Terms:

Pre-order : B2B orders taken before a collection is officially launched, On is obligated to deliver the products to stores on time ; certain cancellation / alteration could happen and is part of our philosophy of ease of doing business; e.g. “Hello On, this is Intersport Austria, I’d like to order 1’000 pairs of your new model in attached size curve for the next season, to be delivered on or about 07 ^th of November. Although it is only 10 ^th of June today, I’d like to already order the shoes to make sure they are available for us in December, and to take advantage of your pre-order discount, in order to further improve our own profitability.”

Re-order : B2B orders taken during the season, typically stores will re-order shoes in (potential) out-of-stock situations, and On tries its best to deliver the products according to at-the-moment stock availability; e.g. “Hello On, this is Jelmoli, please deliver 10 pairs each of Cloud Black for Men in sizes 8 to 11 to us ASAP, the colorway sells so well and we are already out of shoes, we cannot wait until the next pre-order to arrive next month! Oh, you don’t have size 9 anymore? Then we’d like to order additional 3 pairs of size 8.5 and 9.5 each.”

Pick & pack : for any physical goods-related industries, pick & pack is a common service offered by warehousing solutions providers. It is a process in which the individual components of an order are gathered from master cartons (hence “picked”) and then placed into a box or envelop addressed to a specific recipient (hence “packed”).

Question:

1. Supply planners , to whom you will notify what is the latest possible arrival date for new products?
2. Warehouse supervisors , to whom you will forecast the operations plan in terms of pick & pack and distribution (shipping out products to customers)
3. Customer service managers : with whom you will facilitate a discussion on “how to improve ease of doing business at On” for this new collection. Food for thought (here are just some suggestions, feel free to follow your own flow):
   1. What does “ ease of doing business ” strike you? What do you think our customers care most about? Is there any difference in the definition for different markets / segments and what are your assumptions, or how to plan to find out about it?

Data:

	Warehouse location	Pre-order at collection launch	Historical re-order cancellation	Expected reorder Aug - Oct / per month	Expected reorder 1. Nov – 6. Nov	W/H daily pick & pack capacity	Sub-market business share	W/H to customer delivery time / working days	Possibility weekday 2nd shift	Possibility weekend shift
CH	Embrach ZH	30'000	2-5%	15'000	5'000	2'000	N/A	1-2 days	No	No
EU	Luxembourg	80'000	2%	40'000	18'000	3'000	DE: 60% AU & UK: 15% each Benelux & France: 10%	NL: 2.2 days DE/FR: 2.5 days AU: 4.5 days Others: 3.5 days	Yes, at 60% efficiency	Sat, 100% efficiency
US	Atlanta GA	120'000	10-15%	35'000	14'000	4'000	East coast: 50% West coast: 30% Midwest & South: 20%	East: 2-3 days West: 6-7 days Midwest & South: 4-5 days	Yes, at 40% efficiency	Sat, 100% efficiency
JP	Yokohama	20'000	0%	10'000	5'000	500	N/A	1-2 days	Yes, at 80% efficiency	Sat & Sun, full efficiency