Challenge

Prior to our partnership, Abercrombie & Fitch often sent several of their US shipments to a centralized local warehouse before shipping it on to its final destination. This was due in part to the suppliers’ inability to hold at their facilities, a result of inflated transit times being used across all orders.  Since delivery schedules must be adhered to, this additional stop along the route was a necessity for the construction team. Not only did this interrupt product flow and create additional shipments that needed monitored and managed by the warehouse, but it also was inadvertently contributing to a higher than necessary amount of CO2 emissions.

Solutions

By utilizing Caliber’s easy to use Transit Matrix, Abercrombie & Fitch was able to begin issuing their orders with accurate transit times, enabling the shipments to move in a JIT manner. All the client has to do, is select their pickup & delivery location and enter their required delivery date.  Caliber’s tool then tells them the necessary transit time and the pickup date that should be added to their order.  Suppliers no longer need to worry about limited space as they can trust that the orders will be picked up on the date listed on their purchase order, the same date they see reflected in our logistics Control Tower system. The need for a secondary holding facility has therefore been eliminated and a shorter, more efficient supply chain created. 

Results

By taking control of A&F’s logistics and making all the routing decisions, Caliber has not only been able to achieve cost reductions but also has made a positive impact on A&F’s carbon footprint.  In the span of 18 months, Caliber helped to reduce CO2 emissions by 37% solely by routing domestic shipments (US to US) straight from the supplier to the jobsite instead of cross-docking at a warehouse.  This change to the supply chain resulted in saving 408 tons of CO2 – the equivalent of removing 86 passenger vehicles from the road each year.