Global Apparel Retailer Saves €15.5M in 18-Month Turnaround

A global apparel retailer faced challenges in time-to-market, service levels, and industrial costs. EFESO led an 18-month transformation program across four countries, reducing order rejections from 20% to 8%, and streamlining product complexity.

Service: Supply Chain

Our Client

A leading global apparel retailer generating €1 billion in revenue, employing over 7,000 people, and operating in multiple countries across Europe and North Africa. The client focuses on manufacturing and delivering clothing and textile products worldwide.

€1B

Annual revenue

+7K

Employees

Countries included in the program (Italy, Croatia, Serbia, Tunisia)

The Challenge

The client aimed to turn its industrial property chain into a strategic advantage while improving market responsiveness and cost efficiency:

Time-to-market delays: Extended production lead times were reducing competitiveness
High industrial costs: Operational expenses and complexity were eroding profit margins
Service and quality issues: Low service level (78%) and high order rejection rate (20%) impacted customer satisfaction
Complex product portfolio: Large variety of fabrics and colors increased production complexity and reduced flexibility

Real Results Achieved Together

Through a structured 18-month Operational Excellence program, EFESO helped the client improve service, quality, and cost performance while reducing complexity and enhancing competitiveness.

€15.5M

Savings delivered (OpEx + right sizing)

+10%

Service level improvement

-60%

Reduction in order rejections

Transformation Impact

Improved speed and punctuality: service level increased from 78% to 88%
Enhanced quality control: order rejection rate reduced from 20% to 8%
Increased flexibility: reduced product complexity with 30% fewer fabrics and 60% fewer colors
Cost competitiveness: achieved €15.5M savings (6.5M OpEx, 8.5M right sizing), reducing industrial costs by 8%

Our Approach

EFESO executed a two-phase program: assessment (6 months) and implementation (18 months), focusing on the manufacturing company of the group. The methodology included:

Establish agile and lean organizations aligned with defined processes
Foster exceptional performance in internal departments and external laboratories
Streamline Product Complexity and Simplify Industrialization process to reduce time-to-market
Ensure superior service levels and reduce production lead times

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