Enabling a group of fashion brands to become independent from each other while simultaneously reducing costs and overcoming a distribution centre capacity constraint.
A leading UK fashion group needed to enable its brands to operate autonomously in order to achieve their ambitious growth plans. A programme to dismantle its shared services was established. The shared services included functions such as payroll, facility management and the distribution centre.
Several options for each function were evaluated with the Board, ranging from in-Brand or outsourcing solutions to meet the Brands’ varying needs. The largest element of the programme was the outsourcing of the distribution centre to the 3PL market. Overall the programme and the new ways of working delivered in excess of £2 million and improved the estimated enterprise value with the ability for any Brand to easily exit the group.