Radial preparing for happy holiday
At least one retail industry participant is expecting the 2016 holiday season to be prosperous.
Omnichannel commerce technology and services provider Radial plans to hire an additional 550 workers in Reno, Nevada to support an expected 10-fold increase in demand during the upcoming holiday season. Radial operates fulfillment centers in Reno, which are in need of workers to help support its retail clients.
Employees will be trained to leverage Radial's technology and fulfillment and freight solutions to fulfill orders. This includes making retailers' operations faster and scalable, delivering orders to customers faster and reducing retailers' costs, and shrinking transit times from the fulfillment center to the customer.
The seasonal Reno hires are part of a larger temporary holiday employment plan. During the next few months, Radial plans to add more than 20,000 additional workers globally to help retailers this holiday season. The company operates 26 distribution centers and six call centers in the U.S, Canada, and Europe, and employs more than 7,000 people globally.
"The holidays are a highly anticipated time for families and the busiest time of year for retail,” said Robyn Jordan, senior director, North American operations, Radial. “Radial works behind the scenes to ensure our clients are exceeding their customers' expectations year round, and particularly during the holiday season. We're adding thousands of workers across our network so consumers get their orders when and where they want, and get the service they expect of a seamless shopping experience."
Target hires Apple veteran to oversee global logistics
A veteran of Apple has been named as the new senior VP in charge of global logistics, inventory allocation and replenishment at Target.
Ben Cook will lead the optimization of Target’s inbound and outbound supply chain processes, including carrier transportation and last-mile delivery. He’ll also oversee inventory allocation and replenishment, merchandise planning operations and global logistics. He will report to Target’s executive vice president and chief supply chain and logistics officer, Arthur Valdez.
“Our guests expect us to deliver product quickly and reliably, and that means we need a supply chain that’s increasingly fast and precise,” Valdez said. “Ben’s expertise and proven track record in cutting cost and reducing complexity in the name of speed will be an incredible asset to our team. We believe he’s the right addition to the work we’re doing to strengthen Target’s supply chain so we can offer an even faster and simpler guest experience.”
Cook brings experience in leading a range of supply chain functions, from international transportation and distribution to inventory control and direct-to-customer delivery. He comes to Target most recently from Apple where he was director, logistics and supply chain strategy, leading the transformation of logistics to support an omnichannel distribution model. In addition to Apple, Cook has held operational roles at Kimberly-Clark and The Home Depot.
“The opportunity to apply creative thinking and my past experience to a supply chain of this scale is exhilarating,” Cook said. “Target has a reputable brand and a loyal guest base already in place, and I’m excited to be part of the team building an operation for the future that strengthens guest love and drives long-term company growth.”
Cook joins the company July 24 and will relocate to Minneapolis.
Kroger to create new specialty pharmacy division
The Kroger Co. is expanding its position in the pharmacy market.
Axium Pharmacy Holdings Inc., a wholly-owned subsidiary of Kroger, will acquire Orlando, Florida-based specialty pharmacy retailer ModernHealth. Financial terms of the agreement were not disclosed.
The deal will create a combined specialty pharmacy that will operate as a wholly-owned Kroger subsidiary.
"This strategic investment will accelerate the growth of Kroger's health and wellness business," said Robert Clark, Kroger's senior VP of merchandising. "Expanding our specialty pharmacy services will provide our customers with greater access to medications we don't currently dispense and access to additional services without going to another pharmacy."
ModernHealth employs approximately 500 associates who provide comprehensive specialty pharmacy services, including IV-based therapies for autoimmune and primary immune deficiency diseases, as well as comprehensive medication management for several chronic diseases and medical conditions.
Headquartered in Lake Mary, Florida, Axium employs 300 associates who work at locations in California, Puerto Rico, Tennessee and Mississippi. Headquarters for the combined specialty pharmacy will be located in a new facility under construction in Lake Mary, Florida, with continued support from existing facility locations. The combined organization will employ approximately 800 associates and will continue to operate as an independent company within Kroger.
Don Meffe, CEO of ModernHealth, will lead the new combined business as CEO after close. Axium's CEO Mark Montgomery will help ensure a smooth transition after the merger closes.
Kroger currently operates 2,230 pharmacy locations and 195 The Little Clinic locations. Axium, which became a wholly-owned subsidiary of Kroger in 2012, is an independent provider of specialty pharmacy services for patients with complex chronic conditions.
Through the merger, Kroger seeks to improve purchasing efficiencies and allow the companies to combine each other's payer strategies to bring down costs. The combination will also allow Kroger's specialty pharmacy business to expand into new territories in the West and Southwestern U.S., and expand offerings to other disease states.
"Our partnership with Kroger and Axium will enable us to provide more customers in more places with the critical specialty pharmacy services they need," said Don Meffe, ModernHEALTH's CEO. "We believe this relationship will create efficiencies, accelerate growth in the high-growth specialty pharmacy market, and improve the overall quality of our combined healthcare services. We are also pleased that this partnership means our business headquarters will remain and grow in Orlando."
The transaction is subject to certain regulatory approvals, including from the FTC.