day in the life of a replenishment analyst

Replenishment:A Day in the LifeA Day in the Life

Mandy Hougland ● Replenishment Manager ● Dorel Industries ● 2008 Replenishment Conference ● Orlando, FL


Supply Chain Fundamentals

Collaboration, Forecasting, & Planning

Exception Management

InventoryPolicies

Forecasting EventPlanning

Performance MetricsLead times Constraints

We’re on a MissionWe’re on a Mission Understanding Your BusinessUnderstanding Your Business Serving Our CustomerServing Our Customer

The Balancing ActDrilling DownBest PracticesCollaboration

Tying it all TogetherTying it all TogetherMandy Hougland ● Replenishment Manager ● Dorel Industries ● 2008 Replenishment Conference ● Orlando, FL

“Nothing can add more power to your life than concentrating all your energies on a limited set of targets.”

-Nido Qubein

MissionMissionI contribute to both my company (Dorel) and the customer (Wal-Mart) by driving salesdriving sales through adequate in-stock levelsin-stock levels, accurate forecastingforecasting, solution of logistics issueslogistics issues and proactive event event planningplanning, while continually developingdeveloping my skills, utilizing exceptional communicationcommunication practices and employing corrections of errorcorrections of error to ensure continued improvementimprovement.


Understanding Your BusinessUnderstanding Your Business Requires collaboration with our internal sales

team, operations group, demand planners Requires time spent in the stores to grasp

how modulars can affect our in-stocks Requires studying sales reports, knowledge

of our products and fundamental understanding of cost structures

……..and a whole lot more


Serving Our CustomerServing Our Customer

The great balancing act:Higher In-stocks ~ Lower Inventory

Levels


Serving Our CustomerServing Our CustomerDrilling Down &

Managing Exceptions

In-stockIn-stock Seasonal ProfilesSeasonal Profiles Fill RateFill Rate MABD ComplianceMABD Compliance DDsDDs Modular LayoutModular Layout Carrier IssuesCarrier Issues Lead TimesLead Times


Troubleshooting Troubleshooting WorksheetWorksheet

WORKSHEET

Communicate anything that affects your replenishable items to both replenishment and merchandising – as well as within your own company.

22CONFIDENTIAL

SupplierProcess Time

Create DateOrder Date

DNSB(Ship Date)

DNSA(Cancel Date)

DCReceiving

MABD(Due Date)

Ship Interval(Pickup Window) Transit Time DC

Process Time

ReadyDate

Routing RequestDate

PickupDate

At least 2Business Days

Lead-time Components

The success of any item is dependent on many factors.

LOGISTICS – consistent lead times, filling orders completely and accurately, shipments arriving on time.

Fill rate: __________________ On-time %: __________________ Late PO’s: __________________ Cancellations? _____________

Short shipments? _____________ How much inventory is in the stores compared to the lead time it takes to get it there and how much it sells per week? ____________________________________________________________________ Short shipped or late Purchase Orders (POs) can have a direct effect on the sale of an item – a store cannot sell what it does not have. When the rate of sale drops because of lack of inventory, the new rate of sale is then used to create a new (lower) forecast.

On-Time/MABD % If collect, is routing being keyed 2 days before

DNSB date? ________

Is there a pattern with a certain DC or a

certain geographic location? ________

Are carriers missing appointments? ________

Is lead time correct? ________

Item Number: ______________________

Ven Stock: ______________________

Description: ______________________

Fineline: ______________________

Ven Seq: ______________________

In-stock %: ______________________

CPFR Policies Running: ____________

__________________________________

Special Notes:____________________________ ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Factors that Impact Fill Rate % Plant Closings? ________

Promotions? ________

New mods? ________

Incorrect Forecasting? ________

Chinese New Year? ________

Are there any issues with deductions that might be causing a poor fill rate (damages, shortages)? __________________________

PROFILE – a graphic representation of the weekly change in consumer demand for an item or group of items. Does POS follow the profile graph in CPFR?_______

Manually compare the item’s sales to the profile of its fineline by running a RL query in DSS (Seasonal Fineline Profiles) and laying the POS over that in a graph in EXCEL. Pattern peaks and valleys should match..

Is the profile dirty?________ Or is there a close match? ________ FINELINE – a group of like items with similar selling seasonality.

Is the item in the correct fineline? ________ Would it fit better in another fineline?

Replenishment Managers @ Wal-Mart own the profiles.

DD – DESEASONALIZED DEMAND - rate of sale, calculated for each item at each individual store in which that item is carried. Run a Detailed Replenishment Analysis Report. Goal is to find stores with DD issues. Bentonville Software Associates also has a DD Analyzer tool you can download. FORECAST – what is expected to sell in eaches for a 52 week period; initially comes from new item form/new item online entry. Per store/Per Wk: ________ On hand: ________ FCST accuracy %: ________ WOS at store: ________ On order: ________ Store cnt changes?_______ .

Summary of Analysis: __________________________________________________________________________________________________________________________________________________________________________________________ Corrective Action: __________________________________________________________________________________________________________________________________________________________________________________________ Result: __________________________________________________________________________________________________________________________________________________________________________________________

Are there things going on with competing items that might affect the sales and forecast on my item? Competitor promotions? __________________Competitor recalls?_______________________

Serving Our CustomerServing Our CustomerBest Practices

Item AuditsItem Audits Lead Time AuditsLead Time Audits Order Tracking Order Tracking PO Clean-UpPO Clean-Up


Path:Retail Link

Get Support & Training

Supplier Replenishment Information

Replenishment Collaboration Tools

Lead Time and Audit Spreadsheet & Instructions

Item Audits

Lead Time Audits

Path:Retail Link




Lead Time and Audit Spreadsheet &

Instructions

Serving Our CustomerServing Our CustomerCollaboration

Quarterly MeetingsQuarterly Meetings Communication via CPFRCommunication via CPFR Plan Actionable COEsPlan Actionable COEs


Quarterly Meetings

Path:Retail Link




30/60/90 Days Planning and Tracking & Measuring

CPFR

Path:Retail Link

From My Favorites in Your Dashboard

CPFR

Item Selection

Item #

Collaboration Screen – Message Center

COEsPath:Retail Link

From My Favorites in Your Dashboard

CPFR

Item Selection

Item #

Create an Event

Event Category ~ Monthly COE

Tying It All TogetherTying It All Together Define your missionDefine your mission Understand your businessUnderstand your business Serve the customerServe the customer CollaborateCollaborate Commit to continued developmentCommit to continued development


Questions for the panel?Questions for the panel?


day in the life of a replenishment analyst

Data & Analytics