- Case Studies -

a North American wellness retailer

Operating stores across Canada and the US, and a growing e-commerce channel

Fast, scalable and agile e-commerce improvements

With a pandemic disrupting their brick-and-mortar stores and overwhelming their e-commerce, this wellness retailer needed to quickly improve their fulfillment performance.

Background

With retail orders grinding to a halt and e-commerce orders up 500% over the previous year, the executive team knew they had to act fast to ensure existing processes and equipment could not only keep up with this ‘new normal’, but also remain scalable and agile should this shift to e-commerce continue through the businesses’ typical peak season.

Syncontext was asked to perform a detailed review of existing systems, technology and processes to increase space utilization and overall shipping throughput capabilities.

Approach

After a detailed audit and review of operational data, it was clear that the operation’s existing layout and labor processes were restricting throughput levels, causing delivery goals to be missed, especially during peak season.

Through a data-driven approach, multiple material handling, practices, technology and layout alternatives were evaluated in terms of productivity, throughput, capacity, investment and feasibility of implementation before the peak season.

  • Assessment of improvement opportunities with Syncontext SKUstream™
  • Detailed audit and data review
  • Accurate estimates for material handling of every active item
  • Multiple conceptual layout scenarios and expectations
  • Designed to meet productivity and throughput goals

Solution

Using Syncontext SKUstream™, we were able to develop a number of conceptual layout scenarios, with company executives ultimately deciding on one preferred e-commerce layout based on improved efficiency expectations and anticipated throughput levels.

Using SKUstream™, we were able to accurately identify material handling requirements for each and every active item, ensuring the updated layout is able to meet its productivity and throughput goals.

Working with Management, Operations and IT teams the plan was executed just in time for peak season.

Impact

36%

e-commerce productivity increase

by determining handling requirements for every item

73%

peak season turnaround time reduction

by streamlining processes and optimizing layout

67%

increase in e-commerce order throughput

without expansion and minimal CapEx

Final Thoughts

With a scalable and efficient layout, as well as optimized internal direct labor processes, this retailer recognized the value of not just using data to uncover improvement opportunity but acting quick and executing change without hesitation.

Can you expect similar results?
Let’s find out.

The beauty of our system is it’s entirely based on your company’s real-world data and proven algorithms, no guess work involved. Give us two months of data, we’ll run the numbers, and you’ll learn exactly how much you could be saving each week.

Learn more about Syncontext’s Strategic Opportunity Assessment