates are that Target imports aboutcontainers of merchandise produced in countries like China, Indonesia, Vietnam, India, and Thailand.

Target corporation distribution strategy

Through the use of overseas consolidators, Target merges overseas goods to ensure full container loads are shipped to Target corporation distribution strategy America. These import containers arrive at domestic ports in: Five of the de-consolidators are positioned near major ports of entry: InTarget first introduced its first import redistribution warehouse into its network once the concept was proven to be an effective strategy by Walmart and K-Mart.

Target corporation distribution strategy

The import warehouse serves as an important inventory buffer where import merchandise is stored until such time that it is needed by the regional distribution centers. Some people might consider this concept to be inefficient as it introduces another stocking point within the distribution network which adds cost penalties for handling and storage.

This in turn improves the deployment of inventory within the network and also increases the efficiency and use of the regional distribution centers. It also minimizes inbound transportation expense to the regional distribution centers by ensuring that all transfers are shipped as full truckloads.

Overview of Target's North American Supply Chain Domestic vendors flow directly to Target's regional distribution centers when purchased in full truckload volumes. For smaller shipments of less than truckload volumes, Target has established a network of seven domestic consolidation points run by third party companies.

Target Distribution Center Network | MWPVL

These facilities are not designed for the storage of inventory, rathe r they serve as a merge in transit point to maximize the number of full truckloads inbound to the regional distribution centers which is an important strategy to minimize the cost of inbound freight in any market that has a large geography to cover.

In the United States, Target operates 26 regional general merchandise distribution centers totaling nearly 40 Million square feet. In Canada, Target operates 3 regional general merchandise distribution centers totaling 4. These massive facilities average 1.

The extension has dock doors on either side to support an extensive cross docking operation of fast moving merchandise whereby inbound merchandise is received on one side and outbound loads to the stores are shipped on the other side.

Within the main complex, extensive conveyor systems that are typically 6 - 8 miles long are used to flow through and sort pre-labeled cases directly from the receiving doors to the shipping doors to minimize handling and manpower requirements. Part of the Inbound dock area is dedicated to a semi-automated process for unloading and sorting freight.

Rather than using a forklift for unloading, workers place all conveyable cartons from the semi-trailer onto a powered conveyor belt where a scanner reads the carton's label and determines whether the carton is Flow Through or Putaway to Reserve.

If a carton is Flow Through, the carton is sent via conveyor to an elevated mezzanine, where it is transported until it reaches the outbound shipping lanes which are assigned door per store. If, however, the carton is Putaway to Reserve, it circles around on a conveyor belt so that it is deposited by the same dock door from which it was unloaded.

Target operates a separate food distribution network in the United States. Target currently has four perishables distribution centers in the U. SinceTarget has gradually been increasing control over its food distribution network by adding automated perishables facilities to replace the use of wholesale distributors such as Supervalu.

The Last Days of Target

To this end, Target has worked with Swisslog and WITRON to build semi-automated and fully automated perishables distribution centers which are amongst the most advanced in North America. At these facilities the company deployed a technology called the CaddyPick system which is a semi-automated monorail picking system that transports store-specific monorail-suspended trolleys through aisles for order fulfillment.

A video of this technology can be seen here. These frozen and refrigerated distribution centers are equipped with a high bay warehouse with 18 stacker cranes to automate pallet putaway and retrieval. InTarget opened a fully automated perishables distribution center in Denton, TX.

A good overview of this facility is available here. As well, overviews of this automation technology can be found here and here. In Canada, Target outsourced the distribution of temperature-controlled i. Dairy, Frozen, Perishables and Chocolate merchandise and some ambient merchandise through Sobeys Inc.

A small percentage of food merchandise was delivered by vendors directly to the stores as DSD shipments which is typical in the industry. Three distribution centers were built to specification in Cornwall, ON, Mississauga, ON and Calgary, AB and all three facilities are scheduled to be closed in or around April, as Target exits the market.

To support the Target. Target has a sizable on-line business and the type of distribution center required to efficiently support e-commerce order fulfillment is different from a retail distribution center. As far as reverse logistics is concerned, Target stores generally send palletized returns back to a subset of regional distribution centers or LTL hubs where goods are consolidated and shipped to a centralized returns processing center located in Indianapolis, IN.

This operation is run by a third party logistics company called Genco which has a strong track record in operating returns processing facilities.Question This week you will continue your comprehensive marketing plan researching the TARGET CORPORATION that you researched in previous units.

Again, you will research the various elements of the marketing plan as it relates to this company. You will provide a comprehensive discussion of placeor distribution strategies of your company.

Target Corporation Distribution Strategy. Target Corporation was founded in by George Dayton in Minneapolis, Minnesota. It was originally called “Dayton Dry Goods Company” and then later became Dayton Company in target corp marketing strategy 1.

business objective statement owner ship & management alternatives goods and services category target’s swot overall strategy & specific activities distinct differences of target and wallmarts imc strategies why target more focused on value.

About Target Corporation. Cheap-but-chic Target is the US's #2 discount chain (behind Wal-Mart). The fashion-forward discounter operates 1,plus Target and SuperTarget stores across the US, as well as an online business at Updated world stock indexes.

Get an overview of major world indexes, current values and stock market data. In the fall of , hundreds of Target Canada head office staff piled into the auditorium at the Mississauga Living Arts Centre for a state-of-the-union address from their leaders.

Target corporation distribution strategy