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Case Study

Powering domestic distribution with FTWZ hub and City DCs

An international manufacturer having a domestic distribution network was challenged with cost efficiency. We devised a strategic supply chain solution, aiming to optimise their domestic distribution network.

Expectation

The client needed to import goods from their overseas manufacturing facilities for distribution across India. Their primary concern was establishing an efficient and cost-effective system for domestic fulfilment, including e-commerce channels.

Expectation

The client needed to import goods from their overseas manufacturing facilities for distribution across India. Their primary concern was establishing an efficient and cost-effective system for domestic fulfilment, including e-commerce channels.

Approach

Two-pronged strategy – FTWZ + City Distribution

Our solution combined a centralised FTWZ supply hub with strategically located city distribution centres. This ensured optimal inventory placement and swift delivery throughout India.

End-to-end Efficiency

We implemented a comprehensive e-fulfilment software system to manage imports at the FTWZ, inventory across locations, order processing, warehouse operations, outbound management and quality control.

Value-Added Services

To further enhance efficiency, we offered quality checks and repair services for imported footwear, ensuring product integrity.

Outcome

  • Working Capital Advantage

  • By leveraging the FTWZ, the client achieved significant working capital savings by deferring customs duties until goods moved out for domestic distribution.

  • Seamless E-commerce Fulfillment

  • The integrated solution streamlined e-commerce order fulfilment, ensuring fast and accurate deliveries to end customers across India.

Outcome

  • Working Capital Advantage

  • By leveraging the FTWZ, the client achieved significant working capital savings by deferring customs duties until goods moved out for domestic distribution.

  • Seamless E-commerce Fulfillment

  • The integrated solution streamlined e-commerce order fulfilment, ensuring fast and accurate deliveries to end customers across India.

Key Takeaway

This case study demonstrates the power of combining FTWZ hubs with strategically placed city distribution centres, supported by robust e-fulfilment technology. This approach empowers businesses to establish a cost-effective and efficient domestic distribution network, even when manufacturing facilities reside outside the country.