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Reducing Air Shipped from the Ship-from-Store Network

With 50% of all Americans living within five miles of a Target store, Target launched the Ship-from-Store (SFS) capability to fulfill guest (customer) orders quicker and cheaper. Direct-to-guest fulfillment is expected to grow more than 30% this year and is a critical component of Target’s omnichannel distribution strategy. But unlike Fulfillment Centers' box suites, the SFS suite was not optimized for the orders shipped, resulting in the delivery of excess void space (air) to guests. The Tauber team was engaged to conduct a gap analysis between the current and future state of void space shipped to guests via the SFS network, with the objective of reducing shipping and material expenses.

View team project summary

Student Team:
Juan Fernando Arango—Master of Supply Chain Management
Kyle Kenkel—MSE Mechanical Engineering & Master of Management
Kyra Mahoney—Master of Business Administration

 

Project Sponsors:
Preston Mosier—Senior Vice President Fulfillment Operations
Stephanie Brown Washington—Senior Supply Chain Program Manager

 

Faculty Advisors:
Jason Habeger—College of Engineering
Joline Uichanco—Ross School of Business