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Customer Snapshot

Globetrotting in Pure Style

With a 30-year history of creating superior products for discerning professionals and frequent travelers, Tumi is recognized as the world's leading brand of luxury travel, business and lifestyle accessories. Tumi's success can be traced to its continual focus on its principles of design excellence, functional superiority and technical innovation.

 

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Everything a stylish, sophisticated traveler could want.

Company

TUMI

Headquarters

South Plainfield, New Jersey, USA

Customer Website

www.tumi.com

Revenue

$350 million

Number of Employees

750

Implementation Partners

Answerthink

Line of Business

Service, Human Resources, Finance, Supply Chain

Industry

Consumer Products

Featured Products

SAP Business Suite

History

Modern design & unparalleled performance

       

  • 1975Tumi was founded by Charlie Clifford.
  • 1980Tumi introduced soft, ultra-functional, black-on-black ballistic nylon travel bags and the company established its leadership position.
  • 1990An increasing number of consumers around the world chose Tumi's unique blend of modern design and unparalleled performance.
  • 2004Doughty Hanson & Co, a London-based private equity firm, took over Tumi for US$276 million.
  • 2009Jerome Griffith became the CEO of Tumi Inc.
  • 2011Tumi and graffiti artist John "Crash" Matos launched the "Tumi TAG" Charity auction to benefit AIDS Community Research Initiative of America (ACRIA).
  • 2012Doughty Hanson & Co, sought to spinoff Tumi in an IPO as Tumi Holdings Inc. (NYSE: TUMI).

Business Model

Global commerce – in over 70 countries

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Find Tumi in high-end malls worldwide.

Tumi can be found globally in over 70 countries through approximately 1,600 points of distribution utilizing multiple channels.

 

With products from top quality luggage to handbags and travel accessories, Tumi sells directly to consumers through a global network of approximately 100 company-owned stores, as well as indirectly through partner stores.

Success Strategy

Innovative quality products—and more

Tumi has grown their business by focusing on five principles:

 

1. Excellence in design

2. Functional superiority

3. Technical innovation

4. Unparalleled quality

5. World-class customer service

 

The Challenge

Becoming proactive instead of reactive

Tumi needed to improve relationships with both wholesale and retail customers, and increase customer fill rates. The company needed a solution that would help them to improve reactions to market trends, better predict inventory needs, and provide faster, more accurate financial reporting.

Enter SAP

Meet the criteria – in every capacity

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“Tumi chose SAP because of the breadth of information that we were able to get from every channel, whether it’s retail to warehousing to customer service.”

“The criteria that we were using when we looked for a new solution was that it had to be a complete system. It had to be an integrated system. We needed to make sure that everyone was looking at the same information at the same time. It had to expand with a company that was growing rapidly.”

The SAP Experience

Smooth implementation

From the beginning, Tumi knew that implementing SAP was going to impact the business in many ways. The SAP ERP application has increased visibility across the organization, improved decision making and streamlined processes; the solution will also support and scale with the company’s explosive growth.

 

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“We saw the processes; we saw them work. We knew that we could expand and grow with this solution.“

Tumi found Answerthink to be a helpful and proactive partner. Answerthink continues to work collaboratively with Tumi to determine which solutions should be deployed to help the company to grow and improve the way it does business.

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"What is Tumi doing this year? What are Tumi's plans next year?“

Running Better

Enabling the migration from wholesaler to retailer

Before implementing SAP solutions, Tumi was primarily a wholesaler. With the burden of its legacy systems lifted, Tumi was able to become a global retailer.

 

“It was the natural migration of our business, but it would have been impossible with our legacy systems. Now we’re distributing products to our own stores and have offices and sales teams in many countries.

Benefits

Doing your homework pays off – big time

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What we did with all that extra money…

Real-time answers to improve customer service

 

“When a retail customer calls to find out where an order is, we used to have to put the customer on hold while we called the warehouse. Our customers expect more than that… Now with SAP CRM, we can provide better service to those consumers. If they sent a bag in for repair, we can tell them exactly where it is, no matter who picked up the phone. It’s all in the same system now.”

 

Notably dramatic results since implementing SAP Business Suite:

30% reduction

in inventory levels

38% reduction

in warehouse space

44% reduction

in outstanding days sales

25% increase

in sales

Today

It’s in the bag

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Using SAP ERP for almost all of Tumi’s business.

“I am able to use SAP to pull reports out for customers and it gives them real time information. I don’t know where we would be today without SAP.”

Journey Ahead

Taking it further

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By providing Tumi with such detailed consumer information, SAP is enabling the Tumi to get to the next level.

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