Fashion retailer reduces cost and improves performance with Control Tower
Reduction in average freight cost
Late arrivals avoided in 2018
Lower CO2 by using less air freight
By using a control tower setup, a fashion company reduced late arrivals and improved transportation planning, thereby reducing cost and environmental impact while optimizing inventory management.
A leading fashion retailer with over 100 stores and strong e-commerce business serving customers in the EU. Primary suppliers located throughout Asia and Middle East, leading it work with multiple freight forwarders.
Underdeveloped internal transportation planning and lack of visibility led to inventory issues and overreliance on last-minute air freight. Made worse by suppliers struggling with purchase order fulfillment accuracy.
Improve transport planning by identifying bottlenecks and key areas and translating these into a control tower setup focused on KPIs and milestone tracking. This transparency allows better monitoring of performance of existing carriers and shift to ocean, rail, and road to replace airfreight.
To address purchase order fulfillment issues and related inventory impact, implemented PO auditing to identify and resolve costly fulfillment errors prior to shipping.
Reduced dependence on air freight led to 43% lower freight cost/shipment and a drop of up to 90% in CO2 output.* Overall improved inventory efficiency and avoided over 40 late arrivals in 2018 alone.
Improving mode mix
Impact in cost and CO2
*Based on International Chamber of Shipping emission factors