14.12.2012 Views

Movex Fashion Helps Diadora Keep in Step with Customers

Movex Fashion Helps Diadora Keep in Step with Customers

Movex Fashion Helps Diadora Keep in Step with Customers

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

Go-Lives<br />

Inside This Issue<br />

No. 1, 2004<br />

Wonderful Garments—Ch<strong>in</strong>a<br />

With Intentia’s <strong>Movex</strong> <strong>Fashion</strong>, Wonderful<br />

Garments has seen:<br />

• Purchase order error rate decreased from 15<br />

to 5 percent<br />

• Repetitive order entry decreased to zero<br />

• The pre-contract evaluation period decreased<br />

from 7 to 2 days<br />

• A reorganized <strong>in</strong>ventory and discovered USD<br />

121,000 worth of <strong>in</strong>ventory<br />

• Customer order over-commitment decreased<br />

to zero.<br />

Intentia recently announced the successful<br />

implementation and go-live of its <strong>Movex</strong> <strong>Fashion</strong><br />

solution at Ch<strong>in</strong>a Changzhou Wonderful Garments, a<br />

lead<strong>in</strong>g manufacturer of <strong>in</strong>timate apparel, children’s<br />

cloth<strong>in</strong>g, fashionable women’s wear, sports, knit and<br />

w<strong>in</strong>ter wear. With the implementation, Wonderful<br />

Garments has an <strong>in</strong>tegrated supply cha<strong>in</strong> bus<strong>in</strong>ess<br />

model that has improved its growth across Ch<strong>in</strong>a.<br />

Moreover, <strong>Movex</strong> has enabled Wonderful Garments<br />

to slash time and costs <strong>in</strong> deliver<strong>in</strong>g real-time market<br />

responses, maximiz<strong>in</strong>g product satisfaction of its<br />

clients and end customers, and strengthen<strong>in</strong>g its<br />

market competitiveness.<br />

“We chose Intentia predom<strong>in</strong>antly due to its<br />

experience and expertise <strong>with</strong> the Ch<strong>in</strong>ese fashion<br />

and apparel <strong>in</strong>dustry. Intentia also has a competitive<br />

edge <strong>in</strong> this arena, s<strong>in</strong>ce its solutions have been<br />

developed from scratch to fit the requirements of<br />

the fashion and apparel <strong>in</strong>dustry,” says Mr. He<br />

Guangyu, general manager of Wonderful Garments.<br />

A word from the <strong>Fashion</strong> Center Manager 2<br />

New <strong>Customers</strong> 2<br />

Customer Focus 3<br />

<strong>Movex</strong> <strong>Fashion</strong> Focus 4<br />

Industry Focus 4<br />

fashion<br />

newsletter<br />

Decisions Are Easier When You Have a Good Overview<br />

Customer Focus<br />

<strong>Movex</strong> <strong>Fashion</strong> <strong>Helps</strong> <strong>Diadora</strong><br />

<strong>Keep</strong> <strong>in</strong> <strong>Step</strong> <strong>with</strong> <strong>Customers</strong><br />

Thanks to complete end-to-end <strong>in</strong>tegration, <strong>Diadora</strong>’s management<br />

and employees are empowered to make better, more <strong>in</strong>formed<br />

decisions across the organization and throughout the entire<br />

supply cha<strong>in</strong>.<br />

cont. on page 3<br />

<strong>Movex</strong> <strong>Fashion</strong> Focus<br />

Critical Path Track<strong>in</strong>g<br />

Critical path track<strong>in</strong>g is a key element of the Intentia <strong>Movex</strong> <strong>Fashion</strong><br />

solution. It contributes to companies be<strong>in</strong>g able to shorten their timeto-market<br />

and reduce <strong>in</strong>ventory build up <strong>in</strong> the supply cha<strong>in</strong>. This <strong>in</strong><br />

turn promotes agility and quick response times to consumer demand. In<br />

fact, to be truly effective, companies need to ensure that every process<br />

<strong>in</strong> the sourc<strong>in</strong>g cycle takes place on time. When an activity is delayed,<br />

cont. on page 4<br />

Industry Focus<br />

Have Visibility, Will Succeed<br />

Come 2005, fashion and apparel makers can look forward to sav<strong>in</strong>g<br />

money from <strong>in</strong>creased outsourc<strong>in</strong>g as a new pact among World Trade<br />

Organization countries becomes effective. This agreement which eases<br />

all import quotas on textile and apparel, further opens up the market<br />

for the supply of everyth<strong>in</strong>g from raw materials to f<strong>in</strong>ished goods.<br />

cont. on page 4


2<br />

<strong>Fashion</strong> Newsletter<br />

A Word from the <strong>Fashion</strong> Center Manager<br />

Let's face it. The future of the fashion <strong>in</strong>dustry is <strong>in</strong> the<br />

hands of companies that can produce and deliver the<br />

right goods to consumers just when they want them.<br />

While com<strong>in</strong>g up <strong>with</strong> stylish designs creates consumer<br />

demand, hav<strong>in</strong>g a fast and flexible supply cha<strong>in</strong><br />

completes the fulfillment of such demand.<br />

Intentia has recently launched a global campaign—<br />

Decisions Are Easier When You Have a Good Overview.<br />

This year, we will be focus<strong>in</strong>g on supply cha<strong>in</strong> visibility,<br />

which enables everyone along the supply cha<strong>in</strong> to be<br />

more agile to changes <strong>in</strong> consumer demand.<br />

What do we mean by supply cha<strong>in</strong> visibility? Imag<strong>in</strong>e<br />

a situation where everyone <strong>in</strong> your enterprise has realtime<br />

access to all outstand<strong>in</strong>g orders from customers,<br />

raw material suppliers and f<strong>in</strong>ished goods contractors.<br />

Imag<strong>in</strong>e hav<strong>in</strong>g a global view of <strong>in</strong>ventory at every stage<br />

of the supply cha<strong>in</strong>. This is what Intentia can offer <strong>with</strong><br />

our <strong>Movex</strong> <strong>Fashion</strong> solution.<br />

Creat<strong>in</strong>g a fast and flexible supply cha<strong>in</strong> requires the<br />

removal of manual processes and disconnected systems<br />

that slow down the <strong>in</strong>troduction of new ranges and<br />

collections, delivery lead time, quality checks and<br />

requirement changes. In other words, fashion and<br />

apparel makers have to change the way they do bus<strong>in</strong>ess.<br />

Some New <strong>Customers</strong><br />

Ice <strong>Fashion</strong>s—UK<br />

Ice <strong>Fashion</strong>s Group recently selected <strong>Movex</strong> to support<br />

the company’s cont<strong>in</strong>ued profitable growth path by<br />

<strong>in</strong>tegrat<strong>in</strong>g its <strong>in</strong>ternational operations and provid<strong>in</strong>g<br />

common visibility throughout the bus<strong>in</strong>ess. A leader <strong>in</strong><br />

their field, Ice <strong>Fashion</strong> designs, sources and sells young<br />

casual women’s and men’s fashion garments to major<br />

high street retail cha<strong>in</strong>s for lead<strong>in</strong>g labels such as New<br />

Yorker, C&A, New Look Group, Arcadia Group and<br />

KarstadtQuelle. This <strong>in</strong>ternational implementation,<br />

which also <strong>in</strong>cludes Intentia’s Enterprise Performance<br />

Management Solution, will be rolled out <strong>in</strong> the UK,<br />

Germany, Hong Kong and Ch<strong>in</strong>a, <strong>in</strong>itially support<strong>in</strong>g<br />

some 70 users.<br />

“Controll<strong>in</strong>g our <strong>in</strong>ternational supply cha<strong>in</strong> is a<br />

complex issue. Intentia has the <strong>in</strong>dustry experience and<br />

breadth of fashion-specific product functionality to<br />

ensure success <strong>in</strong> this area,” says Malcolm Ladk<strong>in</strong>,<br />

chief executive at Ice <strong>Fashion</strong>s Ltd.<br />

Acushnet Company—USA<br />

The world's largest golf manufacturer, Acushnet<br />

Company of Fairhaven, Massachusetts, has signed an<br />

agreement to license and implement Intentia’s <strong>Movex</strong><br />

<strong>Fashion</strong>. The renowned supplier of Titleist, Cobra and<br />

FootJoy brand golf products will beg<strong>in</strong> <strong>in</strong>ternational<br />

implementation <strong>in</strong> Canada. Once successfully launched<br />

there, the <strong>in</strong>tent is to roll out the solution to its Asia Pacific<br />

Unless fashion companies have supply cha<strong>in</strong><br />

visibility, it is difficult for them to keep up <strong>with</strong> changes<br />

and gratify customer wants—much less profit from an<br />

<strong>in</strong>creas<strong>in</strong>gly larger sourc<strong>in</strong>g market for the cost-effective<br />

supply of raw materials to f<strong>in</strong>ished goods.<br />

To have a good view of one's supply cha<strong>in</strong>, one<br />

needs a collaborative enterprise system to enable<br />

employees and partners to work <strong>with</strong> the same<br />

<strong>in</strong>formation when plac<strong>in</strong>g orders, track<strong>in</strong>g <strong>in</strong>ventory and<br />

monitor<strong>in</strong>g production cycles. This will avoid work<br />

duplication and <strong>in</strong>accuracies, which present hidden<br />

costs. Visibility also enables an organization to respond<br />

quickly to chang<strong>in</strong>g market conditions and enhance<br />

profitability.<br />

The first phase of our campaign on supply cha<strong>in</strong><br />

visibility is about us<strong>in</strong>g <strong>Movex</strong> for successful sourc<strong>in</strong>g.<br />

In this newsletter, you will learn about global sourc<strong>in</strong>g<br />

trends and how Intentia customers have used <strong>Movex</strong> to<br />

support their sourc<strong>in</strong>g operation.<br />

Intentia, a collaborative solution leader <strong>in</strong> the fashion<br />

<strong>in</strong>dustry, can help you make better decisions that<br />

brighten your bus<strong>in</strong>ess outlook.<br />

Vicky Hyde, <strong>Fashion</strong> Solution Director<br />

subsidiaries and other global sites. The agreement could<br />

ultimately <strong>in</strong>clude up to 1,200 global users.<br />

“<strong>Movex</strong> <strong>Fashion</strong> is particularly attractive because of its<br />

deep fashion <strong>in</strong>dustry functionality and flexible<br />

style/color/size product matrix. And s<strong>in</strong>ce Acushnet is a<br />

large global company, it is critical that we partner <strong>with</strong> a<br />

respected vendor such as Intentia, which has a physical<br />

presence <strong>in</strong> all the countries <strong>in</strong> which we operate,” says<br />

Peg Nicholson, Acushnet’s senior vice president and CIO.


Customer Focus cont.<br />

<strong>Movex</strong> <strong>Fashion</strong> <strong>Helps</strong><br />

<strong>Diadora</strong> <strong>Keep</strong> <strong>in</strong> <strong>Step</strong><br />

<strong>with</strong> <strong>Customers</strong><br />

Bus<strong>in</strong>ess Benefits<br />

“With<strong>in</strong> months of implement<strong>in</strong>g <strong>Movex</strong> <strong>Fashion</strong>, we<br />

experienced some of the benefits of real-time <strong>in</strong>tegrated<br />

<strong>in</strong>formation,” says Manoj Kumar Motwani, general<br />

manager at <strong>Diadora</strong> Hong Kong Ltd.<br />

A key <strong>in</strong>gredient of the implementation is that sales,<br />

market<strong>in</strong>g, sourc<strong>in</strong>g and f<strong>in</strong>ance personnel now have total<br />

access to pert<strong>in</strong>ent data such as a fully updated customer<br />

database and complete f<strong>in</strong>ancial <strong>in</strong>formation.<br />

“The ability to access data quickly was a major<br />

improvement. We couldn’t do that before,” Manoj states.<br />

“This alone has improved efficiency and customer service,<br />

because customers now know what’s available and when,<br />

at the time they place their orders.”<br />

Manoj adds, “Customer order fulfillment has also been<br />

improved by <strong>in</strong>creased automation. With <strong>Movex</strong>, once an<br />

order is approved and entered <strong>in</strong>to the system, a purchase<br />

order is automatically generated.”<br />

Manoj expla<strong>in</strong>s that <strong>Diadora</strong> now also has a common<br />

tool and a s<strong>in</strong>gle environment for mak<strong>in</strong>g f<strong>in</strong>ancial data<br />

more readily accessible to its executive management<br />

across all locations regionally.<br />

“Today, <strong>Movex</strong> <strong>Fashion</strong> saves<br />

<strong>Diadora</strong> time and money by<br />

elim<strong>in</strong>at<strong>in</strong>g redundant<br />

bus<strong>in</strong>ess processes and<br />

provid<strong>in</strong>g consistent data.”<br />

Manoj Kumar Motwani, General<br />

Manager, <strong>Diadora</strong> Hong Kong Ltd.<br />

“<strong>Movex</strong> has <strong>in</strong>deed met our expectations, and Intentia<br />

has fulfilled the promises and assertions made at the<br />

outset of our partnership. We have been especially<br />

pleased <strong>with</strong> Intentia’s <strong>Movex</strong> professionals, who were<br />

responsible for implement<strong>in</strong>g the solution at <strong>Diadora</strong>.<br />

Without their dedication and flexibility to meet our<br />

requirements, the project would not have been such a<br />

success,” Manoj says.<br />

Why <strong>Movex</strong>?<br />

Manoj expla<strong>in</strong>s, “We faced a key challenge <strong>in</strong> the Asia<br />

Pacific region and that was to coord<strong>in</strong>ate people of<br />

different backgrounds, cultures and vary<strong>in</strong>g l<strong>in</strong>guistic<br />

skills to work towards a common goal. We did not have a<br />

About <strong>Diadora</strong><br />

<strong>Fashion</strong> Newsletter<br />

clear view of our entire supply cha<strong>in</strong> <strong>with</strong> production <strong>in</strong><br />

Vietnam and Indonesia, development <strong>in</strong> Hong Kong and<br />

Taiwan, and coord<strong>in</strong>ation <strong>in</strong> Italy. Due to the volatile and<br />

cyclical nature of the footwear and apparel manufactur<strong>in</strong>g<br />

<strong>in</strong>dustry, visibility, control and execution of the supply<br />

cha<strong>in</strong> are key to our growth and success.”<br />

<strong>Diadora</strong> selected Intentia’s <strong>Movex</strong> <strong>Fashion</strong> solution<br />

because it does just that. It <strong>in</strong>tegrates the key processes <strong>in</strong><br />

the company’s complex supply cha<strong>in</strong>, from plann<strong>in</strong>g right<br />

through to distribution. It also handles many of <strong>Diadora</strong>’s<br />

scattered operations and coord<strong>in</strong>ates them to meet the<br />

demands of retailers and the diversified consumer market.<br />

The Implementation<br />

The partnership between Intentia and <strong>Diadora</strong> was forged<br />

<strong>in</strong> August 2001. The project supports <strong>Diadora</strong>’s operations<br />

<strong>in</strong> Hong Kong and Taiwan. The <strong>Movex</strong> <strong>Fashion</strong> solution<br />

implemented at <strong>Diadora</strong> covers the company’s entire<br />

supply cha<strong>in</strong> <strong>in</strong>clud<strong>in</strong>g plann<strong>in</strong>g, procurement,<br />

warehous<strong>in</strong>g, customer relationship management and<br />

f<strong>in</strong>ancial management.<br />

Future Plans<br />

With the successful implementation of Intentia’s fashion<br />

solution, plans are also be<strong>in</strong>g made to establish Hong<br />

Kong as <strong>Diadora</strong>’s central hub and ‘center for excellence.’<br />

This will drive efficiency and serve as an example for best<br />

practices and world-class operations for <strong>Diadora</strong>’s network<br />

of offices throughout Europe, the UK and the US.<br />

For the full case study on <strong>Diadora</strong> or<br />

more <strong>in</strong>formation on <strong>Movex</strong> <strong>Fashion</strong>, please visit<br />

www.<strong>in</strong>tentia.com/fashion<br />

<strong>Diadora</strong> is a world-renowned Italian sport<strong>in</strong>g fashion<br />

house. Headquartered <strong>in</strong> Venice, Italy, its prime<br />

network <strong>in</strong>cludes its offices <strong>in</strong> Hong Kong, Spa<strong>in</strong>, the<br />

US and the UK. <strong>Diadora</strong> had revenues of approximately<br />

EUR 300 million <strong>in</strong> 2002. The <strong>Diadora</strong> Group carries<br />

three ma<strong>in</strong> fashion brands: <strong>Diadora</strong>, Invicta and Utility.<br />

Its bus<strong>in</strong>ess activities are focused on three major<br />

segments: footwear (<strong>in</strong>clud<strong>in</strong>g safety footwear and<br />

casual shoes), apparel, and accessories (such as<br />

soccer goalie gloves, sh<strong>in</strong> guards, bags and balls).<br />

3


4<br />

<strong>Fashion</strong> Newsletter<br />

Industry Focus cont.<br />

Have Visibility,<br />

Will Succeed<br />

However, build<strong>in</strong>g relationships <strong>with</strong> new suppliers is<br />

easier said than done. More often than not, <strong>in</strong>creased<br />

global outsourc<strong>in</strong>g results <strong>in</strong> a longer lead-time from a<br />

more complex supply cha<strong>in</strong>. This is because<br />

manufacturers rely on manual processes to place<br />

orders, track <strong>in</strong>ventory and monitor production cycles.<br />

Even if they have automated their workflow,<br />

manufacturers ma<strong>in</strong>ta<strong>in</strong> systems that do not talk to the<br />

computers of their contractors and suppliers.<br />

Meanwhile, customer expectations are not lett<strong>in</strong>g up.<br />

Retailers and distributors are <strong>in</strong>creas<strong>in</strong>gly plac<strong>in</strong>g their<br />

orders closer to the time the goods are needed,<br />

pressur<strong>in</strong>g manufacturers to improve lead-times, offer<br />

faster replenishment and respond quickly to changes <strong>in</strong><br />

requirements.<br />

Unless fashion and apparel makers can see through<br />

their supply cha<strong>in</strong>s, potential benefits from a larger<br />

sourc<strong>in</strong>g market could be overshadowed by supply<br />

cha<strong>in</strong> "fog". The fashion <strong>in</strong>dustry needs to discard slow,<br />

manual processes and start connect<strong>in</strong>g disparate<br />

systems <strong>with</strong> a collaborative enterprise solution.<br />

<strong>Movex</strong> <strong>Fashion</strong>, Intentia’s application for the fashion<br />

<strong>in</strong>dustry, synchronizes demand and production across<br />

the enterprise, allow<strong>in</strong>g managers to have a real-time<br />

overview of the entire operation. Such visibility is critical<br />

as it allows an organization to respond quickly to<br />

chang<strong>in</strong>g market conditions and enhance profitability.<br />

<strong>Movex</strong> <strong>Fashion</strong> Focus cont.<br />

Critical Path<br />

Track<strong>in</strong>g<br />

they need to know quickly what has happened so that<br />

proactive action is taken to m<strong>in</strong>imize the impact delays<br />

br<strong>in</strong>gs.<br />

With <strong>Movex</strong> <strong>Fashion</strong> critical path track<strong>in</strong>g<br />

functionality, companies can def<strong>in</strong>e key activities <strong>with</strong><strong>in</strong><br />

a sourc<strong>in</strong>g cycle, and pre-plan delays between the<br />

steps and processes. When a new collection or style is<br />

<strong>in</strong>troduced, it is possible to quickly generate a plan of<br />

activities <strong>with</strong> critical dates automatically calculated.<br />

Plann<strong>in</strong>g can be forward or backward plann<strong>in</strong>g for<br />

completion on a specific date. Companies can also<br />

decide the level they want to track at—from a high level<br />

of collection or range down to <strong>in</strong>dividual style or<br />

style/color. Activities are largely user-def<strong>in</strong>able <strong>with</strong><br />

certa<strong>in</strong> standard functions such as plac<strong>in</strong>g the<br />

purchase order or receiv<strong>in</strong>g the goods <strong>in</strong>tegrated <strong>with</strong><br />

other <strong>Movex</strong> functions.<br />

As activities are completed, the date of completion will<br />

be updated aga<strong>in</strong>st the critical path. The updat<strong>in</strong>g is done<br />

<strong>in</strong>ternally, or alternatively opened up to parties along the<br />

Many of the world's fashion and apparel players—<br />

<strong>in</strong>clud<strong>in</strong>g American Eagle Outfitters, Delta Galil, GUCCI<br />

Timepieces, Kathmandu, Mission Hockey, Ocean Sky<br />

International, The Grandoe Corporation, The TAP Group<br />

and Verde Hold<strong>in</strong>gs --are already us<strong>in</strong>g <strong>Movex</strong> <strong>Fashion</strong>.<br />

In fact, there is compell<strong>in</strong>g evidence that fashion<br />

companies have found success from us<strong>in</strong>g<br />

collaborative technologies. For <strong>in</strong>stance, faster and<br />

more flexible supply cha<strong>in</strong>s have allowed the<br />

<strong>in</strong>troduction of <strong>in</strong>ternational styles, such as those<br />

displayed by H&M, Zara and Mango, says Ira Kalish,<br />

director of Retail Forward's Global Intelligence<br />

Program. Retail Forward is an US-based retail<br />

market<strong>in</strong>g and management consult<strong>in</strong>g firm.<br />

Kalish believes that a faster and more <strong>in</strong>tegrated supply<br />

cha<strong>in</strong> will cont<strong>in</strong>ue to shape the future of the apparel<br />

<strong>in</strong>dustry and enable a demand-led fashion bus<strong>in</strong>ess.<br />

Therefore, <strong>in</strong> an environment where timel<strong>in</strong>ess is<br />

critical, the fashion <strong>in</strong>dustry needs to embrace<br />

collaborative supply cha<strong>in</strong> technologies, which actually<br />

reduce the geographical distance that separates<br />

manufacturers, suppliers, contractors and retailers.<br />

For Further Information<br />

Intentia<br />

Tel: +46 8 5552 5000<br />

Vendevägen 89, Box 596<br />

182 15 Danderyd<br />

Sweden<br />

Fas-04-052-1-en<br />

supply cha<strong>in</strong> such as suppliers, agents, and shippers<br />

through a portal. <strong>Movex</strong> reviews the critical paths on<br />

a daily basis, identify<strong>in</strong>g activities that are delayed.<br />

Messages which can be retrieved from a message<br />

system <strong>with</strong><strong>in</strong> <strong>Movex</strong> or via e-mail are then sent to<br />

product managers or buyers, enabl<strong>in</strong>g them to<br />

<strong>in</strong>vestigate delays on an exception basis.<br />

<strong>Movex</strong> <strong>Fashion</strong> critical path track<strong>in</strong>g provides<br />

companies <strong>with</strong> a s<strong>in</strong>gle tool to track the sourc<strong>in</strong>g<br />

process, ma<strong>in</strong>ta<strong>in</strong> visibility of orders and <strong>in</strong>ventory<br />

throughout the supply cha<strong>in</strong>, and facilitate<br />

communication. Companies will therefore reap the<br />

benefits of reduced lead times and greater agility<br />

<strong>in</strong> respond<strong>in</strong>g to consumer needs.<br />

For further <strong>in</strong>formation on Intentia and <strong>Movex</strong> fashion,<br />

please visit www.<strong>in</strong>tentia.com/fashion

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!