Asos
Founded over 24 years ago in London, ASOS plc is a British online fashion and cosmetic retailer that:
- Sells over 850 brands
- Ships to 196 countries
- Has £3.5 billion in revenue
The company was founded in 2000 in London, primarily aimed at young adults. The website sells over 850 brands as well as its own range of clothing and accessories, and ships to all 196 countries from fulfilment centres in Europe, the United Kingdom and the United States.
Our customers, quite rightly, demand speed, accuracy, and excellent customer service. This means we need every aspect of our supply chain to reflect this and guarantee the highest levels of operational excellence.
Our partnership with ASCG means we challenge efficiencies and standards through continuous improvement. With the expertise and resource, they bring, we know we are hitting and beating Key Point Indicators across our operations.
The Backdrop
Frustrated by the technology available and unable to give retail partners the solution they required, we embarked upon developing a solution that would transform ASOS supply chain forever.
The Challenge
ASOS plc is a British online fashion and cosmetic retailer. The company was founded in 2000 in London, primarily aimed at young adults. The website sells over 850 brands as well as its own range of clothing and accessories, and ships to all 196 countries from fulfilment centres in the United Kingdom, the United States, and Europe. Advanced Supply Chain (ASC) had to replicate the existing complex, manual inbound supply chain operations with zero impact to the ASOS business, improve speed to market and automate processes to create a simple, user friendly platform for growth.
Changes in the ASOS Supply Chain
- High complexity and diversity in the supply chain structure: The wide range of products requires a flexible and efficient supply chain system.
- Large volume of individual suppliers: Different supplier structures must be considered for both processing and “retail-ready” products. Scalable and efficient solution: The new solution must support ASOS’s growth while simultaneously reducing lead times.
- Coordination with all stakeholders: The involvement of all parties with individual requirements is essential for smooth implementation.
- Reduction of manual processes: Manual reporting and data management should be minimised or completely eliminated to increase efficiency and transparency.
The Solution
Applying ASCG’s intelligent logistics, we developed a series of “Vector” modules designed to provide an operational platform for both processing and Retail Ready with instant access to reporting and live data feeds.
Through an optimised, automated supply chain solution, ASOS was able not only to increase its operational efficiency but also to lay the foundation for further global growth.
Processing
- Kiosk touch screen solution, with label printing on demand, automated packing lists and milestone tracking from inbound through to delivery.
- Unique licence plates allow green lane receipting upon arrival at ASOS’s fulfilment centre, reducing dwell time and improving speed to market from up to 1 week.
- Automated emails to suppliers notifying any variance to purchase order quantities reduces queries for B&M, finance and suppliers alike.
Retail Ready
- System-based solution enabling live tracking “in flight status” of purchase orders from collection, cross dock to delivery including query management for problem purchase orders. Live visibility providing a capacity planning tool at value, units & carton level as required by different functions within ASOS.
- Upstream compliance and the application of unique licence plates has reduced unplanned processing, reduced dwell time and on hold areas, improving speed to market.
Meeting the Challenge
By identifying, developing and delivering a faster, more responsive, cheaper supply chain solution, ASC has delivered significant cost savings, provided a platform for growth and delivered a solution that has slashed lead-times by between 5 and 7 days.
Business Benefits
Speed to market ensures ASOS can maintain its position as a market leader
- Reducing the processing lead-time from 6 to 3 days
- Introducing upstream compliance to significantly reduce dwell time upon arrival at ASOS’s fulfilment centres by 48 hours
- Product arrives fully compliant the first time
- Quality Assurance Review – checking garments against customer facing website data prior to fulfilment centre receipting therefore reducing on hold time at the fulfilment centre by 48 hours
- Handling significant percentage of all ASOS inbound volume, ASC has enabled growth within all areas of the supply base without the need to increase manpower by the same ratio
Introducing intelligent management tools
- Elimination of manual administration improved quality of data, and streamlined and standardised working methods and reaction time throughout
- Self-service dashboard reporting for all key stakeholders
- Exception management
- Complete elimination of bottle necks caused by non-compliant stock
Reducing manual processes and streamlining operations for both ASC & ASOS
- Mitigating rising costs with the introduction of automated processes and innovation in IT
- Supporting ASOS’s automation within warehouse operations, allowing the deployment of inbound teams to other processes within the fulfilment centre
- Elimination of unplanned processing, reducing handling and transportation costs
Significantly reduce dwell time upon arrival at ASOS’s fulfilment centres by 48 HOURS
Reducing the processing lead-time from 6 days to 3 DAYS
The Outcome
In collaboration, we developed and delivered an intelligent logistics solution with smart management tools and end to end visibility, providing all stakeholders, logistics, supply chain, buying and murchandising and finance functions instant access to essential reporting and exception management functions.
ASOS & ASCG have taken inbound supply chain beyond traditional methods and injected new levels of innovation:
- Provide a full end-to-end “see, understand, track” facility for all products
- Drive compliance even further upstream
- Provide planning and exception management tools across all inbound flows
A future-oriented strategic partnership
The strategic partnership continues to develop, both companies committed to continuing to improve process and maintaining best in class status. With a dedicated ASOS IT development team, ASCG can market leading innovation to the retailer ahead of its competition.
Provide a full end-to-end “SEE, UNDERSTAND, TRACK” facility for all products
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