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May 4, 2015

TRUCKING INDUSTRY COMPETENCE * USA: Ashley Furniture Industries'

* Wiscosin - Ashley Furniture steers clear of outsourcing deliveries


-- Bucking the trend toward outsourcing trucks and drivers, Ashley Furniture makes it own truck deliveries, adding profits through its handling of logistics... Ashley Furniture Industries, the largest maker and retailer of furniture in the U.S.A. owns and operates about 800 trucks and delivers almost all of its products from factories to stores. Rather than viewing the delivery process as an expensive burden better left to outside experts, the company has turned logistics into a competitive advantage and makes additional money by loading up its trucks on return trips... Ashley says its drivers are more reliable than third parties would be.,, Ashley's drivers get paid extra to load and unload trucks; their average earnings are more than $70,000 a year... Ashley employs about 3,000 people in transport and warehouse functions, nearly one-fourth of its total U.S. head count... According to supply chain consultant Mark Pearson of Accenture, Ashley's approach isn't typical, and most manufacturers switching to a third-party transport service expect greater reliability and savings of at least 10%... Echoing a sentiment heard among many U.S.A. manufacturers, a company spokeswoman says building a fleet will be a slow process. Perhaps the biggest problem is it's tough to find experienced drivers... 
(Photo: Ashley Furniture's factory inArcadia, Wiscosin)  --  Arcadia, WI, USA - Wood Working, by Larry Maloney - 1 May 2015

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