A leading retailer in the home improvement space was having issues delivering timely 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 performance across categories and regions, tracking trends and preparing clear, useful and timely reports were nearly impossible tasks.

Logility’s digital supply chain platform with analytics offered the solution. Timely visibility into retail sales provided suppliers the information they needed to make better decisions on inventory, manufacturing operations, and Sales and Operations Planning (S&OP). By tying suppliers more closely 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 a greater ability to understand market needs and tailor promotions to drive demand.

Reports that used to take weeks to months can now be produced in minutes and instantly distributed to the appropriate supplier. Using Logility, suppliers can now drill down through the information supplied on the reports to get to the underlying data and 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 enhances supplier relationships and enables supplier comparison;
• Actionable reports for their suppliers to help them monitor and improve their performance scores; and
• Improved use of financial resources through reduced costs, elimination of labor-intensive manual reporting, and optimized inventory levels.
• Check out other Logility advanced analytics customer stories: Tri-Eagle Sales Uses Analytics to Improve Visibility into Its Growing Business