How Data Digitization Helps Fashion Navigate Disruption – The Help Magazine

Like many consumer goods, fashion goods have a limited shelf life. Since time is of the essence, hitting the right delivery window is essential to avoid backlogs.

Visibility can help brands and sellers avoid getting stuck with “stagnant” inventory, said David Levitt, senior solutions architect at Exenta by Aptean, during a recent Sourcing Journal webinar, End-to-End Efficiency: Increased visibility from planning to product delivery. “Fashion is not stagnant,” Levitt said. “It’s constantly changing, so the visibility of your timing and planning to be ahead of that fashion curve is so important.”

Adding to the challenge of rapidly fading trends, operating an apparel business has only become more difficult amid recent supply chain disruption. Shelley White, president of PPE manufacturer Lac-Mac, described the current state of the supply chain as “unpredictable.” And she should know. Her company has experienced quadrupling lead times, shipping strikes, material shortages, purchase order extensions or cancellations, and more. To combat the longer lead times, Lac-Mac is forecasting further into the future and accurate demand forecasting requires reliable data.

Levitt noted that while some delivery disruptions are out of a company’s control, data unlocks the ability to better plan for issues so retailers aren’t “blindsided.” Exenta from Aptean’s enterprise resource planning (ERP) software covers everything from “concept to cash,” allowing companies to more effectively plan and track where goods are in these processes.

ERP gives companies the ability to prioritize based on demand, whether in the manufacturing or transportation phases. For example, it can show what needs to be produced first to meet deadlines and can be set to automatically substitute similar goods to meet customer needs. Another benefit is being able to see exactly what needs to be expedited via air freight—perhaps air shipping a small portion needed right away instead of the entire order—thereby reducing costs.

If companies still use manual data management, they open themselves up to risks like missed delivery dates, Levitt said. It is also an inefficient use of human resources, as skilled workers are spending time on administration, taking them away from their core jobs.

Across the board, digitization can help fashion companies manage their workforce. At the factory level in particular, Exenta from Aptean’s Shop Floor Control (SFC) solution helps companies delegate tasks by accounting for the skills and abilities of individual employees. Via SFC, Justin Hershoran, senior solutions architect at Exenta from Aptean, said companies can see a 10 to 20 percent increase in efficiency without expanding their workforce, a benefit amid labor shortages.

“There are many different areas that shop floor control can help when it comes to materials, labor and all the shortages and issues that companies and people are seeing today,” Hershoran said.

For Lac-Mac, SFC has also provided machine downtime data, allowing the supplier to track downtime-related costs, determine whether to repair or replace machines, and accurately plan capacity. In addition, accurate turnaround time improves cost calculations, which helps determine accurate margins.

Before adopting Exenta from Aptean software, Lac-Mac had an ERP but was managing factory operations manually. This meant that quality control and production was tracked through paper and Excel spreadsheets. Far from the norm, Hershoran estimated that 70 percent or more of manufacturers lack technology on the manufacturing floor.

Because it is supplying protective and health equipment, Lac-Mac is audited by regulatory bodies. Rather than being nice, tracking is a must to be able to secure the chain of custody information.

White said Lac-Mac’s legacy ERP system did not provide real-time data, which led to planning errors. Instead of typical fashion seasons, Lac-Mac is producing mostly made-to-order with a quick turnaround – it usually takes just 12 days from order receipt to delivery. This model requires reliable data to plan material needs, as the inputs will be used soon in the future.

One of the things that attracted Lac-Mac to Exenta from Aptean was a team that understands business because many of them have worked in fashion. Using this background, the software was created specifically for the needs of the industry. As an example, fashion products have size and color variants, each of which can be classified as separate SKUs in a different ERP. Instead, Exenta by Aptean uses a style-based system that allows all variations to be tracked as one.

“The Exenta team is made up of people who are from the apparel industry, who understand the apparel industry and who speak the language of the apparel industry,” said White.

Watch the webinar, sponsored by Exenta by Aptean, to learn more about:

Watch the webinar here.