Monobrand retail chain «iStudio». iStudio boutique stores offer a wide selection of Mac, iPad and iPhone accessorizes: Amber, Lab.C, Marshall Headphones, Mophie, Moshi, Native Union, Nomad, Parrot, Plusus, Satechi, Skech, Sphero, SGP, Urbanears, White Diamonds, JBL, Beats accessorizes for Apple, Acoustic systems, headsets, gadgets, software, protective covers, bags etc.
SITUATION PRIOR TO PROJECT IMPLEMENTATION:
- Orders were created in semi-automatic mode within Excel and 1C accounting system.
- There was no assortment mix in the accounting system.
- Merchandise to be ordered was defined on case-by-case basis depending on remaining stock balance
- Such approach to order management required a significant investment of time and led to inevitable mistakes linked to human factor.
- Optimization of product assortment, decrease of excess inventories.
- Improvement of turnover indicators
- Order management automation
- Assortment management automation
S YS T E M C A PA B I L I T I ES: ABM Inventory – is an Inventory Management System with powerful BI Analytics module for analysis and control of key indicators of Stock management in a context of various parameters.
1. ABM Inventory started managing inventories of major product categories. Circa 9000 SKUs are being processed by the system.
2. Initial buffers (target levels of inventory) in each storage location for all the SKUs were calculated
3. The system creates and sends out orders daily to a Distribution Centre, then, cross docking orders are being created based on agreed schedule with the suppliers.
4. Apart from creating orders, the System revises buffer sizes for all of the SKUs managed by the System, and recommends making changes accordingly.
5. Moreover, the system monitors delayed orders, since such orders influence directly consequent orders.
6. Module of flexible BI analytics of key indicators in real time was enabled.
SYSTEM HOME SCREEN WITH KEY BUSINESS PERFORMANCE INDICATORS
A dashboard layout is set for system's home screen, where daily tasks of a manager, key indicators for monitoring stocks and
taking managerial decisions are being displayed. Data are being updated in a real-time mode.
WEEKLY STOCK DYNAMICS
A diagram displays information on stock dynamics for 52 weeks (average stock levels, overstocks, sales, turnover). We can
select specific period for further analysis of these major indicators across specific group of products, storage locations,
WEEKLY PRODUCT TURNOVER
The report provides information on stocks to sales ratio, highlights SKUs with best turnover indicators and products to be potentially removed.
AVERAGE OVERSTOCKS OF LAST AND 4 PRECEEDING WEEKS
The treemap chart displays information about overstock dynamics in descending order based on monetary value to emphasize problem areas.
- With average sales increase of 57%, average stocks increased by 27%. New store was opened during the course of project implementation;
- Turnover improved by 36%;
- In-store stock levels became more coherent with dynamics of sales;
- Orders were automated, order handling as well as inventory management processes became transparent;
- Using analytic tools, excess inventories are being redistributed amongst the stores without order placement to suppliers.