TJX · News · 20260918N

Supply Chain Optimization

TJX COMPANIES INC /DE/ · 2026-09-18 · Importance 23 · Surprise 24

TJX uses a warehouse-based “hold and flow” distribution model to manage inventory flexibility at its off-price retail stores. The company can hold merchandise in warehouses and dispatch it based on real-time sales data, weather patterns, and demand signals. CEO Ernie Herrman said the model is intended to help TJX respond to unpredictable events such as El Niño and differs from traditional flow-through distribution, in which goods move rapidly from distribution centers to stores.

Key facts

• TJX Companies' "hold and flow" strategy allows the company to store goods in warehouses and dispatch them to stores based on real-time data, weather patterns, and demand. source
• TJX Companies' warehouse distribution model, also known as the "hold and flow" model, provides flexibility to manage inventory in response to unpredictable events like El Niño, CEO Ernie Herrman stated. source