Cycle Counts for Two Distribution Centres

An American brand of lifestyle wear that markets, distributes, and licenses sneakers, skating shoes, lifestyle brand footwear, apparel, and accessories, required the support of RGIS. Founded in 1908, it has two distribution centres in Mexico with an average of 3,000,000 pieces across both sites.

REQUIREMENTS

The lifestyle brand needed a solution to carry out phased inventories, leading to a complete warehouse count, at its two distribution centres in Mexico. The company required RGIS to provide the following services:

  • Phase One: Inventory of 10% (300,000 pieces) of the total pieces (3 million) in the two distributions centres, to audit the reliability of the inventory carried out by its previous supplier
  • Phase Two: The inventory of an additional 10% ie. 300,000 pieces
  • Phase Three: To provide a full, accurate inventory of both of the distribution centres
  • Phase Four: To carry out the inventory of both distribution centres four times a year in 2022

SOLUTION

The lifestyle brand partnered with RGIS to complete the distribution centre inventory project, and RGIS provided the following:

  • Scheduled, on average, a team of 20 experienced RGIS auditors per day
  • Internal teams supported with the forklift and skid to move the pallets for counting
  • Generated reports with any variances identified and updated

RESULTS

The lifestyle brand found by outsourcing the distribution centre inventory project to RGIS, the following results were achieved:

  • Successfully completed all four phases of the project, and RGIS are now completing inventories at the distribution centres multiple times a year to ensure the stock on hand file stays accurate
  • Identified incorrect labelling and invalid barcodes on items
  • Counted approximately 3 million pieces throughout the two distribution centres
  • Inventories were completed in five to six weeks depending on the sales season in which the inventory was made
  • The customer was very satisfied with the RGIS inventories completed