Ariat Outsources National Shoe Distribution to JDF Distribution in Dallas; Improves Cycle Time by Two Days for Its Key Customer Base.
Situation
Ariat is the leading performance footwear and apparel brand for equestrian athletes around the world. The company needed to improve order cycle time to customers in the Southwest region, which represents a huge percent of its total U.S. sales. Ariat sought a cost-effective solution for national distribution that would, at the same time, improve service to its critical customer base in the Southwest. Strategy
Ariat worked with JDF Distribution to relocate distribution from the west coast to JDF’s Dallas warehouse. JDF ships about 45,000 pairs of shoes and boots per month to retailers across the country. Ariat’s customers are mostly small retailers who receive an average of six pairs of shoes in a shipment, so this volume is spread across 7,500 shipments per month. JDF’s runs an efficient, highly accurate pick-pack operation enabled by JDF’s full-featured warehouse management system. Forward pick replenishment is done at night so product is in place for the day shift.
Results
- Two-day cycle time improvement to Southwest customers
- Reduced overtime costs since JDF structured its work
schedule to absorb volume spikes into normal operations
JDF Distribution Helps Marketer of Women’s Apparel Comply with Wal-Mart Distribution Requirements for Suppliers Situation
Dezine News markets women’s belts and handbags. The company wanted to sell to Wal-Mart but needed a logistics partner with strong systems capabilities to comply with Wal-Mart’s
Direct Store Distribution Center (DSDC) program requirements. The DSDC process
requires that individual pallets be created and labeled for each store.
So, when the product is shipped to a Wal-Mart DC, a pallet can be immediately
loaded on a truck for store delivery. This eliminates handling for Wal-Mart
and puts the labor burden on the vendor. For suppliers that can effectively
meet this and other compliance requirements, it can provide a competitive
advantage since it qualifies them to do more business with Wal-Mart.
Strategy
Rather than invest in logistics systems and warehouses, Dezine News outsourced distribution to JDF Distribution. Using its N-Gen system, JDF has enabled Dezine News to meet all Wal-Mart compliance requirements. Each month, JDF processes about 13,000 shipments from its Dallas warehouse. Orders ship to Wal-Mart and other retailers throughout the country.
Results
• Helped Dezine News’ secure and grow business with Wal-Mart and other retailers based on an ability to comply with all labeling, EDI and other requirements
• Avoided investments in logistics systems General Electric Uses JDF Distribution to Support Delivery of Appliances to Builders
Situation
General Electric has a huge business supplying appliances to builders and commercial institutions. The company sought a partner in the Dallas area with the staff and specially equipped trucks to support daily delivery of appliances to installation sites. Strategy
JDF Distribution was chosen as GE’s appliance delivery partner in the Dallas area. JDF actually handles two distinct businesses for GE:
New Home Installation. Each day, GE appliances are installed in new homes throughout Greater Dallas. JDF picks up appliances at GE’s distribution center and brings them back to JDF’s DC, where they are labeled and truck routes are planned based on the installation locations. Crews then deliver appliances to specific builders along the route. The service may involve simple delivery of a crated appliance, uncrating and removal of packaging materials, or complete unpacking and installation of any appliance, such as refrigerators, ovens, microwaves, garbage disposals and dishwashers. JDF delivers about 13,000 appliances a month as part of its new home appliance delivery service.
“Meet Truck” Delivery. GE also supplies large numbers of appliances to support large-scale installations, such as when new refrigerators are being installed in all dormitory rooms on a college campus. JDF supports GE delivery requirements for these projects. A JDF truck picks up required appliances in the morning and delivers them to the install site, where the truck “meets up” with delivery trucks and install crews. Similar to JDF’s new home installation service, JDF duties can include simple delivery to actual installation of the appliance. JDF delivers about 7,000 appliances a month as part of its “meet truck” service.
Results
JDF is GE’s third largest store direct delivery agent in the country.
• Two physical inventories by GE at JDF’s warehouse have been 100% accurate
• JDF was honored with GE’s Appliance Vendor of the Year Award for the Southwest in 2007. |
