Supply Chain Reimagined

A $100M online retailer’s supply chain and inventory carrying costs were negatively impacting margins and tying up a great deal of the company’s money in inventory. In addition, the customer delivery times were too slow for a customer base that was demanding faster deliveries. In order to identify the shortcomings of the existing supply chain, we mapped the supply chain from top to bottom and confirmed it was currently inadequate.

Realizing that the supply chain needed to be restructured, we worked with the client’s current suppliers and created a 3rd party order fulfillment solution, where the suppliers shipped directly to the client’s customers. In addition, we integrated our client’s IT system with the IT systems of the suppliers, allowing for real-time viewing of supplier’s inventory.

The end result was a system whereby our client’s orders would seamlessly pass to the supplier, and the confirmation data such as order confirmation, shipping confirmation, and tracking info would seamlessly pass back to our client. This eliminated the need to have inventory, reduced the time and cost of the supply chain, and expedited deliveries to the end customer.