End-to-end supply chain management of leading e-commerce marketplace

Case Study

End-to-end supply chain management

Transforming Processes, Transforming Future

A Case Study in Optimization: End-to-end supply chain management of leading e-commerce marketplace

Our client in the entertainment industry was suffering from low quality and inefficiency in the service provided through different outsourcing solutions. Their service provider was not able to provide sufficient expertise, nor appropriate resources, to correctly manage e-commerce marketplace from order to cash. Therefore, the client was not able to make their largest revenue stream profitable.

The following areas were suffering the most:

Correctness of order input and management in client’s legacy systems
Packaging and labeling
Completeness and timeliness of deliveries
Pricing setup

These issues led to chargebacks and deductions, and as they were not being resolved, the client was losing money.

The client decided to form a strategic partnership with Sony DADC on pan-European level and outsourced complete supply chain processes, aiming to improve overall state of this key account.

Once the Sony DADC expert team took over the full management of the process from order to cash collection, things turned around. Within a few months, the team resolved many root causes of penalties and deductions, allowing the client to focus purely on maximizing their sales.

The transition from the former provider to Sony DADC took three months. After immediate service stabilization, the focus shifted to process optimization and enhancement. Besides process improvements, the client also benefited from immediate direct cost reduction.

Sony DADC’s overall commitment to bringing business value resulted in a strong partnership that has lasted over seven years, and the stable and profitable cooperation is still ongoing.

Summary:

Issue: Incompetent marketplace account management
Solution: Full outsourcing of O2C processes to Sony DADC
Timeline: 1 year
Outcome: Processes enhanced, financial impacts reduced, long-term partnership