Enhancing Apparel Distribution Efficiency for a Major Retailer

As the back-to-school season approached in late June/early July 2024, a major retailer specializing in apparel and accessories faced significant logistical challenges within the Greater Toronto Area. The company serviced 86 stores daily but struggled with an inefficient shipping structure, manual reporting processes, and consistent service interruptions. They sought a comprehensive solution to improve their distribution system and enhance their overall operational efficiency.

Challenge

The retailer's core issues included:

  • Absence of a structured shipping program.
  • Manual and error-prone reporting.
  • Delays in response times.
  • Frequent service interruptions affecting timely deliveries.

These challenges led to poor visibility into operational data, hampering the retailer’s ability to make informed decisions and maintain consistent service levels.

Solution

Our team stepped in with a tailored approach to address these pain points. Leveraging a decade of hands-on retail experience and established EDI templates, SGL implemented the following solutions:

  • Daily Consolidated Pickups: Streamlined transportation through daily consolidated pickups, ensuring efficient and timely deliveries.
  • Dedicated Drivers and Customer Service Team: Assigned dedicated personnel to handle the retailer’s needs, ensuring a high level of service and responsiveness.
  • Online Real-Time Data Visibility: Enabled the retailer to access and monitor real-time data, providing insights into operational performance.
  • 24/7 Escalation Path: Established a two-hour response turnaround time for escalations, ensuring prompt resolution of issues.

By utilizing these strategies, we effectively addressed the retailer's logistical challenges.

Results

The collaboration with the retailer led to significant improvements:

  • Enhanced Data Visibility: The retailer gained comprehensive visibility into its operational data, allowing it to identify strengths and areas for improvement.
  • Operational Efficiency: With consistent and reliable service, the retailer experienced fewer disruptions and improved delivery timelines.
  • Strategic Insights: We provided a third-party perspective on the retailer's supply chain, offering valuable insights and recommendations for optimizing operations.

The implementation was so successful that it resulted in more business opportunities for collaboration. Previously serviced by a 20-year vendor, the retailer experienced a smooth transition, and they described the decision to partner with us as one of the best they have ever made. This experience instilled confidence in our team. The positive feedback from the customer’s executive team and the effective resolution of their logistical issues underscore the success of the solution provided.