achieving operational excellence in omnichannel retail

© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .

Achieving Operational Excellence in

Omnichannel Retail

Maarten Tromp, CPIM, RI Director of Product Management, Openbravo


Today’s Presenters

Vanessa Hodgkinson

Openbravo (Host)

Maarten Tromp

Director of Product Management at Openbravo


Today’s presentation will be available for download at: www.openbravo.com/retailers/resources/webinars

For additional resources on our retail solutions, please visit: www.openbravo.com/retailers/resources/

Have a question? Click on the Question tab. Q&A will be at the end of today’s presentation.

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What is Operational Excellence?

"Each and every employee can see the flow of value to

the customer, and fix that flow before it breaks down."SM

Advantages of Using Retail Management Software to

Execute Operational Excellence in Omnichannel Retail:

• Provide an end-to-end shopping experience for customers across all channels

• Manage and optimize dynamic, multidirectional workflows

and fulfillment capabilities

• Deliver on brand promises, on time and cost-effectively


Index3

Supply Chain Suite Overview

Service Excellence

Advanced F’casting & Warehousing

Operational Excellence



Service Excellence

Product Excellence

Index3 Competitive Differentiation paradigm

Excel in One, and Meet Minimum Expectations in the others


Index3 Operational Excellence Framework

Drive-, Enable- and Deliver- strategies, Embedded in Change Management


Index3 Drive / Sales Perspective: Omnichannel

Compelling Inventory & SupplyChain Management capabilities

Will help to optimize business


Index3 Enable / Finance Perspective: Working Capital

• Working Capital

= Current Assets - Current Liabilities

= (Inventory + Receivables) – Payables

• Working Capital Ratio

= Current Assets / Current Liabilities

• Working Capital Cycle

= Time to convert Assets into Cash

= Cash Conversion Cycle

= Days Working Capital


Index3


Service Excellence




Index3 Operations Perspective: Supply Chain Overview

Operational Excellence optimizes Working Capital and Unlocks Omni-Channel

Advanced Warehouse Operations

Inventory Status

Alternative UoM

Referenced Inventory

Push and Pull models

Forecasting & Planning Advanced Warehousing Order Fullfillment Forecasting & Planning Advanced Warehousing Distribution


Index3 Operations Perspective: Continuous Improvement



Inventory Status

Alternative UoM




If successful, implement

on a wider scale. If not, begin the cycle again.

Identify an opportunity

and plan for change.

Implement the

change on a small scale.

Fine tune to maximize effect with minimum effort.

Use data / BI to analyze the Change.

Determine whether it made a difference.


Index3 Operations Perspective: Continuous Improvement



Inventory Status

Alternative UoM





Index3 Operations Perspective: Supply Chain Overview



Inventory Status

Alternative UoM


Forecasting & Planning Advanced Warehousing Order Fullfillment


Forecasting & Planning Advanced Warehousing Distribution


Index3


Service Excellence




Index3 Inventory Problems?



Inventory

near

Expiry Date

Excess

Inventory

Stock-Outs


Index3

• Adaptive Forecast algorithms

• Intelligent Inventory Planning

• Dynamic Sourcing & Replenishment


Operational Excellence: Forecasting & Planning


Index3

• Central determination of Distribution

• Level-out over- and under-stock

• Fair-Share


Operational Excellence: Push- versus Pull-model


Index3 Warehouse Challenges?

Inefficient

or Idle Staff

Inaccurate

Records Space

Problems Learning

Curve

Messy

Warehouse




Index3 Key Concepts Advanced Warehouse Operations

Intelligence for

Stock Optimization

• Adaptive Logic, • Algorithms for Lots, Expiry, Qty, … • Inspection and X-Docking, • Self-Replenishing, • Self-Organizing,

• Self-Auditing.

Intelligence for

Space Optimization • Chaotic/Dynamic bins, • Bin Capacity, • Storage Bin Groups & Lists, • Popularity Codes,

• Put-Away Algorithms “Merge”, • Pick Algorithms “By Qty Avail”.

Intelligence for

Staff Optimization • Concise Task instructions, • Optimized User interface, • Offline capabilities, • Dynamic Priorities,

• Travel Sequence, • Operator Load Balancing.

Operational Excellence drives Working Capital Optimization and unlocks OmniChannel



Index3

RECEIVING

SHIPPING

INSPECTION / RMA / RTS … SCRAP / REWORK / …

PACKING PRODUCTION

STORAGE

Weight Isolate

Climate Value

PUT-AWAY

PICK PICK

REJECT

PACK

PHYSICAL

INVENTORY

RECEIPTS

ISSUES

APPROVE

RECEIPTS

REJECT X

-DO

CK

ING

Openbravo Value Proposition:

From the potential complexity of a Retail DC…

ISSU

ES


Index3

Presented in Sequence of

Task Priority

Presented in Sequence of

Travel

Sequence

…to the Simple, Intuitive and Offline-Resistant UI

Real-time Inventory information and

updates. Full traceability


Index3 Concise & Effective Mobile Front-end

Common hardware,

Offline resistant,

Web-browser based,

Responsive Design.


Deviation to Quality Inspection,

Deviation to Cross-Docking,

Batched Wave-picking,

Self-Organizing warehouse,

Self-Auditing warehouse,

Self-Replenishing warehouse,

Operator Load Balancing.

Goods Receipts, Blind Receipts,

Put-Away & Move,

Picking, Packing, Issuing/Shipping,

Physical Inventory Counts & Recounts,

“OTF” partial Cycle Counts,

“OTF” Inventory Status Change,

Box / Unbox,

Assign / Unassign.

Index3 Mobile Inventory Procedures

Basic

Procedures

Advanced

Procedures


Index3


Service Excellence




Index3 Service Excellence: Advanced Store Operations

• Omni Channel scenarios like

Buy on-line, pickup in-store,

Buy in-store, home delivery.

• Self Check-out.

• Warranty & Claim visibility

• Loyalty System integrations

• Sales of services like

Transport,

Assembly,

Insurance,

…

• Un-interrupted business and

‘Black Friday insurance’

with Store-Server concept

• Off-line resistant Front-End

• RFID / 2D / 1D scanning

• Loss Prevention

Unintentional

Intentional

• After sales and Repair

management

• Mobile POS

• Assisted sales

• Up-selling / Cross-selling

• Intuitive Front-End

Customer facing Business facing Staff facing


Thank you

Web: www.openbravo.com/retailers/contact

Email: [email protected]

Spain Office: +34 932 725 947

India Office: +91 33 4004 7358

Mexico Office: +52 559171 1841

Thank you very

much for your

attention