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SBS Worldwide starts HarperCollins Supply Chain Project

News Release SBS Worldwide Inc September 22, 2011
“Creating a warehouse in Asia is easy,” James Graves of HarperCollins explains. “Coming
up with the electronic solution to allow easy visibility is hard. That led us to decide to use
SBS Worldwide. Their eDC system, with live data and stock levels, gives a level of
reassurance that we could not get with any other system.”

London, 22 September 2011: HarperCollins UK has entered into a long term freight
agreement with SBS Worldwide, leading logistics supplier to the publishing industry, to
implement a radical digital interface across its supply chain.
Virtualized Logistics, SBS Worldwide’s consultancy arm, worked with HarperCollins to
conduct a thorough assessment of their supply chain requirements and designed a tailored
solution which not only adds freight visibility at ISBN level and significantly reduces shipping
costs, but cuts lead times as well.
The project includes radical changes to everything from PO management and freight
services to the distribution of a wide range of books.
James Graves, Global Production Sourcing Director for HarperCollins, said: “We made the
choice of partnering with SBS based upon what we perceive as an industry leading software
solution, this coupled with a highly integrated approach to understanding our business, then
creating a solution for both our current and future needs.”
Tony Leach, Director and Chief Sales Officer at Virtualized Logistics said: “Many publishers
made the decision to move their printing to China in an effort to control costs. But they have
failed to take the next logical step of reorganising their logistics to suit this new business
model.”
In the past, HarperCollins has been reluctant to change its logistics because no system
could offer the degree of inventory control and management reporting that the company
needed.
The eDC (electronic distribution centre) supply chain software has been developed by
Virtualized Logistics (VL) in close collaboration with the book industry, including
HarperCollins, offering a far greater degree of freight visibility and control – down to ISBN
level – than ever seen before.
Tony Leach said: “eDC is all about achieving end-to-end visibility throughout the extended
supply chain and translating top level supply chain strategy into operational best practice.
The positive impacts clients can immediately see include speed-to-market, cost efficiency,
customer satisfaction and bottom-line results.”
VL also proposed that HarperCollins could save costs by printing high volume runs in the
traditional ‘off-season’ of late November to April and store the books in China.
“Using a warehouse in China is cheaper than using one in the UK, and the visibility we
provide through eDC means they can simply call off the books as needed and ship directly to
where they are needed,” Steve Walker, Chairman of SBS Worldwide explains.
“Creating a warehouse in Asia is easy,” James Graves explains. “Coming up with the
electronic solution to allow easy visibility is hard. That led us to decide to use SBS
Worldwide. Their eDC system, with live data and stock levels, gives a level of reassurance
that we could not get with any other system.”
SBS manages freight purchase order management, air and ocean freight, as well as
inventory management in China. The eDC system provides monitoring and performance
throughout the supply chain even providing proactive alerts if there are unexpected delays in
the shipment.
Shipments can be tracked through each milestone within the freight process, giving
HarperCollins the highest level of visibility, improved customer service and more control over
resource allocation and forecasting for inbound goods.
Deliveries are made to HarperCollins’ Glasgow NDC and also direct to New Zealand, US
and Canada.
SBS Worldwide has specialist knowledge of the book publishing industry and the company
can use the same consultancy process to design supply chains for importers and exporters
in a wide range of industries.