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Abercrombie & Fitch Expands Cloud Supply Chain

9/12/2013
Abercrombie & Fitch extends its contract with GT Nexus to expand its cloud supply chain strategy and improve visibility into the movement of orders, payments and goods. Since 2010, the lifestyle brand company has used the GT Nexus platform to support international sourcing and supplier collaboration.

“GT Nexus simplifies the way we manage global commerce and allows us to work in a transparent, efficient environment,” says Larry Grischow, group vice president Supply Chain for Abercrombie & Fitch. “We are able to transact more efficiently with suppliers around the world in ways that simply weren’t possible previously. We have fewer people answering calls from factories and handling paper invoices, and more staff focused on strategic initiatives to support our growth.”

Abercrombie & Fitch operates 1,053 apparel stores in 20 countries across four unique lifestyle brands – Abercrombie & Fitch, abercrombie kids, Hollister Co., and Gilly Hicks. The retailer operates distinct e-commerce sites for each of its four brands. Abercrombie & Fitch’s net sales for the fifty-three weeks ended February 2, 2013 increased 8 percent to $4.511 billion from $4.158 billion the prior year. Total international sales, including direct-to-consumer sales, increased 36 percent to $1.424 billion. Total company direct-to-consumer sales, including shipping and handling, increased 27 percent to $700.7 million.
In fiscal 2013, Abercrombie & Fitch expects to open a flagship retail location in Seoul, as well as approximately 20 international Hollister stores.

Abercrombie & Fitch automated its procure-to-pay process in the cloud using GT Nexus to create a transparent workflow environment for purchase orders, invoices, amendments and settlements. The platform has allowed the retailer to grow its number of stores overseas without adding new staff or resources to its supplier-facing team. 

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