Fashion might set the trends, but a great warehouse management system (WMS) makes sure those trends arrive on time. Logistics isn’t just about trucks and tape guns. Behind every smooth operation is a warehouse management system handling the hard work. Now imagine a WMS that’s custom-tailored for fashion and built for speed and style. That’s ZalOS, Zalando’s in-house solution. Let’s find out how we’ve turned logistics into a runway-ready operation.
What is a Warehouse Management System (WMS)?
A warehouse management system is software that manages all warehouse operations, ensuring items are where they belong and orders are processed smoothly. But it’s more than just organising shelves. A great WMS optimises processes from stock intake to shipping, ensuring products are logged, tracked and moved as efficiently as possible. For fashion brands, this is a game changer. With the fast pace of new collections and the constant flow of returns, having a WMS that can handle it all is critical. It streamlines inbound processes, keeps an eagle eye on inventory and coordinates pick-and-pack operations with precision.
The beauty of a WMS isn’t just in what it does, but how it does it. By using real-time data, a great WMS can adapt on the fly. Got a sudden surge in orders? No problem – the system reprioritises tasks to make sure every item moves through the warehouse at peak efficiency. And with everything from stock levels to order progress visible at a glance, a WMS should help you avoid costly errors and delays. In the world of fashion, where speed and accuracy make or break customer satisfaction, a strong WMS isn’t just a nice-to-have – it’s essential.
ZalOS: A tailored solution for fashion brands
In the fast-paced world of fashion, time is essential. That’s why ZalOS, Zalando’s custom-built warehouse management system, was designed with one goal in mind: to meet the unique demands of the fashion and lifestyle industry. Unlike generic WMS solutions, ZalOS is built for speed, intelligence and flexibility in fashion logistics.
End-to-end process integration: Manages inbound stock, outbound orders, and returns seamlessly across 3 inbound distribution centres, 12 fulfilment centres and 20 refurbishment hubs.
Fashion-first efficiency: Tailored for rapid inventory changes, seasonal shifts, and high returns.
Scalable for demand spikes: Flexibly adapts during peak seasons, handling increased order volumes with ease.
Quick restocking: Tracks size, colour, and details to relist returned items swiftly.
Advanced automation: Integrates fashion-specific tools like shoe-picking robots.
Multi-Channel readiness: Scales with network expansion to serve multiple sales channels efficiently.
Curious about how ZalOS works to meet the demands of the fashion industry? Watch the “Business Casual” episode with Mariya Mladenova, Head of Product for ZalOS, as she shares key insights into the system’s unique capabilities and how it continues to evolve to keep fashion logistics at the forefront.
Adapting to fashion’s complex logistics needs: Key processes powered by ZalOS
Think of ZalOS as the multitasking maestro of fashion logistics, conducting every process with perfect timing. From the moment new stock enters the warehouse — whether it’s Zalando’s wholesale assortment or partner assortment — to when returns are coming in, ZalOS coordinates everything with precision.
It enables us to optimise the handling of any incoming stock that our partners deliver to our warehouses. By streamlining processes such as unloading, checking and assigning unique identifiers, ZalOS ensures that every item is tracked and processed swiftly. This means that our partners can trust that their products will move quickly through the system, be logged accurately and be ready for sale without unnecessary delays.
Inbound and inventory management
When new stock arrives at our warehouses, it’s not just a matter of dumping it on shelves. ZalOS springs into action the moment those delivery trucks roll in. Each item is unloaded, checked and assigned a unique identifier, which ensures articles can be tracked during their end-to-end journey. But that’s not all. ZalOS doesn’t just log the items; it also orchestrates the perfect placement in our warehouse to ensure they’re ready to be picked and packed at lightning speed when orders start pouring in.
The beauty of ZalOS? It doesn’t wait around. The second inventory is logged into the system, it’s live and ready to be sold. No downtime, no delays. Just smooth, efficient management of thousands of fashion items. After all, in fashion, if it’s not on the virtual shelf, it doesn’t exist.
Order fulfilment and returns
Once a customer clicks ‘buy’, ZalOS kicks things into high gear. It pools orders into efficient pick lists, making sure warehouse workers aren’t wasting time zigzagging around the thousands of square metres that make up our fulfilment centres. We batch orders together, processing them in parallel to boost productivity. This also makes order consolidation possible, which allows us to combine multi-brand orders from partners into a single parcel.
In addition, ZalOS is integrated with both middle-mile and last-mile transport services. Our local logistics providers, active in each market where we operate, come to our warehouses to pick up bulk customer orders. Whether it’s a single item or a wardrobe overhaul, ZalOS ensures each order is picked, packed and prepped for shipping with peak accuracy.
Returns are no different. ZalOS makes the returns process seamless, too. The system ensures that returned items are logged, inspected and put back into circulation as quickly as possible. Reimbursements will also be handled automatically, ensuring transparency and customer satisfaction. With real-time tracking, it is very rare for anything to go missing, and every return is handled as efficiently as the original order – because in fashion, second chances count.
For the small percentage of returns that arrive with defects, ZalOS plays an important role in managing the refurbishment process. Items with minor issues, like a loose stitch, or more serious defects like stains, are sent to our in-house refurbishment services. ZalOS tracks each of these items, ensuring we know exactly when they are repaired and ready to be resold.
The future of fashion logistics with ZalOS
Logistics isn’t standing still, and neither is ZalOS. Built to evolve, it uses automation and smart algorithms to increase speed and efficiency. By streamlining internal processes and cutting out unnecessary steps, ZalOS makes sure orders get from the shelf to your doorstep in record time. But it’s not just about handling today’s demands – it’s future-proof as well. Whether it’s managing seasonal spikes, speeding up delivery options or handling returns with ease, this system is designed to adapt to whatever is thrown its way.
A key innovation on the horizon is predictive storage steering, which will optimise how items are stored within our fulfilment centres. We utilise various storage methods, including physical shelves, bag sorters and shuttle storage systems. By applying predictive algorithms, ZalOS will be able to anticipate demand based on article type and store items in ways that ensure they can be picked even faster.
For brands, this means peace of mind – knowing their logistics are in good hands, now and as they scale. In a world where speed and flexibility are key, ZalOS ensures your logistics won’t just keep up, they’ll stay ahead.
