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More than a Source. A Resource.
980 Crown Court, Crown Point, IN 46307 219.663.4525 www.Balemaster.com
Balemaster® balers
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32 DC VELOCITY JUNE 2019 www.dcvelocity.com
ed, fulfilled, prepared, and shipped.
And in the case of third-party logis-
tics companies (3PLs) that provide
fulfillment services, there’s another
consideration as well: who that 3PL
has to be integrated with in order
to share and receive data. That’s the
observation of Rock Magnan, pres-
ident of Fremont, Calif.-based RK
Logistics Group, a leading Silicon
Valley 3PL supporting established
technology manufacturers, retailers,
and startups with warehousing, dis-
tribution, and e-commerce fulfill-
ment services.
“The buying experience has
changed, and those expectations are
spilling over to the delivery experience,”
Magnan notes. Whereas once an RK ware-
house might pull, package, and organize
orders into shipments for the one-time
4 p.m. arrival of the UPS or FedEx truck,
now shipments are going out at all times
of day with different service providers.
In some cases, the pickups are being
made by crowdsourced “on demand”
drivers doing essentially freelance delivery
work. That means 3PLs have to be much
more flexible than in the past. “How
orders come to us, how we pick, assemble
and pack, then select and notify the carri-
er, that’s all changing,” Magnan says.
And it’s being enabled by faster wire-
less technologies, powerful mobile apps,
and an emerging class of “delivery net-
work managers.” One example is Roadie,
which has gained the support of The
Home Depot and Walmart and is provid-
ing same-day deliveries of online-ordered
home improvement items and groceries,
respectively, in select U.S. markets. Roadie
deploys a network of crowdsourced driv-
ers and sophisticated software that can
direct pickups and deliveries through just
about anyone with a GPS-enabled smart-
phone, a vehicle, and time to make a
delivery.
“It’s like ordering an Uber, but instead
of delivering a person, it’s a package,”
Magnan says. “We get an order, process
it, and hit the ship button. Two minutes
later, we get a popup message that says Joe
in his Ford Escape is two minutes away to
pick up the shipment. He arrives, scans the
shipment, and off he goes. We get another
popup message that the package has been
picked up and is projected for delivery at
6: 15 that evening. And it could be going
to a consumer’s home or to a retail outlet
fulfilling product that’s out of stock.”
It’s not just 3PLs who are adjusting.
Consumer expectations and technology
are creating markets where none once
existed. “Who would’ve thought you
could get Burger King delivered right to
your door, at a cost that’s acceptable?”
asks Magnan. “E-commerce, app-based
technologies, crowdsourcing, and mobile
networks are changing the dynamic of
who is a driver, what’s a parcel, and how
and when things are delivered.”
