Our client is one of the largest retail suppliers who is tracking millions of records across multiple retail stores in different cities and would like to know how to walk the fine line between over- and understocking. Custom inventory intelligence is the solution.
Having the right product at the right store at the right time is critical. Late or inaccurate inventory information led to higher carrying costs, write-offs, and missed sales opportunities.
In some retail stores, there is a demand for certain goods while they are not available to purchase because of out of stock - managers ordered too few of them. The first goal is to quickly and easily see which goods are out of stock and act fast so they don’t lose any sales.
Other retail stores carry too much inventory for different reasons. The second goal is to proactively identify overstocks ahead of time and reduce them using recommendations on inventory store-to-store transfers to meet demand in other locations.
As a rule, retail outlets are managed by independent (stand-alone) inventory management tools and connected to local retail store databases.
It's next to impossible for inventory managers of the head office to consolidate, aggregate, calculate and visualize the data from these databases in real-time.
Inventory managers need analytics software to help them answer the following questions:
- What are our customers buying weekly and monthly throughout our retail network?
- Will we have enough stock? Which warehouses hold what quantities of inventory? Which products are likely to need re-stocking or a transfer.
- See details for the current stock on hold, and how old the inventory is (aging report) by product. Do we need to discount stock to get rid of inventory based on poor sales we are experiencing?
After gathering the technical and business requirements, we have created a specification describing the dimensions and metrics.
For example, we’ve selected a number of dimensions like “Organization” to mirror the structure of the company, “Product” to represent the product lines that the company sells, “Period and Business Calendar” and so on.
To implement the BI solutions we have deployed a Microsoft SQL Server. Using Microsoft SQL Server Management Studio we’ve created a central Data Warehouse (DWH) on this server.
- We have developed custom connectors that automatically import data from the local retail store databases (OLTP databases) to the staging database of DWH.
- We have tuned the transformation procedures for the raw data to adapt it to the DWH requirements.
- We have tuned the procedures of data transfer from the staging database of the DWH to a multi-dimensional Production database (OLAP cube).
Based on the data from OLAP cube in POWER BI we have visualized data as dashboards that help the inventory managers answer the above mentioned questions.
We have also set up different access rights for different user categories (each has access to their job-specific metrics).
We have prepared standardized dashboards.
An inventory manager just has to press the “refresh” button for the necessary report and gets the whole picture.
In the morning, an analyst can see that in a certain shop there is a low inventory turnover or not enough stock for a certain SKU. Based on this data the Inventory manager can quickly make suggestions for moving the surplus goods to the shop that needs them.
In addition, we have implemented an automatic system to order and redistribute the remaining goods. Thanks to the BI, making a specification document for customization of the company’s accounting software became possible. The data is taken from the DWH: if in one of the retail shops the remainder of a certain SKU is above the optimum inventory level and in another retail shop, it is below this level, a request for transfer of these goods will be formed.
Three months after the implementation of this BI solution the company has seen the following improvements:
- The average monthly active inventory improved by 7,5%, which increased company revenue.
- The inventory turnover improved by 2,5%, which allowed to improve the gross margin return on investment (GMROI).
Our Clients' Feedback
They use their knowledge and skills to program the product, and then completed a series of quality assurance tests. We were working in an agile way with them. Belitsoft performed very well throughout our project. We are definitely looking at Belitsoft as a long-term partner.
Service Delivery Director at Crimson (United Kingdom)
I highly recommend Belitsoft for website design and development. We were up against a tight deadline to launch the project. The work was delivered on time and within budget! I will continue working with Belitsoft as a valued partner for our web development!
Program Administrator at UC Berkeley (United States)
We have worked with Belitsoft team over the past few years on projects involving much customized programming work. They are knowledgeable and are able to complete tasks on schedule, meeting our technical requirements. We would recommend them to anyone who is in need of custom programming work.
Main Partner at Hathway Tech (United States)
Belitsoft company is able to make changes instantly. One of our internal engineers has commented about how clean their code is. Belitsoft seems to know what they're doing, which I appreciate.
Co-Founder at HOWCAST MEDIA (United States)
It was a great pleasure working with Belitsoft software development company. New requirements and adjustments were implemented fast and precisely. We can recommend Belitsoft and are looking forward to start a follow-up project.
Deputy Head of Division at Fraunhofer FIT (Germany)
Belitsoft company has been able to provide senior developers with the skills to support back end, native mobile and web applications. We continue today to augment our existing staff with great developers from Belitsoft.
CEO at Apollo Matrix (United States)
Belitsoft company delivered dedicated development team for our products, and technical specialists for our clients' custom development needs. We highly recommend to use this company if you want the same benefits.
Managing Director at Key2Know A/S in 2012 (Denmark)
We approached BelITsoft with a concept, and they were able to convert it into a multi-platform software solution. Their team members are skilled, agile and attached to their work, all of which paid dividends as our software grew in complexity.
COO at Regenerative Medicine LLC (United States)
Having worked with Belitsoft as a service provider, I must say that I'm very pleased with the company's policy. Belitsoft guarantees first-class service through efficient management, great expertise, and a systematic approach to business. I would strongly recommend Belitsoft's services to anyone wanting to get the right IT products in the right place at the right time.
CEO at Moblers (Israel)
If you are looking for a true partnership Belitsoft company might be the best choice for you. They have proven to be most reliable, polite and professional. The team managed to adapt to changing requirements and to provide me with best solutions. I strongly recommend Belisoft.
Director at ShowCast Limited (Germany)
I expected and demanded a lot of you at Belitsoft company, but you exceeded my expectations. You acted pro-actively, challenged me at the right moments. Thanks!"
CEO at Ticken B.V. (Netherlands)
We have been working for over 10 years and they have become our long-term technology partner. Any software development, programming, or design needs we have had, Belitsoft company has always been able to handle this for us.
СEO at ElearningForce International (United States/Denmark)
Belitsoft has been the driving force behind several of our software development projects within the last few years. This company demonstrates high professionalism in their work approach. They have continuously proved to be ready to go the extra mile. We are very happy with Belitsoft, and in a position to strongly recommend them for software development and support as a most reliable and fully transparent partner focused on long term business relationships.
Global Head of Commercial Development L&D at Technicolor