The Walmart supply chain has been challenged, the company admitted in a blog post, but the company has been able to deal with congestion and inflation so that it is ready for the holiday season.
In the blog post, Jennifer McKeehan, senior vp, end-to-end delivery, stated that global supply chains have improved but not fully recovered as the COVID-19 pandemic winds down. In the meanwhile, the company added, the pressures of the past few years have produced sustained shifts in consumer behavior, including people doing their holiday shopping earlier than ever.
Under the circumstances, Walmart has taken steps to ensure its supply chain is ready this holiday season, McKeehan says, including:
- Optimizing the company supply chain operations end-to-end and working closely with carriers across ports, rail and delivery to ensure an efficient flow of merchandise into stores as well as strong in-stock levels for customers.
- Serving customers by fulfilling orders through Walmart’s 4,700 stores while offering convenient pickup and delivery options for more than 240,000 items, Express Delivery within two hours and free next-day or two-day delivery on online orders.
- Bringing customers fast, reliable delivery through the Spark Driver platform, Walmart’s largest local delivery service provider, one that reaches 84% of U.S. households across 10,000 pickup points.
- Introducing an extended return policy that includes easy curbside returns at customers’ local stores as well as more convenience for Walmart+ members through InHome Delivery and easy return pick-up.
- Testing and expanding local delivery capabilities using drones and autonomous and electric vehicles, efforts that include expanding Walmart’s DroneUp delivery network to 34 sites by 2022’s end with the potential to reach four million U.S. households across six states.
- Building four next-generation fulfillment centers over the next three years, with the first having opened in Joliet, Illinois, an initiative that employs automation and innovation to flow products faster through Walmart’s distribution and fulfillment networks.
- Deploying automated technology in three distribution centers with an additional three slated to go live before the end of the year.
- Hiring some 40,000 associates across the Walmart U.S. business ahead of the holidays, and investing in and training supply chain employees to help expand the Walmart Private Fleet trucking operation.
