XPO Logistics Regional Division · Manufacturing · Dallas, TX · 16 weeks
7 warehouse management systems consolidated into one
A regional logistics company operated seven separate warehouse management systems from past acquisitions, causing fragmented inventory data and slow order fulfillment, averaging 3.1 days. We consolidated all warehouse data into one unified platform, which cut logistics costs by $2.2 million annually and brought fulfillment time down to 18 hours.
Challenge
Seven distribution centers operated with seven different warehouse management systems, each added through separate acquisitions. This caused fragmented inventory data, no coordinated routing between sites, and inconsistent order tracking. Orders took an average of 3.1 days to fulfill. Maintaining these separate systems cost $2.2 million annually.
Approach
We consolidated data from seven WMS systems into a single Snowflake platform to create a real-time, unified inventory view. Then we developed a fulfillment dashboard that tracked order status, inventory, and routing efficiency across nine distribution centers, enabling informed decisions on cross-facility shipments.
Outcome
We launched the unified logistics platform in week 16. This cut the annual WMS cost from $2.2 million to $480,000. By optimizing routing across facilities, we shortened average order fulfillment from 3.1 days to 18 hours. We also replaced 24-hour batch updates with real-time order status, improving customer visibility.
How We Cut Costs and Got Shipments Out the Door Faster by Adjusting Facility Routes
We grabbed inventory data from all the locations. That let our routing system send orders to the nearest place that actually had the item, instead of just going to the original spot. That small change shaved 1.4 days off fulfillment time.
How We Tracked Orders in Real Time to Keep Customers from Dropping Off
So, our clients kept pushing for quicker updates on their orders. Instead of sticking with daily batch updates, we flipped the switch to real-time order status. It made a huge difference. Frankly, three of our top customers were almost ready to walk away, but this move convinced them to stay.
How We Merged Warehouse Systems and Cut Costs Big Time
We killed off 4 of the 7 WMS platforms. That cut our yearly maintenance from $2.2 million down to $480,000, huge savings. The other 3 stuck around, but just to feed data into the new, combined system.
Results
- $2.2M Annual logistics cost saved
- 3.1 days to 18 hrs Order fulfillment time
- 7 to 1 WMS systems consolidated
- 16 wks Full platform delivery
We were using seven different systems and couldn’t get a clear view of our inventory. Thinklytics helped us bring it all together, and we reduced our fulfillment time from three days to 18 hours. Having that real-time visibility also convinced three customers to renew their contracts.