Automation of Sales Replenishment Report Saved 2540 Hours with 99% Data Accuracy
After being in business for more than 10 decades and perfecting the supply chain process, the CEO realized there still was a big gap in replenishing inventory at their retail stores. Stock replenishment at store level was getting delayed and was heavily impacting other related costs like inventory carrying cost, distribution cost, and manufacturing cost.
They wanted to reduce the replenishment delay in order to bring down the inventory, distribution, and manufacturing costs to the company.
It's a Fortune 500 Company and is one of the world’s largest greeting card company. Based in the United States of America, the company sells paper greeting cards, electronic greeting cards, party products, and electronic expressive content.
Have more than 100 retail stores and partners across the country.
A team comprising Data Scientists, Data Engineers and supply chain business process experts was formed to do a complete study of the company’s replenishment processes and systems. The study revealed that replenishment report generation was not completely automated. Time taken to generate the report was very high and data inaccuracies were common. The following were possible reasons for the delay.
- Manual intervention
- Extra processing time
- System latency issues
A hypothesis testing was done using Mood's Median Test to identify the vital activities. The team then undertook a deeper analysis to get to the causative factors and developed a resolution plan based on the insights. The following were the key changes done in the Business Intelligence
- The complete process of Data Extraction, Data Cleansing, and Data Manipulation was fine-tuned.
- Automated key reports leading to a lesser need for manual interventions.This, in turn, generated more accurate results.
- The introduction of level loading at different levels in the Business Intelligence server to resolve problems of the extra running time.
After the implementation of the Data warehousing & Reports Automation strategy, the replenishment reports are generated automatically on-time and the company is able to replenish all its stores and partner stores across the country on time. Following are the biggest impacts:
- Revision in final deadline time of replenishment reports saved 42 hours weekly and 2540 hours annually.
- Lead time reduced by 90.4 days annually keeping all other factors.
- Turn Around time % of POSR report has improved from 96.6% to >98.9%.
- Accuracy improved from 98.6 % to >99%
Hours saved annually
Days of reduced Lead Time