Spanish Lingerie Company Boosts Efficiency with RFID

Published: December 9, 2024
  • Selmark has deployed a UHF RFID solution from JSV that includes printers and software from SATO Europe.
  • Since the system went live in spring of this year, the company has boosted its efficiency in picking and shipping by 30 percent, while reducing errors.

Lingerie brand Selmark has gained inventory visibility that increased its picking, shipping and receiving efficiency by 30 percent, with the help of RFID technology.

The solution, which went live in March 2024, employs printer and solution software from SATO Europe, and was provided by Spanish technology company JSV. The women’s apparel company reports it has modernized its production and distribution processes, accomplished real time inventory tracking and reduced errors with the UHF RFID system.

The solution leverages SATO’s CL4NX Plus printers at key locations where the products are manufactured, and its Vamos Cloud software to manage the unique ID of each item, and its movement through the supply chain.

Selmark History

Selmark makes lingerie (specializing in bridal wear) that’s sold throughout the world from its distribution location in Vigo, Spain. In addition to lingerie, it sells nightgowns, pajamas and swimwear.

The family-run business has been selling women’s underwear aimed at the evolving lifestyles of their customers, since 1975. The company has expanded from manufacturing a handful of models and colors, originally, to 15 lines of lingerie and corsetry products with more than 8000 references (sizes, colors and designs). The company produces more than 2 million units per year.

The company has passed to a new generation and management’s focus is on increasing its modernity as well as offering a fresh look for products that reflect “vitality and dynamism.”

A New Generation Ushers in New Technology

Recently the company sought to enhance inventory accuracy, improve supply chain visibility, reduce labor costs, and boost the efficiency of their picking and dispatch processes. “The deployment of RFID technology was integral to achieving these goals, providing a robust solution for tracking and managing inventory more effectively,” said Laura Álvarez, Selmark’s engineer.

To accomplish this, Selmark first conducted a pilot of the technology with JSV. The system included JSV’s installation and integration services, featuring middleware and software solutions to ensure seamless operation of the RFID system. A passive UHF RFID tag was attached to each new item as it was produced.

The project with JSV began in early 2023 and the feasibility studies started in autumn of that year, said Diana Fuertes González, JSV’s marketing director. The limited rollout was conducted over a three-month period to test the integration of RFID technology into the company’s existing logistics and inventory systems. The pilot focused on a select range of products to assess the efficiency and accuracy of the tracking system before full-scale implementation, according to González.

How it Works

SATO printers are strategically deployed at Selmark’s manufacturing facilities. As goods are produced, the SATO cloud software encodes tags and links the unique ID of each tag with the product SKU and manufacturing details.

The printers create high-quality, durable RFID tags, which are essential for the accurate tracking and management of inventory throughout the supply chain, said González.

By tagging goods at the point of manufacture, the system is able to track them automatically, with RFID readers from the earliest stage of the supply chain through to final delivery. Each tag read updates data about the product’s status in the cloud-based software.

Identifying Goods at Receiving and Shipping

Once tagged, the finished product then goes through the supply chain to the distribution center in Vigo. The company is using a combination of fixed portals at key entry and exit points in the distribution center, handheld readers for inventory checks, and RFID tunnels for rapid bulk scanning of tagged goods.

“The RFID solution captures data on what goods arrive, their time of arrival, vendor information, shipping dates, and error detection such as misplaced items or discrepancies between physical inventory and records,” said González.

Since the system went live, Selmark has seen gains in its capacity to pick, pack and ship orders to customers to the tune of 30 percent more product processing in the same amount of time. Álvarez said the RFID enables the increase in efficiency by reducing the need for labor time that was previously spent on manual checks.

“Due to capturing tag reads during the key processes in the supply chain, the system understands what goods arrive at the warehouse, when, vendor information and shipping dates,” Álvarez said.

Error Free Omnichannel Sales

Selmark does not operate its own physical stores but works through strategic resellers. Some of these resellers use RFID technology to enhance their inventory management, further extending the benefits of RFID across the supply chain, she added.

This innovation ensures precise and agile management of the supply chain, from production to final delivery to the customer, said González. By automating the identification process, RFID has also made inventory data, and shipping information more accurate, thereby reducing the risk of errors.

Thanks to the implementation of RFID technology, Selmark has optimized its omnichannel strategy, ensuring precise inventory management and greater efficiency in order preparation processes. Additionally, stock information is updated in real-time, which increases customer confidence and reduces stockouts.

“This innovation allows us to offer our customers a more satisfying shopping experience by ensuring product availability and reducing delivery times,” said Álvarez.

Managing 250,000 products

Selmark currently maintains around 250,000 tagged goods in their warehouse at any given time. Since implementing RFID technology, the company has seen a significant improvement in inventory turnover and management, helping to reduce instances of both overstock and understock, said Álvarez.

The company has optimized its merchandise dispatch processes as well, by speeding up the verification process of items and generating shipping documents automatically.

Going forward, said Álvarez, “we are focusing on implementing this technology to perform cycle counts and verify product availability in real-time.”

“Our long-term goal is to extend this innovative solution to all our production plants, with the aim of standardizing our processes and ensuring maximum efficiency across our entire supply chain,” she said.

Integration with Existing Software

Each technology deployment requires some unique integration. For JSV, one of the challenges for this deployment was integrating the RFID system with the company’s existing ERP and WMS systems, said González. This was overcome through custom middleware that allowed for smooth data exchange and system compatibility. Additionally, reading hundreds of tags together, quickly and without errors, was a challenge, but was overcome through the deployment and testing processes, she explained.

The SATO CL4NX Plus printers at the center of this deployment are the first stand-alone printer of their kind to connect directly with Vamos Cloud RFID, eliminating the need for additional devices such as PC’s or terminals, said Gabriel Martínez, SATO Europe’s senior supply chain specialist.

The printer, combined with software, offers a guided solution that minimizes the risk of errors, SATO officials said. It comes with comprehensive warranties, including a user license, tags, ribbons, hosting, and service support. The printer supports various RFID tag formats, to serve those with diverse labeling needs in manufacturing and distribution environments like those of Selmark.

“Many SATO customers in the retail, manufacturing, and logistics sectors use our printers for similar applications,” Martínez said. They benefit from improved inventory accuracy, reduced labor costs, and enhanced supply chain visibility, which are crucial for maintaining competitiveness in today’s fast-paced market.”

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About the Author: Claire Swedberg