In a move that could dramatically affect companies that rely on the U.S. Postal Service, the federal agency recently announced that it would immediately be ceasing first class shipments on Saturdays, and that USPS will not be operating at all on weekends as of this August.
The decision is an effort to dramatically reduce costs, as Americans increasingly turn to e-mail and private package delivery companies instead of the federal agency, Politico reported.
For companies that relied on the USPS for their shipments, the news could affect their earnings potential. Supply chain expert Dave Blanchard wrote in a recent blog post for Industry Week that this announcement proves that there is no such thing as a 100 percent reliable shipping method, and that companies should rely on a multi-channel distribution format to ensure that goods and services move through the supply chain in an efficient manner.
"All the rage at the recent ProMat trade show was multi-channel distribution, making it possible for retailers like Walmart, Amazon, Macy's and others to improve their efficiency at the distribution center level by enabling the same DC to fulfill orders for any channel you can think of, whether it be for an entire chain of stores, catalog orders or single orders from consumers," Blanchard wrote.
Another option for companies to consider is the implementation of supply chain software. That way, a business will have more control over their entire procurement and distribution process, allowing them to reallocate resources at a moment's notice should any supply chain disruption occur.