Thursday, April 25, 2013

Supply Chain

Online-only retailers have caused a revolution in the supply-chain business, pushing up standards in order to keep customers coming back.” - Nick Robertson, ASOS.com, CEO



As ASOS does not run a brick and mortar location, the entire success of the organization relies on the successful fulfillment of orders.  This is centered upon effective SCM, supply chain management. ASOS produces merchandise on five continents and ships goods to customers located across the globe.  In order to maintain successful Customer Relationship Management, ASOS must run an effective and efficient supply chain.  All merchandise is stored in ASOS’ distribution center, located in a warehouse in Yorkshire town that is the size of 6 football fields.  ASOS has recently hired the supply chain specialists Allport to manage their international supply chain and logistics, as well as beginning to utilize the company’s LIMA software.  This aids in CPFR, as it increases visibility and cooperation across ASOS’ international supply chain.




ASOS has created brand awareness on a global scale, and must be prepared to fulfill orders placed from countries throughout the world. As they target a youthful customer with a limited budget, it is crucial to offer free shipping and returns on a global scale.  ASOS is acutely aware of its customers' behaviors and attitudes, acknowledging that the extra cost of shipping will deter many customers from purchasing merchandise.  In addition, the site offers free returns, to ease the hesitation consumers may have towards not being able to try on items at a physical location.

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