[LEAP Week 10] eIQ Insights: Walking The Talk at aCommerce 21,000 SQM Fulfillment Center During 11.11

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ecommerceIQ, together with Sasin SEC, created the Leadership Ecommerce Accelerator Program (LEAP) to provide the fundamental knowledge and skills needed to successfully run an ecommerce business in the world’s fastest growing market.

Originating from China, Singles’ Day online shopping festival has become Asia’s official Black Friday and Cyber Monday since 2009. Taking place on November 11th of every year, it was initially set up to celebrate the individualism of Chinese consumers but became an annual online shopping extravaganza that Black Friday and Cyber Monday sales combined cannot even touch.

Southeast Asia’s very own Singles’ Day, nicknamed the Online Revolution, happens on the same day.  For the last class in the Leadership Ecommerce Accelerator Program, students learned how knowledge was put to action through a practical look at ecommerce operations in a 21,000 sqm fulfillment center handling B2B and B2C orders for 11.11.

Project Management is the Backbone of Your Fulfillment Center

Lai Tze Siung (TS), Operations Director aCommerce Thailand

Lai Tze Siung (TS), Operations Director aCommerce Thailand

Whether you are preparing for 11.11 or beginning to set up a fulfillment center, frequently asked questions often revolve around the capacity and resources needed to run the warehouse efficiently.

So how do we answer such questions?

Proper project management.

At aCommerce, TS explains there are 5 stages: Initiate, Plan, Execute, Control/Monitoring and Closing. Some vital areas to watch out for is demand forecasting, which requires active communications with clients to plan for upcoming promotions and campaigns equating to high influx of orders.

For special sale periods such as 11.11, the warehouse floor is re-adjusted to increase efficiencies for the shortest process cycle time. Customer expectations during the holidays are much high than normal and must be managed.

Other tips? Ensure to call COD customers before arriving at their doorsteps to collect cash because many times they aren’t at home or don’t have the exact change.

Over the years, the entire ecommerce landscape has changed and shifted the way our warehouses are built. The packing tables, shelves and racks need to accommodate larger items as more consumers become comfortable with ordering items such as refrigerators and TVs online.”

After the presentation, TS and the operations team led the class through the fulfillment center to understand how customer service reps answer product questions.

More people are using social media to connect with their brands. We have seen the number of phone calls declining drastically over the years.”

The class was also showed how high-value items are stored in a secure location, which operations technology systems were running the backend and the entire picking and packing process.

The flow of our fulfillment center

A quick introduction of the safety measures and the fulfilment center operations.

The tour started at the inbound station, where goods are delivered to be stored according to brand. Items are also categorized according to its popularity. The fast-moving items are placed near outbound for quick pick-and-pack and delivery.

A walk through the large, bulk item section where 50” television, refrigerator, air conditioning units, etc. are stored.

aCommerce uses movable workstations to bring the labels and processing to the large items.

aCommerce staff explains the information each employee needed to complete the process. This includes the identification the location of the items or what are the items ordered in a basket.

At aCommerce’s pick-and-pack stations, where the items are being packed into boxes and the system will automatically choose suitable logistics supplier to complete the delivery.

As we come to the end of the first Leadership Ecommerce Accelerator Program, we look forward to celebrating the success of our senior executive class as they move forward in their companies with the new knowledge gained.

Thank you to all of our lecturers from leading industry players such as Lazada, Pomelo, eatigo, Kerry Express, honestbee and aCommerce. Thank you to Sasin Graduate Institute for the support and input. And congratulations LEAP graduating Class 2017 for the completion of Southeast Asia’s first ecommerce executive program!

For those interested in learning more about upcoming classes and workshops, please send us a message here.

If you haven’t had a chance to catch up on the past nine highlights from the 10-week program, here are the links to the past insights:

[LEAP Week 1] eIQ Insights: The New Ecommerce Opportunity in Thailand

[LEAP Week 2] eIQ Insights: Refinement of an Ecommerce Channel Strategy

[LEAP Week 3] eIQ Insights: Market-Product Fit First Before Anything

[LEAP Week4] eIQ Insights: Central Marketing Group’s Shares Phase II of Digital Strategy

[LEAP Week 5] eIQ Insights: Startups Need to Have an Independent Source of Income to Survive

[LEAP Week 6] eIQ Insights: In Mobile Commerce, App Install is Only the Starting Point

[LEAP Week 7] eIQ Insights: Logistics and Fulfillment, The Other Side of The Ecommerce Coin

[LEAP Week 8] eIQ Insights: Looking to Succeed in Fulfillment and Logistics? Start with Data and People

[LEAP Week 9] eIQ Insights: Thailand Must Do More With Less to Achieve a Digital Economy