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. This Uphance case study explores how Lufema implemented Uphance to modernize its multi-entity, multi-channel fashion 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 (if they occurred) 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. Reporting was another pain point, since compiling sales and inventory data for analysis had to be done by hand.
These challenges highlighted the need for a unified retail operations platform that could support Lufema’s growth and operational complexity.
Why Lufema Chose Uphance
Lufema evaluated options and selected Uphance based on six practical requirements:
Fashion-focused ERP (built for apparel realities)
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 instead of stitched-together tools
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 (wholesale + retail + e-commerce)
Uphance is designed to centralize channels so inventory and orders remain synchronized—reducing the risk of overselling and enabling consistent fulfillment.
A built-in B2B ordering portal for wholesale customers
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.
1) 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.
2) 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.
3) Module configuration
Key modules were tailored to Lufema’s processes:
Inventory tracking aligned to categories, seasons, and size runs
Wholesale order management configured for bulk B2B ordering
Production tracking set up to reflect licensed manufacturing output
Integrations were enabled for accounting, and e-commerce integration was prepared for future expansion.
4) Training and testing
Departments trained on their workflows:
Sales teams entered and monitored orders
Warehouse staff practiced pick/pack workflows
Production teams logged finished goods
Testing validated that orders updated inventory correctly across warehouses and that workflows behaved as expected.
5) Go-live and B2B portal launch
Lufema went live during a quieter period, migrated active operations into Uphance, retired legacy tools, and launched the branded B2B portal to retailer clients with supporting materials.
6) Post-implementation optimization
After go-live, Lufema and Uphance fine-tuned reporting, workflow steps (like backorders), and transfer processes. Regular check-ins helped Lufema adopt additional features over time.
Operational Improvements with Uphance
Since implementing the Uphance platform, Lufema has achieved significant results and business impact. Some of the notable outcomes include:
- Higher 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. The multi-warehouse visibility ensures that every unit of stock is accounted for and can be put to use.
- 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. The existing team can handle the increased volume, thanks to process automation. This demonstrates how Uphance’s scalability allows Lufema to grow its wholesale and retail channels confidently, without being bottlenecked by operational constraints.
- 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. The ability to identify fast- vs slow-moving items in real time has helped Lufema increase sell-through rates for the brands it distributes – ensuring the right products are in stock at the right time.
Executive Insights
Lufema’s leadership reflects on the transformation and success of the Uphance implementation:
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
Apparel ERP foundation
Inventory Management
Warehouse Management
Order Management
Production Management
Purchase Management
B2B Platform (wholesale ordering portal)
Reporting (for weekly analysis and forecasting)
Conclusion
Lufema’s journey with Uphance showcases how a fashion business can unify and modernize complex operations with the right technology. By deploying a specialized apparel ERP solution like Uphance, Lufema brought together its multi-entity, multi-channel operations into one cohesive system. The case study highlights the power of an integrated retail operations platform in delivering efficiency, accuracy, and scalability for apparel distributors and brands.
In conclusion, Lufema is now better equipped to innovate and grow in the competitive fashion marketplace. The company’s experience is a compelling example for other wholesale and retail brands seeking to streamline inventory management and improve omnichannel fulfillment. With Uphance as a trusted partner, Lufema has achieved a future-ready operation – one that can easily adapt to new business opportunities, confidently manage its broad apparel portfolio, and continue providing excellent service to its retail customers.
For fashion brands and distributors evaluating fashion inventory management or wholesale software solutions, the Lufema case demonstrates that investing in a modern, unified system like Uphance can yield remarkable improvements and set the stage for sustained success.
FAQ
Lufema is a family-owned Australian wholesale apparel distributor with over 45 years of experience. It distributes 16 international fashion brands and serves 600+ boutique retailer accounts across Australia and New Zealand.
Uphance unified previously siloed systems into one platform, connecting inventory, warehousing, wholesale orders, and production so Lufema could operate with one source of truth.
Lufema reported ~99% inventory accuracy (up from ~90–95%), about 20% less excess stock, and the ability to onboard 3 new brands and 100+ retailer accounts in the following year without adding ops headcount.
Uphance provided real-time inventory visibility across locations and streamlined workflows for transfers and fulfillment, reducing imbalance and improving availability accuracy.
Yes. Lufema rolled out a branded B2B portal that allowed retail customers to browse products, check inventory availability, and place orders through a self-service experience.
With unified data and built-in reports, Lufema’s management could review sales trends and stock levels weekly—supporting better forecasting, seasonal assortment planning, and inventory optimization.
