Label Program Overhaul Optimizes Inventory Management, Automates Releases | Retail
3/13/2023 RRD
RRD revamps leading retailer’s label program, providing increased material availability and on-time product arrival
CHALLENGE
A leading off-price discount retailer faced material and pricing challenges with their existing labels supplier. The supplier struggled with inventory management, on-time delivery, and the overall production process for the retailer’s markdown and time-sensitive labels.
After attempting to negotiate updated pricing and seek increased material availability, the retailer ultimately realized that their supplier could not meet their needs. They faced significant hurdles at times when necessary label products did not arrive on time. They sought a new vendor that could support their comprehensive label program and have product readily available amidst supply chain constraints.
SOLUTION
The retailer turned to RRD’s labels experts to provide a turnkey solution to their label program needs, including improved inventory and supply chain management. RRD took over the production and storage of all label products, with inventory management now based on actual forecasting. Additionally, RRD built a three-month storage program with automatic releases set up to provide product at intervals corresponding to the client’s needs.
RRD’s ability to both store products and have all product releases sent directly from RRD warehouses streamlined their label program and decreased time spent waiting for product to arrive.
RESULTS
Realizing improved supply chain management, RRD’s label program solution provided the following benefits:
- On-time product arrival in adherence to client needs
- Product availability based on planning and actual forecasting
- Increased material availability
- Decreased supply chain constraints
- Optimized inventory management