In Pursuit of Operational Excellence
How even the smallest issues get big attention at Capacity
Not in the mood for the full story? Here’s the 104-word summary.
A few weeks before Black Friday, we noticed that our client, The Perfect Jean, had some unallocated inventory. For the uninitiated, this happens in every warehouse across the country all the time – and the overwhelming majority of 3PLs don’t bring it to the clients’ attention. We do. We bring all anomalies to light because in pursuit of operational excellence, we do not accept problems. We contacted The Perfect Jean, told them what we identified and briefed them on our plan of attack. Within a few hours, we had all inventory allocated and accounted for. And then we helped them deliver an outstanding peak season.
A few weeks before Black Friday 2024, The Perfect Jean co-founder, Ovadia Labaton, got an email from his relationship manager here at Capacity:
"We noticed some unallocated inventory. Let’s talk about it. We have a strategy we want to brief you on.”
Most 3PL would never send an email like that – especially just days before Black Friday.
We aren’t most 3PLs.
We sent that email to Ovadia because long before we ever signed a contract, we were transparent. We made it clear that fulfillment is tough. It’s even tougher when you have an incredibly wide range of SKUs like The Perfect Jean does. (More on that in a minute.) We told The Perfect Jean, just like we tell all of our clients, that fulfillment perfection is a myth. Any 3PL that tells you otherwise is blowing smoke.
Our promise, instead, is the relentless pursuit of operational excellence. It’s making it our mission to achieve the highest possible levels of efficiency and accuracy for our clients while investigating every anomaly – because every unexpected issue or hiccup is an opportunity to optimize growth. Failing to address even the smallest occurrence does just the opposite.
“Everyone at Capacity is capable of having what other 3PLs might consider difficult conversations. They’re able to do this because they come to those conversations with a problem-solving mindset and the genuine desire to better our business. They could’ve easily kept the unallocated inventory situation to themselves. But they don’t accept problems. That’s such a differentiator and it’s a big piece of why we trust them with what amounts to pretty much our entire logistics operation.” - Ovadia Labaton, Co-Founder, The Perfect Jean
It took just a few calls and some rapid execution to get that inventory back online. But the longer-term value of this exercise was how it strengthened the relationship. Speaking the truth and doing what you say you’re going to do is what being an actual partner is all about.
Custom Fit Fulfillment
The Perfect Jean maintains a high number of SKUs. This is central to the brand’s value prop: No matter your waist, no matter your inseam, we’ve got something for you. So whether you’re a 26-30 or a 50-26, TPJ has you covered.
From an ecommerce fulfillment perspective, a sizable SKU count introduces complexity. Inventory management requires robust tracking systems to monitor stock levels and avoid overstocking or stockouts. A wide variety of SKUs also typically requires more warehouse space and can increase pick/pack times and accuracy.
As a 3PL that can handle a range of SKUs, we build each client's fulfillment strategy around their unique product mix and inventory demands. Said differently, The Perfect Jean’s customers dream of the perfect fit. We make sure that’s exactly what arrives at their doorstep.
“The Capacity team is as obsessed with our unit economics as we are. They deeply understand our brand and what makes our customers happy. Merge that with their operational skill and you have a true partner.” - Ovadia Labaton, Co-Founder, The Perfect Jean
Operational Excellence in Action
Mutual trust. Candid transparency. Exceptional performance. That’s the recipe for a successful fulfillment relationship. And it’s no myth.