Case Study
How Lufema Unified Multi-Entity, Multi-Channel Operations with Uphance
From siloed tools to one system: real-time inventory, multi-warehouse fulfillment, B2B ordering portal, and measurable improvements.
Results Snapshot
99%
Inventory Accuracy
Inventory accuracy grew from 90–95% to 99%
20%
Reduction in Excess Stock
20% reduction in excess stock, freeing cash while meeting demand
3
New Brands Onboarded
Onboarded 3 new brands and 100+ new retailer accounts in the following year
Metrics Table
| Metric | Before Uphance | After Uphance | What changed |
|---|---|---|---|
| Inventory accuracy | 90–95% (estimated) | ~99% | Real-time, unified inventory + consistent workflows |
| Excess stock | Baseline | ~20% lower | Better visibility and tighter stock control |
| Operational scalability | Headcount constrained | Grew without extra ops hires | Automation + fewer manual steps |
| Multi-warehouse fulfillment | Hard to balance stock | Coordinated, real-time | Transfers + visibility across locations |
Company Overview
Lufema is a leading Australian wholesale apparel distributor with over 45 years of industry experience. This family-owned company exclusively distributes 16 international fashion brands and serves more than 600 boutique retail accounts across Australia and New Zealand.
Lufema operates multiple business entities, managing both a distribution arm and a local manufacturing operation in Sydney. This multi-entity structure, combined with multi-channel sales (wholesale B2B and potential e-commerce), created operational complexity.
As the business expanded, Lufema recognized the need for a modern apparel ERP solution to unify its fashion inventory management and streamline all aspects of its operations.
Background: Why Operations Got Complicated
Lufema is a long-established, family-owned wholesale apparel distributor in Australia. Over time, the business expanded into a multi-entity structure, operating both:
- a distribution arm, and
- a local manufacturing operation in Sydney.
Add to that the realities of modern selling, wholesale orders, sales reps, and the potential for e-commerce, and Lufema's day-to-day operations needed a single system that could keep up.
Business Challenges
Before adopting Uphance, Lufema faced several operational challenges:
Siloed Systems & Data
Inventory, orders, and production information were managed in disconnected systems (spreadsheets and basic software). There was no single source of truth for critical data, making it difficult to get a consolidated view of the business. This lack of a unified fashion inventory management system led to duplicate work and occasional data inconsistencies.
Multi-Warehouse Visibility Issues
Lufema stored products across multiple warehouses, but without an integrated platform it was hard to track stock levels in real time at each location. The team struggled to manage transfers and balance inventory between warehouses, increasing the risk of stockouts in one location while surplus remained in another.
Complex Multi-Entity Operations
Running both a distribution business and a manufacturing unit meant processes were fragmented. For example, locally produced apparel inventory had to be manually added to the distribution stock. The absence of a unified system for production and distribution caused delays – finished goods were not immediately visible as available stock for orders.
No Omnichannel Integration
The company's sales channels were not unified. Wholesale orders from boutique retailers were handled via emails and phone, while any direct online sales were separate. This made true omnichannel fulfillment impossible – Lufema couldn't easily aggregate orders across channels or ensure that online sales reflected current warehouse stock.
Manual Processes & Errors
Without a dedicated wholesale fashion software platform, many tasks were manual – from writing sales orders to updating inventory and invoicing. This manual workload was time-consuming and prone to human error. It also limited Lufema's ability to scale operations, as adding more brands or customers would have required significantly more administrative effort.
Why Lufema Chose Uphance
Lufema evaluated options and selected Uphance based on six practical requirements:
Fashion-focused ERP
Uphance supports apparel-specific workflows—style/SKU variants, seasonal collections, and production tracking—without forcing a generic ERP model onto a fashion business.
One unified platform
Inventory, order management, production, purchasing, and warehouse management live together—eliminating data silos and double entry.
Multi-warehouse + multi-entity support
Lufema needed one system to coordinate multiple stock locations and distinct entities (distribution vs. manufacturing) while staying operationally consistent.
Omnichannel readiness
Uphance is designed to centralize channels so inventory and orders remain synchronized—reducing the risk of overselling and enabling consistent fulfillment.
Built-in B2B ordering portal
A self-service B2B portal helps retail customers browse products, check availability, and place orders 24/7—reducing manual order entry and modernizing the buying experience.
Integrations and scalability
Uphance supports integrations with accounting tools (e.g., Xero/QuickBooks) and can scale with more brands, warehouses, and channels without requiring a system replacement.
Implementation Process
Lufema and the Uphance team planned implementation in phases to minimize disruption and cover multi-entity, multi-warehouse needs.
Discovery and planning
Teams mapped existing workflows end-to-end—orders, warehouse processes, and production handoffs—then defined success targets like real-time inventory visibility and unified order management.
Data migration and system setup
Lufema imported product catalogs across all brands (including variants/SKUs), initial stock, and customer/retailer records. Warehouses were configured to reflect real-world locations and entity structure—separating manufacturing stock and distribution stock where needed.
Module configuration
Key modules were tailored to Lufema's processes: inventory tracking aligned to categories, seasons, and size runs; warehouse management set up for multi-location fulfillment; B2B portal configured with branded storefront and customer-specific pricing.
Training and go-live
Staff were trained on new workflows across inventory, orders, and warehouse operations. The team went live with Uphance as their single operational system.
Results Achieved
Unified Operations
Uphance became the single source of truth across Lufema's distribution and manufacturing entities. All inventory, orders, and production data are now managed in one place, eliminating the siloed systems that previously caused data inconsistencies and duplicate work.
Real-Time Multi-Warehouse Visibility
Lufema now has full visibility into stock levels across all warehouse locations in real time. The team can easily manage inter-warehouse transfers and balance inventory, ensuring the right stock is in the right place at the right time.
Inventory Accuracy & Optimization
Inventory counts are now about 99% accurate, up from an estimated 90–95% before. With precise control over stock, Lufema has virtually eliminated errors like selling out-of-stock items. They've also been able to optimize inventory levels – carrying about 20% less excess stock than before – freeing up cash flow while still meeting customer demand.
Scalability and Growth
The unified system has positioned Lufema for scalable growth. In the year following Uphance adoption, Lufema successfully onboarded 3 new brands and over 100 additional retailer accounts without adding extra headcount in operations.
Data-Driven Decision Making
Lufema's management now operates with a data-driven mindset. Using Uphance's reports, they analyze sales trends and stock levels weekly. This has led to better decisions, such as fine-tuning the product mix for each season and improving purchasing forecasts.
"Uphance has given us real-time control over our inventory and orders. We can fulfill wholesale and online orders from multiple warehouses without missing a beat. It's transformed our fashion inventory management by unifying everything in one place and has eliminated so many manual errors in our process."
"Implementing Uphance was a game-changer for our growth. Our team can focus on strategic expansion, knowing our multi-channel operations can scale smoothly on the back end."
What Parts of Uphance Were Used
FAQ
What is Lufema?+
How did Uphance help Lufema?+
What results did Lufema achieve with Uphance?+
How did Uphance improve multi-warehouse management for Lufema?+
Did Lufema use the B2B portal feature?+
How did Uphance improve reporting for Lufema?+
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