© 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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Today’s Presenters
Vanessa Hodgkinson
Openbravo (Host)
Maarten Tromp
Director of Product Management at Openbravo
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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/
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© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
Supply Chain Suite Overview
Service Excellence
Advanced F’casting & Warehousing
Operational Excellence
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Operational Excellence
Service Excellence
Product Excellence
Index3 Competitive Differentiation paradigm
Excel in One, and Meet Minimum Expectations in the others
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Operational Excellence
Service Excellence
Product Excellence
Index3 Competitive Differentiation paradigm
Excel in One, and Meet Minimum Expectations in the others
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operational Excellence Framework
Drive-, Enable- and Deliver- strategies, Embedded in Change Management
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operational Excellence Framework
Drive-, Enable- and Deliver- strategies, Embedded in Change Management
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Drive / Sales Perspective: Omnichannel
Compelling Inventory & SupplyChain Management capabilities
Will help to optimize business
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
Supply Chain Suite Overview
Service Excellence
Advanced F’casting & Warehousing
Operational Excellence
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operations Perspective: Continuous Improvement
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
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.
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operations Perspective: Continuous Improvement
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operations Perspective: Supply Chain Overview
Operational Excellence optimizes Working Capital and Unlocks Omni-Channel
Advanced Warehouse Operations
Inventory Status
Alternative UoM
Referenced Inventory
Forecasting & Planning Advanced Warehousing Order Fullfillment
Push and Pull models
Forecasting & Planning Advanced Warehousing Distribution
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operations Perspective: Supply Chain Overview
Operational Excellence optimizes Working Capital and Unlocks Omni-Channel
Advanced Warehouse Operations
Inventory Status
Alternative UoM
Referenced Inventory
Forecasting & Planning Advanced Warehousing Order Fullfillment
Push and Pull models
Forecasting & Planning Advanced Warehousing Distribution
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Operations Perspective: Supply Chain Overview
Operational Excellence optimizes Working Capital and Unlocks Omni-Channel
Advanced Warehouse Operations
Inventory Status
Alternative UoM
Referenced Inventory
Forecasting & Planning Advanced Warehousing Order Fullfillment
Push and Pull models
Forecasting & Planning Advanced Warehousing Distribution
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
Supply Chain Suite Overview
Service Excellence
Advanced F’casting & Warehousing
Operational Excellence
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Inventory Problems?
Compelling Inventory & SupplyChain Management capabilities
Will help to optimize business
Inventory
near
Expiry Date
Excess
Inventory
Stock-Outs
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
• Adaptive Forecast algorithms
• Intelligent Inventory Planning
• Dynamic Sourcing & Replenishment
Forecasting & Planning Advanced Warehousing Distribution
Operational Excellence: Forecasting & Planning
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
• Central determination of Distribution
• Level-out over- and under-stock
• Fair-Share
Forecasting & Planning Advanced Warehousing Distribution
Operational Excellence: Push- versus Pull-model
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Warehouse Challenges?
Inefficient
or Idle Staff
Inaccurate
Records Space
Problems Learning
Curve
Messy
Warehouse
Compelling Inventory & SupplyChain Management capabilities
Will help to optimize business
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
Forecasting & Planning Advanced Warehousing Distribution
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3 Concise & Effective Mobile Front-end
Common hardware,
Offline resistant,
Web-browser based,
Responsive Design.
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Index3
Supply Chain Suite Overview
Service Excellence
Advanced F’casting & Warehousing
Operational Excellence
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
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
© 2017 Openbravo Inc. All Rights Reserved. Privileged and Confidential Information .
Thank you
Web: www.openbravo.com/retailers/contact
Email: [email protected]
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India Office: +91 33 4004 7358
Mexico Office: +52 559171 1841
Thank you very
much for your
attention