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Walgreens Expands Fulfillment Capabilities

Walgreens is bolstering its fulfillment capabilities to fill 60% of prescriptions off site with four highly automated microfulfillment centers.

The company also has plenty of delivery options available to e-commerce customers including in-store pickup, curbside pickup, and third-party deliveries through Postmates, DoorDash and Instacart.

Additionally, Walgreens is piloting drone delivery in Christiansburg, VA and Dallas-Fort Worth, TX to customers who prefer their orders delivered without human contact.

Video Spotlight:  

This post is based on the Sourcing Journal article, Walgreens Supply Chain Chief: ‘You Name It, We’re Doing It’, by Kari Hamanaka, June 23, 2022, and the YouTube video in the Spotlight. Image source: BearFotos/Shutterstock

Discussion Questions:

1.  What technologies has Walgreens employed to support its e-commerce operations?

Guidance: The technologies include automated microfulfillment centers to fill prescriptions off site, apps to connect e-commerce customers with third party delivery providers, and drone delivery of orders to customers who do not want to drive to the store.

2. How does Walgreens ensure smooth running of its downstream supply chain?

Guidance: Customers can place orders through Walgreens’ digital channels and have orders fulfilled with inventory or at one of the four microfulfillment centers.  Additionally, customers can choose to pick up their order in-store/curbside, or have the order delivered by a third-party provider or, in some locations, by a drone.

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