Softeon Customer Honey-Can-Do Featured on Wall Street Journal Podcast.
At Softeon, we are proud to partner with some of the most forward-thinking organizations in the supply chain industry. One of those companies, Honey-Can-Do, was recently featured on The Wall Street Journal’s podcast, The Journal, in an episode titled “The Trade War With China Is On.”
The episode offers a look at how U.S. businesses are navigating the complexities of global trade policy, particularly evolving tariffs and supply chain disruptions.
Honey-Can-Do: A Leader in Home Organization and Supply Chain Adaptability
Founded by Steve Greenspon in 2007, Honey-Can-Do has grown into a $75 million leader in home organization products. Known for their innovative shelving units, drying racks, and laundry hampers, they supply major retailers such as Walmart, Amazon, and Home Depot.
As highlighted in the podcast, Greenspon shared the company’s journey of shifting production away from China in response to escalating tariffs, and moving manufacturing operations to countries like Vietnam, Cambodia, Thailand, and Indonesia. This demonstrates Honey-Can-Do’s commitment to maintaining competitive pricing and supply chain resilience in an increasingly complex global trade environment.
What Steve Greenspon Shared on the Podcast
During the episode, Steve Greenspon provides an inside look at the real impact of tariffs on American businesses that rely on global manufacturing. Here are a few highlights from his conversation with The Wall Street Journal:
- Tariffs as a Catalyst for Change: Greenspon explains how the initial round of U.S. tariffs on Chinese imports in 2018 sparked an urgent need to diversify Honey-Can-Do’s supply chain. With the most recent tariffs, that urgency has intensified.
- The Cost and Complexity of Shifting Production: He describes the challenges of moving production to Southeast Asia, highlighting the significant investment required to establish manufacturing capabilities in Vietnam, Cambodia, and other regions. This includes developing new infrastructure, training workforces unfamiliar with their product lines, and building transportation and shipping networks from scratch.
- Infrastructure Differences: Greenspon contrasts the advanced infrastructure of China, wide highways, deepwater ports, and efficient logistics with the less developed networks in Vietnam, which increase lead times and costs but remain preferable to the financial burden of tariffs.
- Strategic Supply Chain Moves: Despite the logistical difficulties, Honey-Can-Do has significantly reduced its reliance on China, bringing Chinese production down to just 20% of its operations. Steve also notes the challenge of manufacturing certain products, like their drying racks, in the U.S., where labor costs and infrastructure aren’t competitive for this type of high-volume, low-margin item.
- Uncertainty in Global Trade: Greenspon highlights the uncertainty that continues to affect global supply chains, as companies grapple with the possibility of further tariffs and trade restrictions in Southeast Asia and beyond.
Softeon’s Role in Supporting Honey-Can-Do’s Global Supply Chain Strategy
Behind Honey-Can-Do’s supply chain agility is Softeon Warehouse Management System (WMS). As one of their trusted supply chain software partners, Softeon plays a critical role in supporting Honey-Can-Do’s complex and evolving distribution operations.
Our flexible and highly configurable WMS enables Honey-Can-Do to manage multiple fulfillment channels efficiently and scale their operations to support new manufacturing locations and distribution requirements. Whether they’re shifting sourcing strategies, onboarding new suppliers, or expanding into new markets, Softeon provides the visibility and control they need to adapt quickly without sacrificing service levels or operational efficiency.
Adapting to Change with the Right Technology Partner
In today’s rapidly shifting global trade landscape, companies like Honey-Can-Do are proving that flexibility and speed are critical to long-term success. At Softeon, we’re proud to empower our customers with the tools and technology to stay ahead of disruptions.
To discover how Softeon can help your business adapt and thrive amid change, contact us here.
