CASE STUDY

Supply Chain Solutions: Enhancing Inbound Logistics Process to Meet Short-term Demand Forecasts for a Fashion Retail Company – A SpendEdge Case Study

Mar 5, 2019

The Business Challenge

The client, a fast fashion retail company headquartered in Western Europe wanted to leverage supply chain solutions to reduce inventory and the financial costs associated with it.  The client wanted to reduce lead times for the delivery of unique fashion items to offer customers more styles and create a sense of urgency to buy as items often sell out quickly. Moreover, the company was interested in gauging short-term trends that required them to buy bulk quantities of fabric from suppliers in different countries.

Building a fast-moving and finely tuned supply chain requires consistent effort and expertise. Get in touch with our experts and know how our experts can help you with the best supply chain solutions.

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Solutions Offered

To build a highly responsive supply chain for the success of the business, the supply chain management experts at SpendEdge analyzed the manufacturing and operational process of the company.  They also carried out qualitative and quantitative assessments to recommend supply chain solutions to build a unique real-time supply chain.

In a span of six weeks, supply chain solutions improved the company’s sourcing process and substantially reduced the time taken for the purchase of raw fabric from suppliers. This improved their inbound logistics process and ensured the timely delivery of their finished goods. It also helped the fashion retail company to compete on flexibility and agility rather than low costs and cheap labor. Moreover, the supply chain solutions empowered the client to reduce the ordered inventory time to three days. This made it easier for the company to retain its customers and deliver products when their customers want them.

Key Findings

The supply chain solutions helped the client to respond in real-time as styles and customer preferences keep on evolving. They were able to make necessary adjustments to manufacturing and supply chain operations.  The improvements made to production rates, vehicles, and delivery routes and schedules enhanced the agility of their supply chain and increased its efficiency to meet short-term demand forecasts.

What are the Main Objectives of Supply Chain Solutions?

With the expansion of global markets and networks, it has become increasingly important for companies to leverage innovative supply chain solutions. By availing supply chain services, companies can considerably boost customer service, reduce operating costs, and enhance the financial stability of the company.

However, managing inventory, transportation, and logistics is a complex process for companies. In such a scenario, availing the services of best-in-class supply chain consulting firms is highly recommended for companies. Supply chain consulting firms allow for fast replenishment of inventory to meet customers’ demands. There are many more objectives of supply chain solutions that companies should aim to achieve:

  • Product or material replenishment
  • Faster speed to market
  • Optimization of pre and post production inventory levels
  • To enhance the efficiency of the distribution side

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