In today’s fast-moving fashion and apparel industry, brands face mounting pressure to deliver quickly, minimize errors, and maintain accurate inventory across e-commerce, wholesale, and retail channels. To meet these demands, most companies depend on both an ERP (Enterprise Resource Planning) system and a third-party logistics partner (3PL)—but the real competitive edge comes from tight, seamless integration between the two.

What is a Fashion 3PL?

A fashion 3PL (third-party logistics provider) is a logistics specialist tailored to the unique needs of fashion, apparel, and clothing brands. Unlike generic 3PLs, a fashion 3PL offers:

• Garment-on-Hanger (GOH): Shipping clothes on hangers to prevent wrinkles and keep products retail-ready for stores or customers.
• Specialized Pick & Pack: Handling complex size, color, and SKU variations common in fashion.
• Ticketing, Bagging & Kitting: Adding hang tags, folding, bagging, kitting outfits, and prepping goods for specific retailers.
• Returns Processing: Inspecting, cleaning, refurbishing, and restocking returned products quickly.
• Automated Sorting & Distribution: Using advanced rail or conveyor systems for fast, accurate order assembly—especially important for GOH.
• Seasonal and Bulk Handling: Efficiently managing seasonal peaks, pre-packs, and large wholesale shipments.
• Retail Compliance: Supporting retailer-specific routing, labeling, and EDI requirements.

Well-known names like Fashion Logistics, Bergen Logistics, NRI Distribution, and ShipMonk (formerly Ruby Has) have all made significant investments in these fashion-specific capabilities.

Why is ERP & 3PL Integration So Important?

While your 3PL handles the physical movement of goods, your ERP is the digital nerve center—tracking sales, inventory, production, and finances. Integrating the two brings enormous benefits to your supply chain:

• Total Supply Chain Visibility:
• Integrated ERP and 3PL give you a real-time, end-to-end view of your supply chain. Track inventory from production (WIP), through multiple 3PL warehouses, to the final customer—all from a single system.
• Double-Checked Inventory Accuracy:
• Live data flows between your ERP and 3PL via EDI or API, so you can always double-check what’s in stock, what’s committed to orders, and what’s on the way—reducing costly errors and overselling.
• Multi-Warehouse and Multi-3PL Support:
• Modern apparel brands often use several 3PLs (sometimes in different countries). Integrated ERP lets you see and allocate stock across all locations, and automate the best shipping decisions for each order.
• Faster, Error-Free Fulfillment:
• Orders from Shopify, wholesale, and marketplaces flow straight from ERP to the 3PL—no manual entry, fewer mistakes, and quicker delivery.
• Real-Time Ship Confirmations:
• The instant a 3PL ships an order, the ERP updates—keeping sales teams and customers in the loop, and allowing you to trigger invoices or tracking notifications.
• Returns & Reverse Logistics:
• Returned goods are received at the 3PL, with status and restock details pushed back to the ERP for fast refunds and updated inventory.
• Advanced Allocation & Hold Management:
• Allocate inventory to priority orders, customers, or sales channels—even before it arrives at the 3PL. Put orders on hold for credit or compliance checks, all managed in your ERP.
• WIP (Work-in-Process) and Production Tracking:
• See what’s in production, what’s inbound to the 3PL, and what’s available to sell—so you’re never caught off guard by supply chain gaps.
• Automated Compliance & EDI:
• Automate EDI transactions (940, 945, 943, 944, 846, 856, 997, etc.) to keep up with retailer mandates and streamline ASN, inventory, and shipping notifications.

Why Do You Still Need an ERP When Using a 3PL?

Even the best fashion 3PL or apparel 3PL can’t replace your ERP. Here’s why:

• Checks and Balances:
• Your ERP is the “source of truth,” providing a double check on 3PL-reported inventory and fulfillment—reducing errors and discrepancies.
• Centralized Control:
• Manage all channels, warehouses, and 3PLs in one platform—no data silos, no missed sales opportunities.
• Powerful Data for Planning:
• Get accurate sell-through, returns, production, and cost-of-goods data for smarter purchasing and production decisions.
• Easy Expansion:
• As you grow, connect new 3PLs or open new warehouses without disrupting your workflow.
• Automated Workflows:
• Use the ERP to automate shipments, purchase orders, inventory transfers, holds, and returns based on your unique business logic.

AIMS360: Fashion 3PL & ERP Integration—Included Free

AIMS360 is designed specifically for fashion, apparel, and clothing brands. It offers out-of-the-box integration with leading 3PLs, supporting the full spectrum of EDI transactions and advanced supply chain features:

• Connect all sales channels: Orders from e-commerce, wholesale, and marketplaces flow directly to your 3PLs.
• Automate every major 3PL workflow: EDI 940, 943, 945, 944, 846, 856, 997, and more.
• Get true multi-warehouse, multi-3PL visibility: Know exactly where every unit is—internally, in production, or at any 3PL location.
• Fashion-specific capabilities: Support for garment-on-hanger (GOH), SKU-level sortation, allocation, and special handling.
• Returns & compliance made easy: Keep up with strict retailer and logistics requirements.
• Production & WIP tracking: Always see what’s being made, what’s inbound, and what’s available.
• Included in every plan, free:
• AIMS360 ERP–3PL integration is included free with all subscription plans. No extra fees for integrating your warehouses or 3PLs. See AIMS360 pricing here.

Frequently Asked Questions (FAQ)

Q: What is a fashion 3PL and how is it different from a regular 3PL?

A: A fashion 3PL specializes in services for apparel, footwear, and accessories—such as garment-on-hanger, specialized sorting, ticketing, kitting, and retail compliance. Regular 3PLs may not offer these industry-specific features.

Q: What EDI transactions are most important for ERP and 3PL integration?

A: Key EDI transactions include 940 (Shipping Order), 945 (Shipping Confirmation), 943/944 (Warehouse Transfer), 846 (Inventory Update), 856 (Advance Ship Notice), and 997 (Acknowledgment).

Q: Why do I need an ERP if my 3PL already manages inventory?

A: The ERP is your “source of truth” and central control system. It lets you double-check 3PL inventory, manage all sales channels, allocate stock, automate workflows, and ensure full supply chain visibility.

Q: Can AIMS360 support multiple 3PLs and warehouses?

A: Yes! AIMS360 gives you a unified view and automated routing across any number of internal and 3PL warehouses.

Q: Is AIMS360’s 3PL integration included in the subscription?

A: Absolutely—AIMS360 includes 3PL/warehouse integration free with all plans, with no extra fees. View pricing here.

Q: Does AIMS360 support returns, WIP, and production tracking?

A: Yes. You can manage returns, see real-time production and work-in-process (WIP) status, and always know what’s inbound, available, or allocated.

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AIMS360 Fashion ERP & 3PL Integration Workflow

• Seamlessly integrate all order sales channels (e-commerce, wholesale, marketplaces) to automatically route and prioritize outbound shipments to your 3PL partner.
• Transmit shipping orders and inventory transfers to the 3PL warehouse using standard EDI documents (940 for outbound orders, 943 for inbound transfers).
• Receive real-time ship confirmations and inventory receipts directly in AIMS360 (945 for shipped orders, 944 for inbound receipts), ensuring accurate and up-to-date fulfillment status.
• Maintain complete inventory visibility through regular automated updates (846 Inventory Advice), so stock levels in AIMS360 always reflect what’s available at the 3PL.
• Automate Advance Ship Notices (ASN/856) and shipping notification workflows for downstream partners, retailers, and customers—minimizing errors and improving compliance.
• Enable robust returns management by processing returns and inventory adjustments between AIMS360 and the 3PL.
• Full transaction monitoring and compliance with EDI acknowledgments (997) and optional support for additional workflows, such as order changes (EDI 860), purchase orders (850), and return authorizations (180), depending on your 3PL’s capabilities.

Apparel ERP and 3PL Integration can be via API or EDI Transactions:

• 940 – Warehouse Shipping Order (ERP → 3PL)
• 945 – Warehouse Shipping Advice (3PL → ERP)
• 943 – Warehouse Stock Transfer Shipment Advice (ERP → 3PL)
• 944 – Warehouse Stock Transfer Receipt Advice (3PL → ERP)
• 846 – Inventory Inquiry/Advice (3PL → ERP)
• 856 – Advance Ship Notice (ASN) (3PL → ERP, or ERP → Customer)
• 997 – Functional Acknowledgment (Both ways)
• (Optional: 850, 860, 180, and 824 as needed for custom scenarios)

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Conclusion:

In a world where supply chain speed, accuracy, and agility are make-or-break, integrating your ERP with a modern fashion 3PL, apparel 3PL, or clothing 3PL is no longer optional—it’s the industry standard. AIMS360 makes this integration seamless, giving you the tools to grow faster, serve customers better, and take full control of your inventory and supply chain.