Client is a fashion retail apparel chain focused on women in their teens and twenties.
Manual distribution processes and aging technology being utilized by a third party logistics provider had led to space and operational constraints and an inability to meet ecommerce growth. To improve service, quality and cost structure, Client planned to select a new West Coast facility to fulfill West Coast ecommerce volume, as well as retail and wholesale operations.
What Sedlak Did
Analyzed previous years sales data and projected future volumes based on confirmed growth factors.
Conducted management interviews and in-depth facility and operational walkthroughs of the current facility.
Validated space requirements, material flow, and functional interdependencies to identify best-fit solutions.
Evaluated alternative material handling solutions to refine conceptual design.
Confirmed project economics and investment costs, and provided conceptual drawings.
Defined detailed design criteria to drive concept evaluation process.
New 500,000 sq. ft. West Coast facility enabled Client to bring 25% of ecommerce volume in-house from a 3PL.
Pocket sortation system improved order accuracy, provided flexibility for expansion, and leveraged existing garment on hanger (GOH) technology and spare parts.
Pick module optimized cube utilization and reduced required building footprint.
Recommendations lowered e-commerce CPU by 68%, reduced labor, and improved overall productivity and SLAs.
Created a flexible, easily scalable design that will accommodate future growth.
Sedlak also identified business implications of delaying deployment of the new facility.