Traditional multi-tier distribution models face growing constraints in e-commerce environments characterized by volatile demand, compressed delivery timelines and sustained cost pressure. To address these challenges, Unilever Hefei FTC distribution centre transitioned to a factory-to-consumer model, supported by 31 digitally enabled use cases, 65% of which are driven by AI and generative AI. The approach enabled capabilities such as daily demand forecasting, inventory decision-making, intelligent picking and AI-supported warehouse management. This transformation improved forecasting accuracy by 39%, reduced lead times by 75% and lowered operating costs by 24%.