A Discount Retail Leader operating over 1,400 brick-and-mortar storefronts across the US
Our Client had experienced stead decline in a highly competitive industry over the last 5 years even though it had posted record numbers the year prior. Although they had an expansive store network, they were struggling to allocate labor hours properly for inventory stocking, replenishment, and recovery activities. With no defined and documented standards in place, labor was allocated in lump sum amounts based on store size.
Our team was engaged with 10 stores over the course of a 12-week pilot study, interviewing staff and performing time and motion studies to establish a baseline for performance. Having collected 10,000+ data points, a labor model was built to more accurately predict required labor hours. We also optimized processes by:
These solutions were validated and subsequently rolled out network-wide to more than 70 high-volume stores, realizing pilot efficiencies at scale.
As result of this pilot initiative, our client realized immediate financial benefits and efficiency improvements:
Additionally, the client maintained a better in-stock position and reduced “stock-outs” through improvements to stockroom organization and layout.