Department store chain cuts stock, boost sales
Australian department store retailer Myer is transforming its entire merchandise planning operation.
Seeking to deliver more compelling products to its customers, Myer is leveraging several cloud-based Oracle Retail solutions across its 61-store footprint. By transforming its end-to-end merchandise systems, inventory processes, and planning capabilities, the retailer has been able to reduce stock and markdowns while improving sales and margin.
In addition, Myer is better able to deliver the right inventory to satisfy the local demands of customers at specific stores. The retailer applies advanced merchandise planning capabilities to its entire assortment, including cosmetics, clothing, footwear, toys, and homewares.
The project was a business-led initiative supported by IT, and included the implementation of Oracle Retail merchandise financial planning and retail size profile optimization. Oracle Partner Network member Tata Consulting Services (TCS) supported the project.
Phase one of the implementations delivered immediate results with a stock reduction in time for holiday planning. In phase two, a cross-functional solution development team adopted an agile implementation methodology. The team worked in three-week sprints to deliver regular solution functionality for seasonal strategies, item planning, clustering, option planning, and assortment planning from Oracle Retail planning and optimization.
“I am optimistic about the ability of our Oracle merchandise planning tools to improve the efficiency of our buying teams and to deliver a more profitable, more localized product range for our customers,” said Allan Winstanley, chief merchandise officer, Myer.
“The project was delivered across various teams, including merchandise, IT and Tata Consulting Services (TCS), where we transitioned from waterfall to an agile project delivery approach, which ensured the success of the project,” said Troy Smith, CIO, Myer.