Archive

Services

  • services-img4Fulfillment
    Our customized solutions offer bottom line results.  With over 25 years experience, Kelly Direct brings clients a powerful arsenal of supply chain tools to create or supplement a customized program for efficient manufacturing, marketing and distribution...
    More>>
  • Warehousing and Logistics
    We specialize in the Southern California market to serve interests of those clients whose product is inbound from China. All warehouses are located within 45 of the Port of Los Angeles and LAX...
    More>>
  • prod_1
    Supplies
    We provide highly-discounted materials for your program including cartons, pallets, shrinkwrap and filler materials.   We also have full print capabilities for projects requiring inserts or personalized letters.
    More>>
  • services-img3
    Management and Consulting
    Why hire 10 different firms when you can just 1? We are experts at managing all facets of a merchandise distribution program though our services are menu-based since some programs require...
    More>>
facebook_icon-_round_-_smalltwitter_icon-_round_-_smalllinkedin_icon-_round_-_small
Blog
AMAZON.COM DRONE APPROVED BY FAA

Amazon.com won approval from the FAA to test a delivery drone outdoors, as the e-commerce company pursues its goal of sending packages to customers by small, self-piloted aircraft.

Fulfillment via drone is a realistic – and exciting-- scenario for some package deliveries in the future -- though the use of drones is fraught with issues involving safety and privacy.

Key components and restrictions of the program are below:

  • Amazon prototype drone will be allowed to perform test flights over private, rural land in Washington state.
  • The experimental certificate applies to a particular drone and Amazon must obtain a new certification if it modifies the aircraft in any way.   This makes is it difficult to adapt the model quickly in the field.
  • Amazon must keep flights below 400 feet and keep the drone in sight.  (Amazon asked to fly up to altitudes of 500 feet).
  • Drone operators must have a private pilot licenses and current medical certification.

Industry updates, like these, are part of the Kelly Direct experience.   Our goal is to make you look good.  Keeping you up on top of developments in the fulfillment industry -- and mostly recently LA port operations -- is just part of the value we bring to the table.

To better manage your merchandise supply chain, please go to the “Contact Us” page.
 
Port Update Jan 2015

As know, West Coast dockside labor and management negotiations and significant infrastructure issues have resulted in the worst West Coast port crisis in decades.

Negotiations between the Pacific Maritime Association (PMA) -- which represents employers at 29 ports -- and the International Longshore and Warehouse Union (ILWU), which represents 20,000 dockworkers – have significantly impacted merchandise supply chain.  As a result, for the past two months, all of us in the industry have had extreme challenges getting containers off the vessel, into the warehouse and out to end users on time  (and without OT labor).

To give you an Executive Summary of what is going on – and to help plan for the next few months.

The Port of Long Beach opened a 30-acre depot for the temporary storage of empty containers.  The facility on Pier S will run to at least March 31 2015.  The idea is to provide more space to place empty cargo containers, remove their chassis and use them to pick up new loads of incoming cargo containers.

The four companies that control 95% of the chassis at Los Angeles-Long Beach (over 100,000 chassis)  agreed to develop a neutral chassis pool.  Phased roll-out began on February 1, 2015.  The assets of the four chassis pools will be interoperable, which means that a trucker pulling a container and chassis can pick up or deliver the equipment at any of the 13 terminals in the harbor without regard to which pool serves a particular shipping line or terminal.

The negotiations appear to be easing into a final agreement.  Spokesmen for both factions (PMA and ILWU) disclosed that the issue of maintaining cargo chassis has been addressed, thereby easing the way toward a final agreement.

When an agreement is reached, however, there will be an additional 30-day period to allow time for the ILWU to ratify.

The bottom line:

Overall, we feel that the situation is getting better and we should see a quicker – 5 to 7 day -- turn of containers at West Coast ports in the coming months.

We will continue to keep you updated on this evolving issue and its potential impact to your programs.

 

 

 
EBOLA WARNING FULFILLMENT
I was in the security line at JFK airport recently and contemplated the four Ebola Warning signs displayed in the rather lengthy security line. The message was targeted to US passengers flying to Western Africa who were unaware of the Ebola crisis.

No comment.

Anyway, being in the logistics field for so long, I can't help but think about what went down to fulfill this urgent and sensitive information. Besides, I had plenty of time in line.

MISSION:

DISPLAY EBOLA WARNING SIGNAGE AT DOMESTIC AIRPORTS

While we did not work on this project and have absolutely no visibility to the chain of events, this is a scenario we envision.

1. DEVELOP MESSAGE

CDC project manager writes verbiage similar to those used in past epidemics. Submit to decision makers. Wait for decisions. Update verbiage twice and re-submit for final approval. Add images and graphics. Repeat approval process. Add Spanish language translation. Remove silhouette symbol of child. Make font larger for elderly or handicapped passengers. Obtain final approval.

2. BUILD DATABASE

Contact severely overburdened TSA to provide database of airports flying outbound to
West Africa. Obtain list of each carrier at those airports. For each carrier, determine number of signs required based on the quantity and typical size of queues. Submit database. Obtain approvals for database and authorization to drop signage at TSA headquarters. Due to significantly reduced labor pool, TSA successfully diverts delivery and distribution of the signage to individual airline carriers increasing the number of deliveries ten-fold.

3. PRINT SIGNAGE

Locate pre-approved print suppliers . Must be based on East Coast for proximity to primary airports. Contact most familiar supplier capable of urgent turn for 1,750 units. Call the next two guys. Obtain three bids to print 2-sided, 2-color signage. Submit for PO approval. Provide art to print vendor. Printer prints signs.

4. DELIVER SIGNAGE

Locate pre-approved transportation supplier. Must be in close proximity to printer. Obtain three bids to 1,750 units to authorized fulfillment company. Get approval and obtain PO. Determine warehouse receiving hours and supervisor name and cell phone number. Deliver signage to warehouse.

5. ASSEMBLE SIGNAGE

Signage received and scanned at warehouse. Verify inventory counts. Assemble into sets of 12. Wrap each set with plastic band. Download database. Database has formatting errors. Re-submit database. Sort database by location (most urgent first) with a sub-sort of the number of 12-packs needed for each carrier at each airport. Print shipping labels. Select ship carrier and determine rates. Submit for PO approval. Realize that instructions sheet (with approved verbiage) should be inserted to each carton. Copy inserts. Purchase and build cartons to accommodate twelve 24"x24"x12" signs. Pack-out each carton with 12 sign pack, instruction sheet, ship label(s), quantity identifiers (1 of 3, etc.) and "URGENT" sticker.

6. DELIVER SIGNAGE
Deliver signage to carrier at each airport. Due to security alerts, loading dock access is severely delayed resulting in one-hour wait time for each delivery. Deliver unit(s) to LAX-based airline loading dock.

7. INSTALL SIGNAGE
Each carrier -- approximate 14 for each airline at each airport -- drives golf cart to deliver signs to each security queue. Discover carrier does not have enough metal stands to accommodate new signs. Carrier obtains approval to replace current "dangerous items" alert with Ebola alert. Signage installed at each security line for each major airport.

MISSION ACCOMPLISHED!

8. NEW AIRPORTS IDENTIFIED. CDC adds O'Hare International Airport and Washington Dullus Airport to Ebola notification list. Repeat steps 3-7.

9. CUSTOMER SUPPORT
Respond to airlines asking what to do with signs because they didn't read the instructions sheet.

10. RETURNS AND STORAGE
Manage and process returned , refused, undeliverable or damaged cartons. Inspect, re-pack, re-furbish and replace as needed. Maintain minimal stock levels to avoid storage fees.

This projection is not intended to be pessimistic or condemning. We just wanted to illustrate that most "simple" projects are not simple at all.

 
<< Start < Prev 1 2 3 4 5 6 7 8 9 10 Next > End >>

Page 2 of 10

CALL NOW

818 262 0613