Discount giant’s inventory replenishment efforts are ‘top shelf’

Walmart is ensuring all in-store merchandise is ready for shoppers when they want to make a purchase.



The discount giant manages “millions” of items — making for a complex process behind the scenes. It's a process that requires constant monitoring, "and can sometimes take associates away from the sales floor where they would otherwise be helping customers,” Cristy Brooks, senior director – innovations development, Walmart U.S., wrote in a blog post on the company's website.



As a result, Walmart is experimenting with new processes to streamline in-store replenishment. Its “Top Stock” system moves back-stock inventory to the top shelves on the sales floor.



“By keeping additional merchandise closer to where it’s sold, we can maintain fuller shelves while keeping a better in-the-moment read on inventory,” Cristy explained.



The extra space now available in the back room is being leveraged in different ways. For example, some stores are using the space to support the retailer’s growing pickup service of online grocery orders — a program that requires adequate space for fulfillment and order storage.



Top Stock also reduces Walmart’s rental of temporary inventory trailers. Now the chain uses “a small fraction of what it was just a few years ago,” Brooks wrote.



Top Stock also frees up space that can be used for Walmart’s career-building education program. For example, the chain's store in Morrisville, North Carolina, reduced inventory in its back room by 75% within two months of implementing the system. With the available space, it was able to open an Academy for associate training.



“When we commit to coming up with unexpected ways to do the small things better, we not only become smarter and more efficient, but create a big win for our customers at the same time,” Brooks added.