Executive Briefings

Should Kiva Customers Be Concerned that the Provider Was Taken Over by Amazon?

When Amazon announced its $775m cash deal to buy Kiva, a robot automation fulfillment center player, it put many of its existing retail clients in a bind. This includes current Kiva clients - Walgreens and Saks, among others - plus other recent (and possibly current) customers, such as Gap, Crate & Barrel, Staples, Dillard's, Toys 'R' Us and Office Depot.

How will they feel about systems in their warehouses - which know everything about product flow and, even worse, can control speed, accuracy and efficiency of product flow - being owned and controlled by Amazon, a direct rival? Granted, Amazon would have to be crazy to risk being caught using that information or deliberately slowing down operations. But will the latest technology get shared quickly? Or will Amazon hold onto it for extensive testing in its own warehouses?

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Keywords: Retail, Warehouse Management, Business Intelligence & Analytics, Asset Management, Technology, Business Strategy Alignment, Supply Chain Security & Risk Mgmt, Global Supply Chain Management, Inventory Management, Warehouse Control Systems

How will they feel about systems in their warehouses - which know everything about product flow and, even worse, can control speed, accuracy and efficiency of product flow - being owned and controlled by Amazon, a direct rival? Granted, Amazon would have to be crazy to risk being caught using that information or deliberately slowing down operations. But will the latest technology get shared quickly? Or will Amazon hold onto it for extensive testing in its own warehouses?

Read Full Article


Keywords: Retail, Warehouse Management, Business Intelligence & Analytics, Asset Management, Technology, Business Strategy Alignment, Supply Chain Security & Risk Mgmt, Global Supply Chain Management, Inventory Management, Warehouse Control Systems