Clarks Partners with WISHWORKS to Modernise Warehouse Management System as Part of Global IT Transformation Strategy
Founded in 1825, British-based, international shoe manufacturer and retailer Clarks knows a thing or two about innovation. From its original slipper made from sheepskin offcuts by founders Cyrus and James Clark (ground-breaking at the time) to the world’s first foot-shaped shoe; from its children’s ranges in whole sizes, half sizes and choice of widths to its state-of-the-art iPad foot gauge; and from its innovative underfoot cushioning to rapid prototyping and 3D printing – the company has always been one step ahead of the game.
However, in more recent times, the iconic brand has somewhat lost its footing – sales have been falling as it tries to cope with volatile market conditions (Brexit, US-China trade wars, etc.) and a consumer environment that is increasingly governed by ecommerce.
The brand needed a turnaround strategy – and, acknowledging in its annual report an “historic under-investment in IT systems”, a large-scale IT transformation was put at the heart of it. As Guy Mason, CIO at Clarks, explains: “Inevitably, like a lot of companies that have been around for nearly 200 years, we have some of our own legacy.”
Building an Application Network
Shipping on average 75,000 pairs of shoes per day from its distribution centre in the UK, Clarks realised that its existing warehouse management IT infrastructure was fast-becoming outdated, resulting in lengthy and often cumbersome processes that affected the entire supply chain – from warehouse personnel, to wholesalers, to consumers.
To help optimise its supply chain operations, gain a better, real-time view of its inventory, and create a truly connected and automated environment that removed the rigid processes of old, Clarks needed an updated solution.
Ultimately, Clarks procured a new warehouse management application suite and partnered with software company MuleSoft, deploying the latter’s Anypoint Platform to make Clarks’ supply chain more efficient. Clarks also struck a deal with MuleSoft partner and big data specialist WISHWORKS to help design an API-led strategy to modernise its warehouse management systems and distribution centre, and ensure the efficient integration of the new application suite.
Optimising the Supply Chain
WISHWORKS helped Clarks build an application network that could quickly incorporate new technologies and respond to changing business and consumer demands. In this way, Clarks and WISHWORKS were able to replace Clarks’ existing point-to-point integrations with a unified layer of middleware that connects the various legacy and live applications via reusable APIs, allowing Clarks to make changes quicker.
"Retail is getting complicated,” said VP of Sales at WHISHWORKS, Edward Davies. “To be successful, companies utilise a host of different platforms, systems and applications that require many time-consuming and costly integrations. We are excited about the opportunity to help Clarks reduce the complexity and time required to innovate, bringing significant cost savings and faster time-to-value."
Amongst the greatest benefits of the solution is improved inventory management. As Mason explains, under the new system, Clarks won’t have to wait for an overnight batch run to get a true view of stock level. This means that item availability for the customer can be improved – no matter which channel they are buying from – and that Clarks will end up with lower levels of stock in the supply chain.
“There’s nothing more frustrating than going on a website, finding a pair of shoes that you like, and then discovering that they are out of stock,” said Mason. “At the end of season, we should have less stock that we have to discount or sell through outlet channels because it hasn’t sold, and that’s because we’ll have a much more accurate understanding of what stock we need.”
Final Thoughts
By creating a fully connected application ecosystem, Clarks has been able to enhance the efficiency of its core operations, making them faster and more effective at a lower cost. What’s more, with full API-enabled visibility and accessibility of data, Clarks can continuously optimise existing processes, perform error diagnoses in a matter of minutes rather than days, and build new use-cases with significantly less time and effort. Importantly, the new software also allows Clarks to roll out new applications and launch new distribution centre and third-party logistics services without disrupting day-to-day operations.
This all translates into meeting and exceeding both partner and customer expectations, which Mason believes puts Clarks on a much firmer footing for the future. "Our goal is to implement a global merchandise planning solution that will replace multiple legacy systems across many business functions, creating a step change in the global annual planning of 50 million pairs of shoes across price, product and location. With the global supply chain becoming more complex and competitive, it is no longer a case of simply stocking shelves and waiting for shoppers to come rushing through the doors. Rapid developments in technology are changing the game and it is no longer a matter of big business versus small, but rather, faster versus slower. Clarks is a modern example of a really big brand that is on the path of getting really fast."
You can hear Guy Mason, Chief Information Officer at Clarks, speak at Retail CIO Connect 2020, taking place in June at Sopwell House, St. Albans. Download the agenda for more information and insights.