Tie Rack has renewed its contract with DHL Supply Chain in a deal worth £4.3m that extends the relationship until 2012.
The contract covers the Tie Rack and Rolling Luggage brands and is run from from the multi-user Hams Hall site. DHL manages a full range of services, including inbound freight from suppliers in India and China, as well as cross-docking, pick and pack, dispatch and returns handling.
DHL’s specialist fashion unit will continue to run all international inbound freight and warehousing operations serving 197 Tie Rack and 40 Rolling Luggage stores in the UK, Europe and the US.
The contract includes a new consolidation centre based in Hong Kong and opened by DHL in March 2009 for a shorter and quicker supply chain to markets in the Far East and Australia. Through the new service, Tie Rack is able to ship products sourced in Asia direct to the Hong Kong warehouse where they are picked, packed and dispatched to more than 50 stores and franchises across Australasia.
Lindsay Smetham, Tie Rack’s logistics manager, said: “The Hams Hall facility provides flexible labour and storage services and the integration of DHL’s warehouse Styleflow system has improved the accuracy and speed of operations through the use of scan pick technology.”