Case Studies Hayneedle Finds the Elusive Key to Growth with Manhattan Solutions

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	Hayneedle Finds the Elusive Key to Growth with Manhattan Solutions

Hayneedle Finds the Elusive Key to Growth with Manhattan Solutions

Technology Category	Analytics & Modeling - Predictive Analytics Functional Applications - Enterprise Resource Planning Systems (ERP) Functional Applications - Warehouse Management Systems (WMS)
Applicable Industries	E-Commerce Retail
Applicable Functions	Business Operation Logistics & Transportation Warehouse & Inventory Management
Use Cases	Inventory Management Predictive Maintenance Supply Chain Visibility Warehouse Automation
Services	Software Design & Engineering Services System Integration Training
Challenge	Hayneedle faced significant challenges with their warehouse management system (WMS) being out of sync with actual inventory levels scattered across the country. This misalignment led to subpar customer service levels, which were below expectations. The company had three distribution centers and a substantial amount of drop-ship business, which added complexity to their operations. The need to consolidate distribution centers, streamline and control the WMS for greater visibility, and improve customer service and experience became paramount. Additionally, the existing software was not scalable and lacked the flexibility required for operational growth, necessitating a search for a more robust solution. Read More
About Customer	Hayneedle, Inc. is an online retailer headquartered in Omaha, Nebraska, with three distribution centers and 220 online stores. The company began in 2002 when three friends acquired Hammocks.com and expanded into various product categories, leveraging niche web stores and effective marketing strategies. By 2009, Hayneedle was marketing over 220 niche product category websites, selling a wide range of items from hammocks to cribs, beds, and clocks. The company rebranded to Hayneedle, Inc. and focused on building a consumer brand by consolidating its distribution centers and optimizing its distribution process. Hayneedle's commitment to customer satisfaction and operational efficiency has been a driving force behind its growth and success in the direct-to-consumer space. Read More
Solution	To address the challenges, Hayneedle implemented Manhattan’s Warehouse Management for Open Systems, Distributed Order Management, and Supply Chain Intelligence solutions. These solutions provided the flexibility and scalability needed for growth and operational efficiency. The new WMS allowed Hayneedle to maintain an accurate real-time picture of inventory, removing redundancy and order confusion. The Distributed Order Management system enabled seamless integration of new facilities as the company expanded. Additionally, the Supply Chain Intelligence solution offered greater visibility and control over the entire supply chain, improving customer service and experience. By bringing all customer care functions in-house and moving away from third-party call centers, Hayneedle ensured a higher level of customer satisfaction and operational control. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Predictive Analytics

Functional Applications - Enterprise Resource Planning Systems (ERP)

Functional Applications - Warehouse Management Systems (WMS)

Applicable Industries

E-Commerce

Retail

Applicable Functions

Business Operation

Logistics & Transportation

Warehouse & Inventory Management

Use Cases

Inventory Management

Predictive Maintenance

Supply Chain Visibility

Warehouse Automation

Services

Software Design & Engineering Services

System Integration

Training

Challenge

Hayneedle faced significant challenges with their warehouse management system (WMS) being out of sync with actual inventory levels scattered across the country. This misalignment led to subpar customer service levels, which were below expectations. The company had three distribution centers and a substantial amount of drop-ship business, which added complexity to their operations. The need to consolidate distribution centers, streamline and control the WMS for greater visibility, and improve customer service and experience became paramount. Additionally, the existing software was not scalable and lacked the flexibility required for operational growth, necessitating a search for a more robust solution.

About Customer

Hayneedle, Inc. is an online retailer headquartered in Omaha, Nebraska, with three distribution centers and 220 online stores. The company began in 2002 when three friends acquired Hammocks.com and expanded into various product categories, leveraging niche web stores and effective marketing strategies. By 2009, Hayneedle was marketing over 220 niche product category websites, selling a wide range of items from hammocks to cribs, beds, and clocks. The company rebranded to Hayneedle, Inc. and focused on building a consumer brand by consolidating its distribution centers and optimizing its distribution process. Hayneedle's commitment to customer satisfaction and operational efficiency has been a driving force behind its growth and success in the direct-to-consumer space.

Solution

To address the challenges, Hayneedle implemented Manhattan’s Warehouse Management for Open Systems, Distributed Order Management, and Supply Chain Intelligence solutions. These solutions provided the flexibility and scalability needed for growth and operational efficiency. The new WMS allowed Hayneedle to maintain an accurate real-time picture of inventory, removing redundancy and order confusion. The Distributed Order Management system enabled seamless integration of new facilities as the company expanded. Additionally, the Supply Chain Intelligence solution offered greater visibility and control over the entire supply chain, improving customer service and experience. By bringing all customer care functions in-house and moving away from third-party call centers, Hayneedle ensured a higher level of customer satisfaction and operational control.

Impact #1	Order control was mastered and synchronized with inventory, leading to more accurate picking and improved customer care.
Impact #2	The new WMS maintained an accurate real-time picture of inventory, removing redundancy and order confusion.
Impact #3	Shipping service levels and accuracy improved, enhancing overall customer satisfaction.

Impact #1

Order control was mastered and synchronized with inventory, leading to more accurate picking and improved customer care.

Impact #2

The new WMS maintained an accurate real-time picture of inventory, removing redundancy and order confusion.

Impact #3

Shipping service levels and accuracy improved, enhancing overall customer satisfaction.

Benefit #1	Hayneedle consolidated its distribution space from 650,000 square feet across three sites to a central distribution center.
Benefit #2	Customer satisfaction scores exceeded initial goals by 2010.
Benefit #3	The company marketed over 220 niche product category websites by 2009.

Benefit #1

Hayneedle consolidated its distribution space from 650,000 square feet across three sites to a central distribution center.

Benefit #2

Customer satisfaction scores exceeded initial goals by 2010.

Benefit #3

The company marketed over 220 niche product category websites by 2009.

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Overview

Hayneedle Finds the Elusive Key to Growth with Manhattan Solutions

Operational Impact

Quantitative Benefit