Fashion retailer revamps supply chain, beefs up logistics
1
MINS READ
INDUSTRY
Retail
Omnichannel CX and Intelligent Innovation – The Future of Retail
HIGHLIGHTS
- Kering Americas wanted to improve logistics operations for growing business requirements
- The group designed and built a facility from scratch to expand warehousing capacity and for improved logistic services
- TCS assisted in developing and stabilizing the complex integrations with new warehouse systems through each phase of the program—from regression and system integration to full rollout and steady-state support
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Overview: Rapidly growing business
Kering Americas wanted to improve logistics operations to meet its growing business requirements.
The luxury group was facing challenges in supporting its tremendous growth across wholesale, e-commerce, and retail channels in the Americas.
The challenge: Improving logistics
Operational limitations, such as insufficient storage and outbound capacities due to the previous regional warehouse, were affecting the group’s strategic development in the region.
This was, in turn, impacting its business ambitions. There was, therefore, an imperative need to expand e-commerce operations and improve product availability at stores.
The solution: An operations center
Kering Americas collaborated with TCS for a state-of-the-art AMER operations center.
The group designed and built a brand-new facility from scratch to expand the warehousing capacity in the region and for improved logistic services to its houses. This facility also introduced a new office concept with state-of-the-art amenities for Kering employees. The Kering Technologies AMER team followed a tech-first approach, which focuses on all IT requirements from the start of a project. The complex system integration road map, connected to the transformation, decoupled the IT transformation from the facility construction: new warehouse management system, warehouse control system (WMS, WCS) implementation, new e-commerce order management systems, and new distribution processes activation, targeting the new group omnichannel model.
The program improved the logistics service level for associated Kering houses by enabling Kering AMER legacy ERP to handle new functionalities in an upgraded third-party warehouse system, also supporting the group’s omnichannel expansion plan. With in-house contextual knowledge and solutions, TCS assisted in developing and stabilizing the complex system integrations with new warehouse systems through every phase of this program—from regression, system integration, and user acceptance testing support, to pilot or full rollout, hyper care, and steady-state support.. TCS also assisted in setting up the infrastructure of Kering’s corporate office and successfully facilitated the movement to its new office.
The benefits: Improved logistics
Kering Americas vastly improved its warehousing capacity, strengthening its logistic services experience across channels.
The new facility with state-of-the-art amenities will enable the company to scale its operations, support increased demand and continued growth, and ensure employee satisfaction.
- One single WMS system to support omnichannel operations
- Gold Leed certification for DC and office
TCS support was instrumental in deploying the system and infrastructure technology embedded into the largest and most advanced regional operations center in the group.
Statistics
285%
footage
increase in DC square footage
281%
conferencing
increase in videoconferencing systems
50%
Bandwidth
improvement in Bandwidth
50%
lead time
improvement in lead time to stores
89%
revenues
increase in e-commerce revenues in 2020 vs 2019
60%
footage
increase in office square footage