Regional Buying Operation Feasibility | Business Analysis Report - IDGC

Regional Buying Operation Feasibility | Business Analysis Report - IDGCCLIENT

  • Denbies Accessories, UK wholesaler supplying women’s men’s, and children’s fashion accessories to High Street Retailers M&S, Woolworths SA, Monsoon, Next, New Look, Top Shop, Debenhams, Arcadia Group & Accessorize. £20M annual revenue.


  • Appointed to review supply chain operations across UK operations, JV in Dongguan, China, and China-based suppliers. Deliver a proposal that reduces administrative cost in the UK, lessens reliance on the JV and improves transparency and governance. Drive sustainable TCO reductions through sourcing, category management, purchase to pay, quality and logistics.


  • Reviewed business model; Transactional Assessment, Supply Chain Process, Go to Market Structure, Suppliers, Logistics, key business drivers and teams. Completed SWOT existing operation versus establishing a separate service in China focused on go to market and TCO improvement (innovation, speed, and price).
  • Detailed full business analysis, financial (P&L) and viability report (cost benefits analysis). Presented options, maintaining and improving current operation, establishing an independent entity or a satellite operation servicing sourcing and quantity control. Concluded the best action for the client was to continue with the current operation, expand services through the JV across sourcing and category management in non-aligned categories, the establishment of a satellite office to support QA/QC and CSR functions independent to the JV to retain full transparency and controlled product auditing.
  • Audited all suppliers to gauge pricing, compliance, and traceability. Sourced new suppliers to create competitive price advantage versus existing trading company base and JV.
  • Introduced raw material suppliers able to manufacture low MOQs and or hold stock service levels as opposed to purchasing from the market at higher prices and with increased compliance risk.
  • Implemented supply strategy changing shipments from FIS local UK to FOB China that met the changing needs of customers eliminated outsourced warehouse facility cost and reduced operational transition cost.
  • Realized changes in the development process, delivering additional information on product specification to suppliers allowing accuracy and flexibility in the costing process to achieve the target price.
  • Headed technology improvement to processes, forecasting and merchandise planning.


  • Improved COGS by up to 35%, opening new market opportunities.
  • Net GP gain through all activities 5.6% (Cost transfer, warehouse closure, COGS reduction).
  • Improved purchase order cycle time through supplier contracted inventory (Raw Material and Finished Goods) resulting in go to market improvement of 14 days’ average.

Regional Buying Operation Feasibility | Business Analysis Report - IDGC

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