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The new director of logistics at Holt Renfrew, a high-end retailer of men''s and women''s fashions, has been asked to prepare a detailed plan for dealing with the company''s $40 million warehoused inventory and its chronic stock out problems. Given the opportunity to prove how logistics can benefit the company''s profit margin, the director prepares a three-fold strategy: improve the physical layout and process flow in the distribution center, upgrade the distribution systems and business processes, and re-allocate human resources. His challenge is augmented by the need to receive merchandise from international suppliers and distribute it quickly to compete in the fast-paced fashion industry.