How does a busy business analyst deliver insightful performance reporting for a retailer with 80,000 SKUs sold across 150 stores 365 days a year?
One of our customers, a leading retailer in the home improvement space, was having issues delivering timely sell-in reports to its suppliers. They were not capable of providing sell-through reports and this negatively impacted inventory levels and supplier distribution channels. Maintaining their market advantage came at the cost of great complexity – with more than 80,000 individual items for sale at any one time across nearly 150 retail outlets, monitoring individual performances across categories and regions, tracking trends and preparing clear, useful and timely reports were nearly impossible tasks.
Providing timely visibility into retail sales provides suppliers with the information they need to make better decisions on inventory, manufacturing operations and sales planning forecasting (S&OP). By tying suppliers closer to the daily operations of their retail outlets, our customer was able to optimize inventory levels while minimizing stock outs. This provided them with better cash flow and fewer dollars tied up in inventory. It provided their suppliers with greater ability to understand market needs and tailor promotions to drive demand.
Key to all of this was the selection of Halo for its analytical and collaborative capabilities. Reports that used to take weeks to months can now be produced in minutes and instantly distributed to the appropriate supplier. Using Halo’s cloud capabilities the suppliers can now drill down through the information supplied on the reports to get to the underlying data to discover root causes for sales surges as well as languishing product. Our customer experienced a six-month ROI through this implementation. Once completed they were able to provide:
- Sell-through data collected at the source and delivered to suppliers in near real-time;
- A consistent set of KPIs that enhanced supplier relationships and enabled supplier comparison;
- Actionable reports top their suppliers that the suppliers can use to monitor and improve their scores; and
- Improved use of financial resources through reduced costs elimination of labor intensive manual reporting and optimized inventory levels.