CONTENT PARTNERS
SOLVED Supply Chain Challenge? Turning a Security Challenge Into a Cost-Savings Win A strong partnership, honest problem-solving, and the right technology came together in this fulllment challenge, illustrating Barrett Distribution Centers’ approach to customer service. Barrett Distribution Centers had
has substantially increased daily throughput, allowing Barrett to ship more orders the same day while supporting later order cutoffs. And there’s a sustainability angle here that shouldn’t be overlooked. Removing the bagging process entirely cuts down on packaging waste, and shipping in optimized cartons means fewer trucks needed to move the same volume. That’s a real ESG win for the customer.
the opportunity to take on a complex fulllment challenge for a well-known, high-value footwear brand. “And when I say high-value, I mean it—this is the kind of product where security isn’t optional,” says Mark Healy, vice president of customer solutions. With an average of 260,000 unique pairs (one pair per SKU) owing through the facility and outbound orders running around 11,000 per week— spiking well past 20,000 at peak—they needed a solution that could scale without sacricing security or accuracy. THE CHALLENGE The initial approach was straightforward: Auto-bag every pair before put-away, then at outbound, pick the bag and run it through the automated cartonization machine, box it up, scan it, and manually apply a shipping label. The problem? That bagging process alone required 10 warehouse associates just to keep up. THE SOLUTION Rather than just throwing more labor at it, they sat down with the customer and asked the harder question: Is the bag actually solving the security problem, or is it just the way they’ve always done it? The answer led them to a smarter solution. They eliminated the auto- bagging process entirely and redirected their cartonization machine to do what it does best—t each pair into a carton sized precisely to that pair. The machine runs at
up to 650 pairs per hour, so the throughput math was compelling. More importantly, every pair now ships in a right-sized carton, which directly translates to lower dimensional weight charges across every single outbound order. THE RESULTS The improvements hit across multiple cost categories simultaneously: ■ Cost-per-unit savings year over year — meaningful reduction across the board resulting in a Warehouse Services Cost per Unit (CPU) reduction of ~$2.30/ unit during the rst year ■ Lower small parcel costs — right-sized cartons mean optimized DIM weights on every shipment ■ Elimination of bag costs — a direct material cost removed from the equation ■ Inbound labor reduction — from 10 associates down to 5 ■ 99% of outbound orders ship same day – The investment in automated CMC boxing and labeling technology
THE TAKEAWAY What makes this one worth talking
about isn’t just the cost savings—it’s the mindset behind it. Barrett Distribution Centers didn’t wait for a contract renewal or a customer complaint to surface the opportunity. They looked at the operation, identied where costs were hiding, and brought a collaborative solution to the table. That’s what a real 3PL partnership looks like. If you’re running a high-value, high- SKU fulllment operation and you haven’t stress-tested your inbound process lately, this is a good reminder that the inefciencies you’ve lived with the longest are often the ones with the most upside.
To learn more: Barrett Distribution Centers mhealy@barrettdistribution.com barrettdistribution.com 508-553-8800
46 Inbound Logistics • July 2026
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