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Macy's Inc. Automates, Optimizes Inbound Freight Operations With JDA Software Solutions

April 15, 2008

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Case Study: Macy's Inc. Automates, Optimizes Inbound Freight Operations With JDA Software Solutions

For Macy's, formerly known as Federated Department Stores, Inc., a smooth supply chain is a business necessity. As one of the nation's premier retailers, Macy's Inc. operates more than 850 department stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names Macy's and Bloomingdale's.

The company, which also operates macys.com and Bloomingdale's By Mail, oversees a complex logistics network that has expanded to effectively support the total vendor-to-store supply chain. As a result, the retailer's support divisions, such as Macy's Logistics and Operations (MLO), are set up as their own operating entities within the corporation.

Like other support divisions, MLO is responsible for evaluating opportunities to improve technology at Macy's. Historically, the retailer relied on in-house systems; however, Peter Longo, president of MLO, and Pam Sweeney, MLO senior vice president of systems and technology, began to examine alternatives for enhancing inbound transportation management in early 2002. In addition to boosting pipeline visibility, Longo and Sweeney realized that Macy's inbound freight systems presented a significant opportunity for cost and service improvement. Consequently, the company began a rigorous ROI analysis to examine the value of using outside supply chain solutions to automate and optimize its complex inbound freight operations.

The selection was also based on JDA's ability to enable the strategic, operational and tactical business processes that support the global movement of goods and information. The JDA solutions also integrated many aspects of Macy's transportation and logistics department, including the creation of a web-enabled command and control center for its business operations.

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Case Study: Macy's Inc. Automates, Optimizes Inbound Freight Operations With JDA Software Solutions

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