Levi’s completes global transition to a unified ERP system
Levi Strauss & Co. will complete its transition to a unified cloud-based ERP system across all global divisions by 2027. This move will enable faster decision-making, support the growth of the DTC model, and facilitate the implementation of AI. The transition is accompanied by a reorganization of the supply chain and the closure of the distribution center in Kentucky.
Crius
Levi Strauss & Co. has announced the completion of its transition to a unified enterprise resource planning (ERP) system across all its global divisions by mid-2027. Recently, the company migrated its business operations in Asia and the Beyond Yoga brand to the global ERP platform, three years after implementing the system in North America. Following the integration in Asia, the company plans to fully roll out the technology in Europe and Latin America, marking the final phase of the transition.
The move to a single ERP system has been underway for more than a decade. As part of this process, the company is moving away from disparate individual platforms in favor of a standardized cloud-based ERP system. Previously, Levi Strauss & Co. operated with nine different ERP systems.
Once the new platform is fully implemented, it is expected to support the growth of the direct-to-consumer (DTC) sales model, accelerate decision-making, and lay the groundwork for scaling artificial intelligence and automation across all global operations. The company also aims to ensure a more consistent and accurate data flow.
The adoption of updated ERP systems continues across various industries. For example, food manufacturer Nestlé has deployed the SAP S/4HANA cloud platform in 112 countries for 50,000 employees and plans to integrate the SAP AI assistant into its core business systems. Consumer goods producer Clorox began transitioning its supply chain in the US and other business operations to a new ERP system in July of last year.
For Levi’s, streamlining the technological infrastructure of its supply chain is accompanied by a reorganization of its network, particularly in the US. As the company shifts from a fully owned distribution model to a hybrid model involving third-party operators, it will close its distribution center in Kentucky at the end of August.
