"When a retailer, like Pamida, lowers its inventory dollars, in essence, it's breeding capital to supply the better-selling products that consumers want and do buy." Stuart Dunkin, CEO Data Profits
Atlanta, GA (PRWEB) February 1, 2011
Today Data Profits (http://www.data-profits.com) announced that its patent-pending, business intelligence software, iKIS, enabled Pamida, a Midwest retailer, a net decrease in inventory while experiencing a positive sales trend. Data Profits' iKIS software made it possible for Pamida to lower its inventory investment dollars so that the 185-store retailer could reallocate a portion of the capital saved toward meeting customer demand. ROI was realized in the first 60 days.
Randy W. Buffon, Pamida’s Vice-President of Planning & Inventory Management indicated: "It was imperative that we have the right products on the right shelves to satisfy our customers. Data Profits' iKIS software proved to be a game-changing forecasting solution for Pamida during these tough economic times. This solution provided a low-cost vehicle for Pamida to accurately forecast demand for the distribution centers we utilize; this was a new concept for our users and the interface made it easy to jump on-board and use the system to its fullest capacity.”
"When a retailer, like Pamida, lowers its inventory dollars, in essence, it's breeding capital to supply the better-selling products that consumers want and do buy," said Stuart Dunkin, founder and CEO of Data Profits. "To make bottom-line impacting moves like that, retailers need to have business intelligence tools like iKIS, which can react immediately to dynamic market trends and connect supply chain partners with real-time data and real-time actions."
Results for Pamida were positive; highlights include:
- Reduction of available inventory
- Improved In-stock Service Level Attained
- Reduced Lost Sales COGS
- Increase in Forecast Accuracy
"iKIS did what it was designed to do," Dunkin explained. "It cut Pamida's inventory investment, cut the number of orders and increased forecast accuracy. When a retailer's inventory dollars collecting dust on the shelf are strategically reduced, better returns and GMROI soon result, providing additional profits for the retailer."
Inventory management has two sides, stock and customers. Simultaneously, it's imperative to keep customers happy while managing inventory levels, overstock reduction, and availability. Dunkin said: "At the end of the day, Pamida's inventory was working harder and better and satisfying customers by having the right stock on the shelves at the right stores."
After a successful pilot program during the busy 2009 Christmas holiday sales season, Pamida rolled out Data Profits' iKIS business intelligence software in February and March 2010. Results reported here are based on data collected between February and October 2010.
About Data Profits
Data Profits, Inc. provides business intelligence and supply chain collaboration software delivered as a web service to retailers, wholesalers, and their supply chain members and partners. Its flagship product, iKIS 5.2, delivers management dashboards that provide scorecards, user customized sales and inventory forecasting tools, planning, allocation, cross-dock, seasonal and market trend sales indexing, along with custom business rules with workflow actions, exception management and notification management. iKIS provides recommendations by analyzing and tracking sales, lost sales, in-stock service, inventory, day-of-week sales and promotion filtering and analysis. Data Profits delivers results to retail and wholesale operations via fast setup, low cost, and use of leading inventory management algorithms. Data Profits' vision is to enable customers to find profit in their data by tightening the unwieldy supply chain.
Pamida is a regional retailer focused on bringing value and convenience close to home in small communities. Headquartered in Omaha, Neb., the company operates more than 200 stores throughout 17 states, primarily in the Midwest. Pamida carries a wide variety of merchandise including apparel, home electronics, domestics, seasonal items, toys, housewares, and grocery offerings, and features top-quality name brands. For more information, please visit http://www.pamida.com.