Operations in an Omnichannel World

The world of retailing has changed dramatically in the past decade. Sales originating at online channels have been steadily increasing, and even for sales transacted at brick-and-mortar channels, a much larger fraction of sales is affected by online channels in different touch points during the customer journey. Shopper behavior and expectations have been evolving along with the growth of digital channels, challenging retailers to redesign their fulfillment and execution processes, to better serve their customers.

The book is divided into three parts. In the first part, “Omni-channel business models”, we present four studies that explore how retailers are adjusting their fundamental business models to the new omni-channel landscape. The second part, “Data-driven decisions in an omni-channel world”, includes five chapters that study the evolving data opportunities enabled by omni-channel retail and present specific examples of data-driven analyses. Finally, in the third part, “Case studies in Omni-channel retailing”, we include four studies that provide a deep dive into how specific industries, companies and markets are navigating the omni-channel world.

Ultimately, this book introduces the reader to the fundamentals of operations in an omni-channel context and highlights the different innovative research ideas on the topic using a variety of methodologies.

Chapter 1. Omni-channel operations: Challenges, opportunities, and models.- Chapter 2. New Functions of Physical Stores in the Age of Omnichannel Retailing.- Chapter 3. Omni-Channel Assortment Planning.- Chapter 4. Returns Policies and Smart Salvaging: Benefiting From a Multi-Channel World.- Chapter 5. Omnichannel Analytics.- Chapter 6. Online Availability.- Chapter 7. Omnichannel Assortment Decisions in a Fashion Retailing Supply Chain.- Chapter 8. Determinants of Excess Inventory Announcement and Stock Market Reaction in the Retail Sector.- Chapter 9. Whether Weather Matters: Impact of Exogenous Factors on Customers Channel Choice.- Chapter 10. Omni-Channel Customer Behavior in Retail Banking.- Chapter 11. Distribution in omni-channel grocery retailing: An analysis of concepts realized.- Chapter 12. Coordination of Inventory Distribution and Price Markdowns for Clearance Sales at Zara.- Chapter 13. Omnichannel and traditional retail: Platforms to seamlessly connect retail, service, and delivery.

Santiago Gallino is an Assistant Professor at the Operations, Information and Decisions Department of the Wharton School (University of Pennsylvania). He is interested in operations management challenges in the retail industry. Santiago studies both omni-channel integration and store execution issues in retail. In his research, he uses field data and econometric tools to study existing operational practices as well as potential operational improvements.

Before joining Wharton, Professor Gallino worked at the Tuck School of Business at Dartmouth.

Professor Gallino holds a PhD in Operations and Information Management and a Master’s in Statistics from the University of Pennsylvania where he was a Fulbright Scholar, an MBA from IAE Business School, and a degree in Electrical Engineering from Universidad de Buenos Aires.

Antonio Moreno is the Sicupira Family Associate Professor in the Technology and Operations Management Unit of Harvard BusinessSchool. He teaches technology and operations management in MBA, executive and doctoral programs. Before joining HBS, he was an associate professor in the Kellogg School of Management.

Professor Moreno uses data and empirical approaches to study the digital transformation of services and supply chains, with a particular focus on retail. Professor Moreno’s research has won multiple awards and has appeared in journals such as Management Science, Marketing Science, Manufacturing & Service Operations Management, Information Systems Research, and Sloan Management Review, and has been covered by several media outlets. He has received the Wickham Skinner Early-Career Research Accomplishments Award from the Production and Operations Management Society.