This traditional department store is one of the largest retailers in the U.S. with more than 1,000 stores. In 2017, their parcel spend exceeded $451M. Their network infrastructure is complex, leveraging multiple carriers, ship-from-store strategies, a large drop-ship vendor network and multiple distribution centers.
As carrier costs have steadily climbed over the years, this retailer focused on creating a parcel roadmap that capitalized on every possible efficiency to cut costs while still meeting their customer commitments on transit time. They identified 3 transit time options that would meet their customers’ needs. Analyzing their data was a key component of balancing their cost and service equation. The complexity of their parcel network requires a strategic approach and continual visibility and analysis in order to manage their data, locations, services, carriers, technology, etc.
Green Mountain Technology’s partnership with this retailer resulted in $110M in savings/cost avoidance over 5.5 years with a return on investment of 1,544%. Hundreds of strategic projects were tackled to support the execution, refinement and enhancement of their parcel network.