Sop Inventory Management Transformation Reduces Supply Chain Cost New

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Gartner for Supply Chain

Industry: Apparel
S&OP and Inventory Management Revenue: $800 million
Employees: > 10,000
Transformation Reduces Costs

Mission-critical priority Compared to its industry peers, an American apparel company rates “low maturity” at S&OP
and inventory management. The SVP, Supply Chain – charged with growth and demand
planning and high quality standards – turns to Gartner for help prioritizing and actioning
process improvements

How Gartner helped Outcome


The client: With support from Gartner for Supply Chain, the client:
• Leveraged Gartner Executive Partner expertise to • Overhauled the S&OP process, reducing total
develop a roadmap for reducing total cost of COGS by $10M
goods sold (COGS) and inventory
• Applied best practices to inventory management,
• Validated proposed process improvements against
reducing total inventory by 27% or $200M
our robust supply chain datasets – Gartner
Supply Chain Score and Gartner Hierarchy of • Leveraged hands-on support from Gartner advisors
Supply Chain Metrics on the S&OP initiative, which equated to a $120K
• Leveraged Gartner’s Cost Optimization Playbook cost savings ($500/day and 2 workers)
to avoid common pitfalls

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