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Urban Outfitters supports growth with Manhattan Associates


Urban Outfitters delivers unique shopping experiences to highly defined customer niches from its specialty retail stores, web sites and catalogs.

It offers differentiated collections of fashion apparel, accessories and home goods in its store locations including Urban Outfitters, for the 18 to 26 "mating and dating" age group, and Anthropologie, for women within the "nesting" ages of 30 to 45. Besides retail and direct-to-consumer channels, the company also has a wholesale division, which distributes Free People, bdg, and Leifsdottir labels to more than 1,000 stores worldwide.

"With our continued growth and increasing sales straining our network, we decided to transform our supply chain processes with a long-term solution that could support operations across all of Urban Outfitters' multiple channels," said Ken McKinney, executive director of Logistics, Urban Outfitters. "We needed the capacity to handle high volumes, increase process efficiency, improve supply chain visibility and obtain meaningful performance measures."

The company moved the fulfillment and call center activities of its direct and wholesale channels to a facility in Trenton, S.C. and implemented Manhattan Associates' (NASDAQ: MANH) Warehouse Management solution (WMS) from the Manhattan SCOPE® Distribution Management solution suite to optimize its distribution network. To support Urban Outfitters' European retail operations, Warehouse Management was also implemented in its London retail distribution center. In addition, the company plans to implement WMS in two additional U.S. retail facilities in Gap, Pa. and Reno, Nev. by the summer of 2011.

"Urban Outfitters obtained a significant return on its investment with Manhattan SCOPE solutions," continued McKinney. "We achieved increased productivity and supply chain visibility along with improved collaboration with trading partners and product flow."

Since implementation, Urban Outfitters has experienced benefits, including 35 percent reduction in total labor, 80 percent reduction in manifesting and invoicing processes, 66 percent reduction in turn time through receiving-from 3 days to less than 24 hours-and a 60 percent rise in putaway efficiency. The company benefited from the Supply Chain Intelligence solution as well-using the solution's dashboard view and detailed reports to measure and analyze supply chain performance.

"We had no idea how valuable the Supply Chain Intelligence solution would be to our business," said McKinney. "Its analysis capabilities and detailed reports were a nice surprise."

Manhattan Associates' Warehouse Management solution is designed for optimal collaboration and communication with an extensive network of suppliers and partners. Slotting Optimization scientifically determines the best picking profile for a distribution center, enabling timely, intelligent decisions as ordering trends change.

The Manhattan SCOPE portfolio is developed on a Supply Chain Process Platform that facilitates the communication of cross-suite applications to address specific supply chain requirements for the goals of each Manhattan customer. Manhattan SCOPE solutions are designed to seamlessly optimize day-to-day processes from one common interface, in real time.

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