Featured in CFOtech Australia
- Premium fashion retailer Austin Group transitions from third-party logistics to in-house operations, achieving 99.8% delivery-in-full-on-time performance
- New Melbourne Distribution Centre doubles daily processing capacity and enables operational control for sustainable future growth
- Austin Group prioritised building team capability over full automation, with ThreeSixty’s guidance ensuring operational stability
Premium fashion retailer Austin Group has successfully transformed its supply chain operations to achieve a 99.8% delivery performance after bringing distribution in-house, with support from supply chain consultancy ThreeSixty Supply Chain Group.
The new distribution centre in Melbourne now achieves 99.8% delivery-in-full-on-time (DIFOT) performance while doubling daily processing capacity with significantly fewer errors.
“The facility is now performing exactly as we needed it to. We’re fulfilling our department store commitments from the DC and handling online fulfillment directly, which allows our stores to focus on their physical customers. After two years of struggling to get the right amount of stock out the door, having this level of control and capability has transformed our business.”
Simon Murray, Chief Operating Officer at Austin Group
Austin Group operates three premium retail brands – Gazman, Cable, and Perri Cutten – targeting customers across both physical stores and e-commerce channels. Following several years of outsourced logistics operations, the business recognised the need to invest in supply chain infrastructure to improve current operations and support future growth.
To achieve this, Austin Group engaged ThreeSixty for full End-to-End scope of developing and delivering a new supply chain strategy. The 18-month project began with defining the strategy, undertaking a detailed review of Austin Group’s business requirements, developing solution options and commercial models, and the development and approval of the business case.
Post Business Case, ThreeSixty worked in collaboration with CBRE on property selection and contract negotiations. ThreeSixty also oversaw major procurement activites, capital equipment installation, and the implementation of a new Warehouse Management System.
To complete the project, ThreeSixty and Austin Group developed a detailed transition plan to smoothly deliver a new, successful, and operational DC.
“We wanted more control and the ability to be more flexible and agile. Now the facility basically runs itself – we’re processing significantly higher volumes with fewer errors, and our stores are seeing the benefit through faster, more reliable deliveries.”
Kevin Buhagiar, DC Manager at Austin Group
When facing building delays, ThreeSixty coordinated urgent rescheduling of arriving containers, adjusted contractors and network infrastructure installation timelines, and re-sequenced the entire fit-out while maintaining the project schedule to prevent go-live delay.
“ThreeSixty embedded themselves in our business – they were in boots and vests on site, not just behind a desk. Their responsiveness and expertise were phenomenal,” Kevin Buhagiar says.
Working with minimal visibility into the previous facility, the transformation required careful planning around inventory verification and location mapping. Despite these obstacles, the transition was completed on time without impacting stores or customers.
“We are thrilled to have a long-standing partnership with a forward-thinking retailer like Austin Group, who is committed to improving their customer promise. Although automation was financially viable, we advised against it initially when transitioning from outsourced operations, you need to build your internal team and capability first. We focused on giving them a solid foundation they could grow from.”
Arthur Dardoumbas, Executive Director at ThreeSixty Supply Chain Group
One year into operations, the facility runs with substantial capacity headroom, well below the threshold where efficiency typically degrades. The operation runs two overlapping crews from 6am to 5pm, with early carrier pickups enabling next-morning store deliveries. The upgrade has helped Austin Group expand its online operations, with additional women’s brands made live in early 2025, and Gazman’s e-commerce expansion.
For more details please read the Austin Group Case Study.
