Sunday, December 30, 2012

Here comes the snow

December  20, 2010
For an informed view on connected entertainment in the UK & Ireland, visit Cue Entertainment 


When Bing Crosby sang of a “White Christmas” in 1941, the landscape he dreamed of was that of New England, not the images of Dickensian Britain that usually accompany the song in the UK. Winter usually comes a lot earlier in the five states in the northeast of the USA than it does in this country. The snow rolls down from Canada accompanied by biting Arctic winds, yet the economy does not collapse, roads remain open and houses remain warm.

Anyone who has been in that part of the world at the year’s end will have seen the efficient way that local people deal with the white invader. Residents clear the paths outside their own homes, private four-wheel drive vehicles become temporary snowploughs and school buses continue to run. To which the stock response is “Well, it happens every year, so the community just gets on with it.”

For the second time this year, snow has disrupted distribution in the UK and Ireland. Last January, the bad weather followed a busy Christmas season that was up 29% on the previous year. Although business suffered from a temporary delay in deliveries, the impact of the cold spell did not last for long and carriers quickly made up the backlog.

This December weather could not have come at a worse time, affecting as it does both business-to-business and business-to-customer deliveries when volumes are highest. There have been reports of four million parcels stuck in distribution centres across the country; airports at a standstill; and abandoned delivery vans littering the motorways. Scotland was affected particularly by the first snowfall with Ireland and the North West about to be hit for the second time. 

Once again, the authorities proffer excuses: “It happens so rarely.” “We weren’t ready for it.” Or even, “The snow ploughs are in for their annual service.”

In fact, despite the whinging from some quarters, the distributors in the media and entertainment sector continue to perform well in difficult circumstances. TNT Head of Communications David Walker reports that the B2B carrier is almost back to business as usual: “We are looking good at the moment but we never rest on our laurels and there are big challenges ahead, with weather fronts being as they are. We are keeping all the DVDs and CDs moving for customers such as arvato and HMV. Our media and entertainments sector continues to grow, and it's a great area to be in, given the way the industry is developing. At this time of year, we understand we have to keep things moving in order for retail outlets to have stock to sell.

He acknowledges that movements in Scotland are particularly difficult in “treacherous outlying areas” but he says that throughout the country, “TNT is working 24/7 to ensure we get everything back on track as soon as possible. Apart from a tiny remnant served by one of our Glasgow depots, everything will be cleared by the end of Friday.”

A DHL spokesperson says that adverse weather conditions have inevitably presented challenges but the company has contingency plans in place to keep delays to a minimum: “Our staff have been responding brilliantly and are certainly doing all they can to ensure deliveries continue as usual. We are proud of our staff; they have been going the extra mile – with some deliveries taking place outside of normal hours and on weekends to ensure operations continue smoothly.”

Arvato UK & Ireland Supply Chain Solutions Managing Director Markus Schmücker praises the delivery companies used by the company: “Our freight forwarding partners are doing a great job and everyone works together to make sure as many consignments as possible are delivered safely. December is the busiest month of the year for everyone involved with the retail sector and bad weather will always add to the challenge of getting deliveries out on schedule to locations across the UK and Ireland.”

The company remains on target for this time of the year and Schmücker is pragmatic about the British weather: “There isn’t much that can be done when there’s heavy snow and ice, other than to wrap up warm.”

Technicolor says it has a contingency plan in place for such times: “It came into operation as soon as we realised that there might be problems with parcel shipments. We switched from group to direct deliveries in order to ensure that our clients are not impacted by bottlenecks elsewhere in the system,” a spokesperson said.

“By bypassing the carriers’ own warehouses, we can get product to retailers as expected and guarantee direct delivery to our clients. There were a very few shipments blocked in transit and in those cases we took the decision to re-supply the product; this time parallel shipping direct to our customers from our own warehouse. The majority of our supply chain has worked exactly as predicted.”

The view at Technicolor is that the media has inflated the impact of the weather because it is a people story potentially affecting their Christmas gifts. In the company’s view, “Four million parcels is a small number in relation to the total movements at this time of the year. We look at the situation on a daily basis because some shopping days still remain but our contingency plan has worked so far.”

Global Freight Solutions Managing Director Neil Cotty told the Daily Mail on Friday that it advised consumers to place their orders as soon as they can to give themselves the best chance of having their items arriving before Christmas.

“Carriers will be deploying maximum resources over the next week to ensure that items do arrive in time and in certain central areas delivery times are at normal levels,” Cotty said.
The Royal Mail announced a £20 million additional investment to deal with what the Met Office says is the worst December weather for 30 years. Most of the resources go to the Midlands, North East and Scotland, including the provision of an additional 250 large lorries and the recruitment of 500 HGV drivers.

Royal Mail MD Mark Higson says, “We are pulling out all the stops to deliver this Christmas. With this additional £20 millio investment, we are committed to ensure we deliver letters and packets as quickly as possible. Our people are doing a great job in very challenging conditions. I would like to thank them for their tremendous efforts to ensure we continue to deliver right up until Christmas Eve.”

Barring a blizzard, it seems that almost everyone in the UK will get almost everything they are expecting by the end of December 24th. As they settle down to watch the Blu-ray, DVD and CD discs that Father Christmas left under the tree, perhaps some of them will spare a thought for the thousands of people in the entertainment supply chain who helped Santa to deliver them. Maybe one or two in the community will even work off the over-indulgence of the Christmas weekend by stepping outside to clear the snow from the path.

After all, it happens every year now.
Merry Christmas

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