I cant believe they manually with hands have to direct where each packet goes and continues on what path based on what is written on the package - that's insane. Machine should be sccaning the generated bar code and distribute it automatically. I have no idea why that supply chain manager is so happy about their supply chain :D
Simply because the Bots haven't been unleashed on the Human workforce as of yet... wait for it... it's coming in 2024. Many will lose their "Manually Sorting" JO-B.S.
they would have already done it if it's cheaper. it's more expensive to unneccessarily automate and AI same as when tesla tried with model 3 they had to switch back to humans
I live in Brooklyn, NY and there are two large Target stores within half-a-mile from my apartment. While ordering online with free shipping from Amazon is convenient, sometimes ordering online for in-store pickup at Target is much, much easier - especially when it's for a tube of toothpaste or something like that.
As a current employee, as far as the company has come, Target is far behind the likes of Amazon when it comes to the implementation of tech, automation and AI into its stores and ship-from-store process. Target, largely, still loads and unloads their trailers manually, a box at a time. I cannot stress how ancient that method is and it's very frustrating for those of us who work there.
@@sonidoacuario845 you are correct. unfortunately. Literally a box/item at a time. BEYOND infuriating when we know we're competing with the likes of Amazon & Walmart.
@@matthewremache667 in theory I understand what you're saying, but in reality, I think it's more realistic that you'll get left behind before you have the chance to realize just HOW behind you truly are. Target, like walmart, has a huge benefit in the fact that they have stores all over the U.S. But even Walmart has pulled away from Target in terms of implementing technology into their stores to make everything more efficient. There was a car commercial years ago who's point was essentially that if you aren't ahead, you're behind. That's just how it is now. And mind you that commercial was probably 15 years ago - so now add in the advances in technology in the last 15 years and you'll see how behind you can quickly become.
This feels like Target paid WSJ to film this, to improve their image and stock price 😂 Walmart does the exact same thing except instead of 1 ship station rack its 4 or 5 shipping stations within a store.
As someone who works in order fulfillment at target, the way we ship out orders is so inefficient compared to the likes of Amazon. Running around the store while it’s packed with customers, especially when they ambush you with questions while you’re on a timer, is not only stressful, it isn’t viable long term. It’s to the point where we get so many online orders we’re having to pull employees from other departments to pack orders, which results in every other area of the store being neglected. Not to mention that hitting the ship deadline every day is utterly exhausting.
From Target's corporate perspective, I understand the strategy behind using your existing stores as many fulfillment centers, but for the people working their day-to-day it has to be so stressful. It seems like it's basically getting twice as much work and a second job for what I'm assuming is the same pay.
They're correct. As a former executive at a Target store it's consistent added pressure to the store teams and leaders with no support. The goals and pick times consistently go higher however the payroll to accomplish it does not increase. So, other team members from different areas are pulled to accomplish the goal which leaves their work centers neglected. Even knowing this we're expected to hold them accountable for their areas even though they've been forced to spend their whole day in fulfillment. I hope they wise up and start pushing some of this 100M into stores to facilitate a better culture around it. Though I doubt it.
Yes. As a former employer, Target has been using humans to fulfill orders walmart and amazon and even grocery stores have long used automation to fulfill. It's not even like robots will take out jobs, fulfillment is one of the quickest burnout jobs in the store. Would have saved me from breaking my knees. Automation would save so much frustration every employee feels
Target is going to have challenges to handle volumes of scale and operational costs due to having to have staff walk and pick orders compared to Amazon. Amazon is purely fulfillment with even faster delivery times than target unless you intend to drive to pickup.
Target has been struggling for years with out of stock shelves. Yes, the pandemic played a role. But so does taking store inventory for online sales. They have to do a better job in the area.
Nowadays it's the complete opposite. The warehouses are literally being emptied out and now the Target stockers are forced to put 20 items on the shelf when only 5 will fit.
They are trying hard to keep up and I'm sorry but a few associates pushing around carts and scanning shipments is nothing compared to the powerhouse of Amazon.
Target's strategy won't work. They make their employees run around the store fulfilling orders on a timer which stresses them out and causes near accidents with customers getting run over by these employees with shopping carts because the employees are afraid of their timer expiring. Also it leads to alot of ordered items not being found because the employees feel so rushed. There's not enough time to search when theres a huge amount of orders for shipping and online pickup all coming in at once. It's going to lead to massive burnout and turnover of their employees then what will Target do when they are severly short staffed??? Target customers wonder why theres no cashiers or customer service at Target? It's because they have their employees running around filling orders. You can't run a store like a warehouse. It's either one or the other.
@@mmakotal4388 They do have a fulfillment team but it is severly understaffed for the number of orders coming in. It's literally non-stop orders from open to close. Also they penalize the fulfillment employees if an item is not found for an online order which is ridiculous. It's not the employees fault the item is out of stock or got stolen.
@@billorange964 they get paid hourly , they are not in real trouble. That’s the department you sign up for just like how cashiering is non stop and pentalize you if u don’t check id or give correct change
Target has a huge sortation center in NE Minneapolis. They use Shipt Drivers and the app to deliver same day orders. Amazon is mostly 2 day shipping, huge online catalog but no physical stores. Walmart delivers online orders from their stores using Spark delivery drivers and in-store pickers-the store’s inventory doesn’t always match the online offerings. It’s nice to get things the same day.
Target is racing on a horse against Walmart and Amazon on F1 car. Assembling the order is labour intensive, you want to automate that part as much as you can. What happens if you try to ship an item that was stolen by a customer? Also, there could be a lack of people willing to use their car to deliver for them...
This process feels archaic and extremely inefficient. Unnecessary steps to complete an order and lack of automation. It's a temporary solution but will ultimately lead to Target's demise unless they pivot their strategy to align similarly with Amazon.
Target seems to be using the old Sears tagline…’our stores are our biggest asset’. Look where it got them. Those who don’t know history are doomed to repeat it.
Not covered online customer dissatisfaction issues such as the big pick sticker placed on your item by the in store employee and orders not being fulfilled because an instore customer buys the item prior to the Target employee picking the item.
Walmart has a similar problem with third party sellers. I think there will always be a place for brands like Target where at least you know what your're getting.
I like Target as a store better than any other. It's nicer, cleaner, more organized, and just a better overall store. I want to go to a store and just buy what I need.
Target has one of the largest buildings in the world near me. It's distribution fulfillment center is almost a mile long. Lots of cheap labor and criminals to hire in Riverside California. Amazon and several other warehouses here , like nowhere else. But that could also be because of the trains and shipping docks
I had a bad store pickup experience with Target last month. sure 2 hours sounds fast right? not if associates cant find your item with your "ready to pickup" email. 1st associate eventually said those items werent available, would be refund.. 2nd associate found 1 out of 3 items. it's like Target isnt ready.. when items arent available, instead of emailing me like walmart... they wanna you to find out from associates..
What bothers me the most about Target is that in my experience, the store places seemingly arbitrary rules around the items that I want to be delivered. I will be shopping online for items that I normally buy in-store and some of the items are two-hour delivery only, some are two day shipping only and some are in-store pick up only all in the same cart. The worst part is there doesn’t seem to be any consistent reason as to why all the items can’t all be shipped using the same method. Months later that same item that was “In-Store Pick Up Only” is now only available for 2 hour delivery or vice versa. The whole experience is very frustrating and confusing.
what bugs me is even if you subscribe for Target's Shipit subscription, same day delivery still comes with a tip demand. Walmart and Amazon don't ask you for a tip for the offering of same day delivery. It's an added cost on top of the subscription.
Probably depends on how many of an item are available near you and how many of the stores are setup as shipping locations. The change from pickup to shipping a month later could be due to the locations updating for nearby shipping. There's always pain points with change and even moreso with established brands with physical locations.
I love Target. They’re finding a balance in the automation market. It’s an evolving process. Amazon is a notoriously terrible company to work for, and is completely reactive when it comes to employee safety. They prioritize profit over all else. I prefer having a Target in my area than a Walmart, and will pay the difference in price for the quality shopping experience.
Walmart was doing this in smaller scale 10 years ago when they used to have "site to store". they would have stores / hub stores send it out via fedex, intially they offered pickup at your local store(sometimes via there existing gm trucks or via mtr) but also would directly ship it your house for a small fee, after covid, they quietly changed that proccess to "ogp/pickup" where they now use 3rd party last mile carriers. to do the 70% of the same proccess faster under a different name. its a bit buggy when it comes to fresh/food avaliblity, becuase with strictly "ogp" orders ie food it may not let you order if your preferred store dosnt stock it, unless you change your store. as a note, shipping from target is not even possible without a minimum order of 35$. . you cant even pay them extra shipping, they will not ship it, to me they lose alot of business this way from me, on top of there higher prices.
A response to some of the comments: - Target's current process is not set in stone. If you noticed any inefficiencies in this short 9 minute video, believe me, Target is aware and is working to fix them. The solutions already exist, they just have to purchase and implement them. - Target employees saying that you wish they had more automation as this would make your job easier: Target will absolutely make better and better use of automation, your job will soon be eliminated all together, so don't worry so much. - And they don't have to compete with Amazon, they just have to improve the customer experience, and this is what they are doing. This cute little fulfillment operation of theirs won't ever compete against Amazon, but it will raise their bottom line.
Are you their spokesman? Them being far behind their competitors is obviously a problem and a threat to their continued operation. I'm sure Kmart had solutions ready to go too before they shut down. Based on this video, even if they do everything theyre planning to do by 2026, theyll still be behind where walmart and amazon are today. The employees very well might have their jobs eliminated but not by automation, but by their passive ineffective business strategy
Meanwhile, workers are overworked, exhausted, and underpaid. I'd support a business that's willing to slow the speed of shipping at the health of their employees & their mental health.
“They use their stores as fulfillment centers to reduce delivery time since the stores are closer to customers ” great and smart thing to do . “Then they ship the orders to sorting centers for the last mile delivery “ what?! that just defeats the whole point of a MFC. It actually seems worse than using the traditional way of fulfilling orders. I’m genuinely curious, am i missing something here?
I go to this store featured, often. Of course, it’s nice to get online orders filled, but on about 3/4 of my trips there for this or that, I can’t get some item that I’m wanting to get- they’ll just be out or have very limited choices. This strategy has to make sure people aren’t pulling too much from the Target store itself.
I am an old dude who has worked in manufacturing, services, and my last 20 years in technology. What you are seeing in this series is the future and where the work and our economy will be. My humble suggestion to the new generation, stop believing ridiculous, bombastic politicians (left or right) who are telling you old jobs will be brought back. They are not. There is neither interest nor money flowing into those. Learn warehouse construction, logistics, distribution, electronics, mechatronics, robotics, software development, AI, and especially business intelligence and analytics. That is where most of the work will be in the future. That is particularly true in states where the population density is low and makes more financial sense to locate new jobs (you can work from anywhere).
The one thing HR has to making schedule is . really stupid.. only Team leader nows who's working is or who isn't working.. Target can not compete with Amazon at Walmart. target Lost on Online shopping 🛍️.. trust me I work with the target almost 8 years. Still same . Items cannot found. OPU needs help everyday.. people cannot handle the stuff . Give a time to clean up the store
I don’t get the sortation centers isn’t that just the same as Walmart and Amazon fulfillment centers except worse since the items aren’t stored on site?
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Correct, Prime includes free two days shipping, free returns, Amazon Video, and discounts. Shopping with free returns feels very comfortable and actually more comfortable than shopping in store. In other words, the $139 is for a better shopping experience.
You pay a small fee for MORE than just shipping. The other benefits (Amazon video exclusives, Amazon music, special discount coupons, 5% rewards, etc. etc.) are worth the small fee for sure!
@hfredydl Let's be real, 139$ for all Amazon brings to the table is a steal, as a former UPS manager i can tell you UPS does not give a duck about your packages. Amazon has incentives for drivers, lowering the liability with having something shipped to your door.
I love target! I know im not buying from a sketchy seller and it can come to my door or i can pick it up and get a coffee w/o having to get out of my car❤
We move around the conveyors so much whenever our processes change that we cant set up sorters or scanners bc they'd inevitably need to move. The Target fulfillment center in Woodbury, MN has all of the automation the sortation center will eventually get.
The automation level of Target is way behind Amazon. I guess the volume per store is low and deploying automation is not their best shot at the moment.
One way target can deliver quicker and faster is by closing stores at 11pm to the general public and then having more staff collect items in the store for tomorrow or overnight shipping.
Lots of retailers (struggling ones like JcPenney) do this also. It’s baffling how they spent 5 min talking about how the store closer to your house makes more sense to fill an order, and then they said how those packages get routed away to a sorting center??? Target has been riding on their past for awhile now but the stores have a very Kmart flavor in many markets. Tired looking old stores with cheap remodels, no cashiers, higher prices than competitors.
This shows how Target has a blind spot. Ship products to a distribution center, ship to the store, stock it on the shelves, pick it from the shelves, pack it up and ship it to shipping center, manually resort and resort and hand off for shipment to you. That is a ten step manual process. It is limited in this model to these human robots. They are the smallest player and this will only siphon dollars.
So i understood how they stood out until 2:34. So essentially they pick the item from a local store then send it to a warehouse and then it goes out to the buyer. That part made it seem like the first part of the video is for nothing. They are still bringing it to a warehouse.
What I'm gathering from this series is that the "CEO," "Director," "Chief," or anyone in upper management is oblivious to what's really happening to their workforce. They are so focused on making things "faster" and "more efficient" that no one ever thinks about the employees. Many comments in these videos illustrate how horrible and exhausting it is to work for any of these companies, and yet they are still talking about "saving" millions of dollars or making improvements. However, it doesn't seem that way to the employees or to the customers. If you are "saving" millions of dollars why is it still a miserable place to work there?
The ceo and other senior executives at target are out of touch what is going on at their stores. The system is broken. Not to mention the way they ship items is the same way they did it back in the 1990s. A big corporation like target should have better technology,.
Does Target still charge for shipping under $ 35, even with a Redcard? I shipped from Target years ago when all Redcard purchases included free shipping. Now I have Prime anyway, so I just go with that if I need a tube of toothpaste.
The end of the video is why I don't care for mart of Wal. Automation. People with families were laid off to pay for these tech advances. Not gonna support a company that does that.
I like the Target website better than Walmarts, but Targets in-store experience has definitely declined. A lot of prices are higher, selection is not as good, and then there's the checkout experience. Practically no cashiers and you have to wait in line to do self checkout.
They have scaled back cashiers in order to hire order pickers and order pickers take product from the shelves from customers in the store it’s a viscous circle
If they could turn all their stores into fulfillment centers, that could make it really hard for Amazon to compete. The only problem is Amazon robots sort much faster.
Wonder if any strategy can beat a horrible culture. A relative of mine worked at Tarsh*t for a little while, and the stories they told of yelling, verbal abuse by managers in front of customers, physical violence like grabbing the employees, and "pay raises" of 8 pennies for all employees made me never shop there again. They even recorded the store manager's verbal abuse once and let me listen to how they were treated. Hope the company files for bankruptcy soon.
I would use this feature if they offered free shipping on any order. It’s usually free shipping on orders of $35+, and you just can’t compete with Amazon when you can get almost anything with same/next day delivery *and* free shipping
If each local store have to ship to a sortation warehouse, that defeats the advantage of local stores being near their customers. Why not just store the products in the sortation warehouse?
Yes that is true. They are sacrificing stock on the shelves for in store customers for online orders. That is why they can't run a store like its warehouse. People don't shop warehouses so warehouses don't need to worry about in store customers like Target.
