Supply Chain World - Fall 2017 - 170

retail carter's inc.

Carter's successfully manages
mass customization complexity
when manufacturing 25,000 to
30,000 new products every year.

more than 750 million units a year.
The company also changes its entire style offering every three to six
months to meet "the never-ending
drum beat for freshness and newness in fashion apparel," he says.

Nimble and Fast
To manage Carter's complexity of mass customization, it is
migrating to an IT/IS platform
where transactional systems are
separated from decision support
and knowledge systems. Rather
than implementing a very large,
complex, high-capital cost and
rigid ERP system, Carter's finds its
approach is to yield a much more
agile and nimble operating model.
"This is a 180 degrees from what
the Oracles or SAPs of the world
have been promoting," he says.
Thanks to the system provided
170

Supply Chain World FALL 2017

by Anaplan, Carter's can look at
demand from 30 different places
and decide how it will execute,
based on its data analysis.
"When we determine what an
optimal supply plan is, we push
that supply plan into the transactional systems, and off and
running we go," he says.
"Historically, that comparison
would be done in the more rigid
and less flexible 'mainframe' type
ERP systems, which would be less
dynamic than what we're able
to do," he adds, noting that this
allowed Carter's to gain efficiency.
"We're nimble, fast and can benefit
from state-of-the-art processing
power and technology."

Aiming to Grow
Carter's has plans to grow its
e-commerce business while it

continues to refine its portfolio
of retail store locations. "We're
relatively rare in that we continue
to open retail stores," Smith says,
acknowledging that many other retailers, such as Sears, JCPenny and
Kmart, have or are closing stores.
However, 89 percent of Carter's retail sales still occur in its
brick-and-mortar locations. "We
also find that retail stores are an
excellent marketing venue to our
product and brand," he says.
Carter's website also has added
lines that it sells, including the
Carter children's wear brand, the
OshKosh children's wear clothing and products from Skip Hop,
which the company acquired
earlier this year. "Skip Hop's
product lines are durables, [such
as] backpacks and lunchboxes,"
Smith describes.



Table of Contents for the Digital Edition of Supply Chain World - Fall 2017

Contents
Supply Chain World - Fall 2017 - Cover1
Supply Chain World - Fall 2017 - Cover2
Supply Chain World - Fall 2017 - 1
Supply Chain World - Fall 2017 - Contents
Supply Chain World - Fall 2017 - 3
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Supply Chain World - Fall 2017 - Cover3
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