Supplier/3PL Gap Assessment.

Supplier/3PL Gap Assessment

Retail

Challenge
A multi-store retail organization, dealing in hard and soft goods, was challenged with stock-outs, and fulfillment issues with suppliers and with their third party logistics provider. Information lags were persistent with POS updates, inventory management, and sales analysis feeds to a corporate data warehouse.

Solution
Diagnose the gaps, lags, and opportunities with business processes across the supply chain. This involved documenting relevant current state processes to give clarity and impact to the ‘real’ issues. Walk through the current state model with management and process stakeholders across supply chain functions to gain concurrence on opportunities. Develop future state processes with the team to represent process refinements to overcome the issues. Opportunities for gains included e-commerce with trading partners (suppliers and 3PL), and modernizing application updates with POS and within internal applications.

Result
The retail organization acknowledged the efficiencies and business improvements to be gained to address stock-outs and fulfillment issues, and have added recommendations to their project portfolio and capital expenditures plans. At this juncture, it is a matter of initiating projects and making the up-front investments to streamline their business processes, and address application interface shortcomings to recognize the benefits.


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