Operating in 100 countries worldwide and with a total staff of 10,000 people, ABX LOGISTICS is one of the world's leading freight forwarding and logistics service providers. ABX Logistics UK has its headquarters in Thrapston, Northamptonshire with 6 additional strategically located depots.

In the UK, in addition to freight forwarding services the core business for ABX has traditionally been as a third party logistics provider handling the storage, picking and packing of their clients' broad range of products. ABX now increasingly operate as a successful 4PL business process outsource provider, with the capabilities to structure relationships and processes in a way that best meets the requirements of the customer, rather than the customer having to accept a standard offering. This enables their clients to focus on their own core competencies and better manage and utilise company assets and resources.

ABX have implemented OpenLogistix for the management of complex order processing, as part of their supply chain service offering.

Brands using the supply chain service from ABX, utilising OpenLogistix, include everything from Chocolate Fountains to Valerie Graham China to Footwear and Accessories, including Jimmy Choo, POD and Firetrap brands.

People, Process & Technology

As both a 3PL and 4PL provider, ABX operates as an extension of its customers' business and recognises the role of and need for information technology in managing the supply chain process.

ABX completed the expansion of their warehousing resources adding 10,000 pallet spaces in 2006. This, combined with the increasing customer demand for more flexible and adaptable order processing, instigated a project to select and implement a specialist order processing system that would integrate with their chosen warehouse management, freight and distribution solutions.

OpenLogistix - the link in the ABX supply chain

The key to success for ABX is having a clear understanding of the complexity of the customer's requirements, presenting viable solutions to manage their process and maintaining high levels of customer satisfaction and retention.

OpenLogistix allows ABX to deliver a much more flexible and streamlined service to those clients who have a more complex order processing and reporting requirement.

The ease of use and flexibility of OpenLogistix gives ABX greater operational efficiency. With complex product lines, such as shoes with size ranges, it is quick and easy to set up product codes and create pick lists, speeding up data entry and order processing.

This ability to deal with complex orders provides ABX's clients with a streamlined process from order initiation through to invoicing. This provides an automated process for clients such as Valerie Graham, streamlining stock control and checking against re-order levels. Order information is captured in-store using portable devices and the orders uploaded automatically into the back office system. This speeds up the order process for pick, pack and despatch and importantly improves accuracy and throughput enabling the customer to cope with higher volumes through business growth without incurring additional processing costs.

‘Are my products there?' - ‘Are they available for picking?' - ‘Have they been despatched?'

Reporting and visibility were key criteria for ABX in system selection to enable their clients to interrogate data and run reports such as historical stock movement and back orders. The flexibility and ease of use of OpenLogistix provides ABX and their clients with self-service access to timely and relevant information that enables them to more pro-actively manage their supply chain.

OpenLogistix provides many standard reports as well as user-defined reports for ABX and their clients. The "Tracker" facility provides a visible workflow for the order processing cycle with the ability to drill down to status from any order in the system from entry through to despatch and invoicing thus enabling clients, like Valerie Graham, to interrogate data themselves via multiple drill-down enquiries.

From a management perspective, information is available to all users in real time. Information is captured at source and processed through the system dynamically, which eliminates the typical paper-chase and results in time and cost savings.

One size does not fit all - but one system does fit all

ABX sets itself apart from other larger, global service providers in a number of ways: Although ABX is a global company, their "Think Global, Act Local" philosophy means that ABX UK focus on small to medium clients, working effectively as the supply chain function for companies of all sizes and throughput, including many small companies with plans for expansion. The key factor in their ability to retain and acquire new customers is that ABX has the flexibility to treat each client as an individual business partner.

OpenLogistix is pivotal to the support systems provided by ABX to their clients. It provides a scalable solution that can be deployed in a variety of ways to fit individual clients' order processing needs. Some clients, such as POD footwear and Valerie Graham, operate the system themselves via a hosted service performing their own data entry and order processing while ABX handle the products for them. Others outsource the entire process to ABX.

The beauty of the hosted service approach for clients of ABX is that, whether their clients have an existing system that requires replacement or upgrade, or whether they are a new business yet to embark on system selection, they don't need to incur the capital and set up costs themselves to implement a new and proven supply chain system - they just pay for the service they require which substantially reduces the cost of system ownership.

So, what are the real benefits to ABX?

Josie Whorwell, Logistics Analyst at ABX, is tasked with delivering the best possible supply chain process for individual clients. For her, integration is an important factor. "The integrated supply chain solution that we offer our clients comprises a number of best of breed applications including OpenAccounts Financials, IMS freight & distribution and ATMS warehousing. The ability for OpenLogistix to seamlessly integrate with other applications means that we can offer a streamlined process from import of goods through to sales invoicing with much greater efficiency both for ourselves and the client".

Flexible reporting and ease of use play a big part in user satisfaction: "System operators love using the OpenLogistix system. It makes their lives easier and gives them the scope to handle more and varied accounts", comments Josie. "It also means that it is easy to roll the system out to our clients if they wish".

ABX itself is a growing business, faced with ever-increasing customer demands for process efficiency and visibility. ABX combines the might of a global organisation to get the job done with a local approach that recognises individual customer needs at competitive prices.

Josie summarises "To our customers, we are the supply chain arm of their business, so we have to be able to demonstrate a clear understanding of their unique process requirements. With OpenLogistix, we have a proven, robust service offering that combines the flexibility and scalability to help us develop long-term relationships with our clients as they evolve and grow."

by permission of ABX Logisitics