Company Profile
Ashley Furniture is a home furniture manufacturer and retailer based in Arcadia, Wisconsin. It is the largest home furniture manufacturing company in the world and the second-largest retailer. Ashley HomeStores are a mix of company-owned and licensee stores across the U.S., Canada, Mexico, Central America, and Asia, and the company employs more than 25,000 people worldwide.
Quick Facts
- 6 distribution centers, each averaging more than one million square feet
- 450-plus company-owned and licensee stores, plus 25,000-plus wholesale customers
- Solutions: K.Motion Warehouse Advantage, K.Motion Labor Advantage, K.Motion Yard Advantage
Challenge
Ashley opened its first HomeStore in 1997 and within 10 years had become the top furniture retailer in the US. That explosive growth brought supply chain challenges, including improving inventory accuracy, adding RF-directed workflow, and managing replenishment between and within buildings. Because of the fast-changing furniture industry and Ashley's commitment to continuous improvement, the company needed software that could adapt, and that its own team could support around the clock.
Solution
Ashley chose the K.Motion Warehouse Advantage suite for its open architecture and flexibility, taking full ownership of the solution after implementation. Ashley first implemented the WMS and Yard Management System at its headquarters distribution center, then rolled them out to four more domestic DCs and a Chinese DC, and later added Labor Management across all sites.
The WMS gives Ashley best practices for receiving, put-away, inventory management, order processing, and replenishment, plus the ability to build its own processes. The Yard Management System provides visibility into trucks and inventory across large yards, and the Labor Management System lets Ashley measure and track labor to increase efficiency.
The flexibility of the Körber solutions is what appealed most to us. Our team is able to efficiently manage the software and make changes and upgrades as market conditions dictate. We control our own destiny and have embraced continuous process improvement through the Körber technologies.Vice President of Supply Chain Systems, Ashley Furniture
Results
Ashley has gained efficiency and the ability to be more productive without adding headcount. Better inventory visibility lets the company plan outbound activity more accurately, coordinating stock on hand, off-site, in the yard, in transit, and in production to fill each outbound truck.
We have significantly decreased our operating expenses related to distribution since implementing Körber. We've also centralized many departments around one common technology, which has led to more gains in efficiency.Vice President of Supply Chain Systems, Ashley Furniture