marie robinson

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Information about marie robinson

Published on October 22, 2007

Author: Melinda


Slide2:  Number of Stores Toys R Us U.S. - 685 Toys R Us International - 574 Babies R Us U.S. – 198 Total Stores: 1,457 Toys R Us direct imports 25% of total goods 90% of all goods are imports – domestic or direct Will direct import 30,000 containers in 2004 Net Sales Toys R Us - U.S. $6.476 Toys R Us International $2.528 Babies R Us - U.S. $1.763 Toys R $376 mil Net Sales: including Kids R Us in 2003 $11,566,000.00 2002:  2002 75% of all direct imports flowed through Southern California – approximately 23,000 containers. 2004:  2004 54% of all direct imports will flow through Southern California (16,200 containers). 30% is destined for Southern CA markets (15% local markets/15% consolidator bound). 46% of direct imports will flow all water through the Panama Canal or through the PNW and Oakland gateways. 90% of all East Coast direct imports flow all water today. Why did Toys “R” Us move away from Southern California over the past 2 years?:  Why did Toys “R” Us move away from Southern California over the past 2 years? All water through the Panama Canal costs less. All water transit time is similar to West Coast transit times. Delays and uncertainties when using West Coast would lead to higher inventory levels and earlier buying times. Average delay of goods during peak season 2004 was 7 days for Southern CA ports. Average delay of goods via all water or PNW was 0 -1 days. Slide7:  Through 3 phases 32 loads must flow to Rialto market, and 18 loads must flow to Stockton market. 50% of all loads need to be in stores for ad on October 29. It can take up to 7 days to reach outlaying stores. The last of the phase one loads arrived at both DC’s on October 19 (4 days late). Required numerous additional hours to track exact movement. All room for error removed. Slide8:  30% of all loads need to be in stores for Nov. 5. Notified first of anticipated delays at the Oakland port. Responded by making decision to offload 4 containers in Southern CA and rail them up to Northern CA to hit deadline. Next, notified of worsening conditions in Southern CA. Cumulative delays delays hit as high as 11 days on some containers. Realized new plan wouldn’t get freight there in time. Adjusted again - plan #2 – take 4 containers headed to Chicago area through Seattle, and ship rail to Stockton. Final loads arrived in both DC’s on October 30th. Slide9:  Last 20% of containers need to be in stores for November 12th. Had to divert containers for Chicago to make up for Phase 2. Must now get 4 Stockton loads to Chicago to make up for prior adjustment. Requested to have 4 Stockton containers offloaded in Southern CA. Only 2 were removed. Remaining 2 containers had to be diverted upon arrival in Oakland. Last containers did not arrive in Joliet DC until November 8th. Cost to divert containers due to port delays $15,000.00 In Conclusion…:  In Conclusion… Toys R Us will continue to encourage our carriers to build networks to avoid Southern CA to reduce exposure. Labor pool must be increased in advance of problems – seems to be only reactionary. Night and weekend gates are a good idea. Better planning partnership between the ocean carriers, the ports, and the railways is necessary.

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