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Known to fashionistas for its on-trend leather goods and edgy, cause-related marketing, Kenneth Cole Productions, Inc. designs, sources, and markets a broad range of footwear, handbags and accessories under the brand names Kenneth Cole New York, Reaction Kenneth Cole, Unlisted, a Kenneth Cole Production and Bongo. More than 4,500 department and specialty stores carry its products. KCP also operates about 80 retail and outlet stores, plus a direct-to-consumer catalog and Web site. Annual sales are close to half a billion dollars. |
Challenge
A relatively hip and aggressive company, KCP has been on a growth initiative, adding new lines for women and children and a men’s and women’s fragrance. Yet the company’s information system was not positioned for growth. Many functions were being done by spreadsheet and other manual record-keeping, making it difficult to get a cohesive overview of day-to-day business.
KCP continued to use an old Legacy-based system rather than deal with an upgrade. They worried about business disruption and learning curves. But as their business grew, the limits of their outdated technology became a liability. And, in a post-Enron culture, federal rulings (the Sarbanes Oxley act) required all publicly held companies to provide improved levels of reporting. This mandated a more functional system.
Solution
A client since 1989, Kenneth Cole Productions entrusted KWI with its upgrade mission. The initiative began with extensive data mapping to bridge from old software to new. Then the two companies partnered closely through the development and testing cycle to create a well organized upgrade. KWI provided structured training and got feedback which was reflected in ongoing process improvement. It was a very smooth transition and both parties met all agreed upon deadlines.
Because KCP was well prepared for its learning curve, they experienced no disruption to business. They did take precautions, such as overstocking their stores for the transition period, to be prepared for any unanticipated problems – but there were none. The upgrade was very well received by users who were pleased by their ability to quickly utilize the extensive functionality of the new system.
Results
With KWI’s technology and support, KCP went from its old manual system to a highly functional one, with a full array of web based applications. Within weeks of the upgrade, system usage increased over 200%. The attractive new functions and user-friendly features made it easy for employees to “get with the system.” They went from underutilizing their old technology to embracing their advanced technology – a 180 degree turnaround.
In addition to increasing efficiencies and enhancing operations, the upgrade multiplied the value of KCP’s business information. It provided upper management total visibility, with the autonomy to generate a suite of over 300 reports, and the ability to institute best practices. Best of all, KCP can now fearlessly accommodate new upgrades, and lead in business standards as it does in fashion.
