Case Studies

Custom solution provides large retailer with improved business processes

One of America’s largest clothing retailers, with sales of more than $13 billion, was facing challenges posed by rapid growth in a complex retail environment. Its operation required coordination in tracking more than 400,000 incoming and outgoing merchandise shipments each month. With little access to freight payable information and no real-time reporting capability, visibility into this critical area of the supply chain was limited. Two full-time people were employed just to pay bills.

Data2Logistics worked closely with the company to customize a solution compatible with this client’s business system. Data2Logistics did an EDI test using actual shipping history to prove that they could auto-code shipments down to the specific GL code level. Once implemented, Pre-Audit, Payment and Reporting Services’ real-time Web access allowed internal users 24/7 access to detailed reports with vital shipping information.

As a result, this client re-assigned the two full-time personnel required to code and charge back unprocessed shipments; one person has been assigned to another department, the other is now overseeing value-added analysis.

Pre-Audit, Payment and Web-based querying tools have given this retailer the ability to carefully analyze and improve its business processes. It successfully used this information to reduce the number of carriers used and renegotiate additional incentives with their carrier base. Within one year, the estimated cost savings from Data2Logistics services exceeded $1.7 million through audit recovery, process improvements and labor savings.