Inventory management in an uncertain world - what to do next
Priority #2 - Reforecast
Priority #2 - Reforecast
Priority #2 - Reforecast
Be realistic, use the facts – what are the numbers telling you?
Priority #3 - Rebuild
Priority #2 - Reforecast
Priority #3 - Rebuild
What have you learned? What can you keep? Think differently.
Priority #1 - React
In the moment its hard to see beyond the here and now, but your team needs you. Be calm, be decisive
1. Are your team safe & well? – RE-ASSURE THEM!
i. Phone them.
ii. Whats App them.
iii. Set up Google Hangouts or Microsoft Teams.
iv. LISTEN & re-iterate any instructions for their well being.
2. Are your team set up to work remotely?
3. What are the numbers telling you?
i. What’s your sales trend?
ii. What’s your traffic trend by store?
iii. What’s your conversion trend?
iv. Units per transaction?
v. Average selling price?
4. What trade activities/promotions are running and in the pipeline?
5. What’s your stock position?
6. Speak to cross functional partners/leadership team
i. Re-assure each other
ii. Agree a plan
iii. Keep talking and amend action as required
7. Speak to the DC leadership. What’s their plan?
i. What new intake is due?
ii. What pick waves are the DC running?
iii. Are online pick and pack operations running to plan?
iv. Are they re-prioritising shifts? Re-prioritising channels?
8. Prioritise Ecommerce Channels – make it friction-less.
i. Free deliveries & returns?
ii. Reduce the minimum spend thresholds to free deliveries?
iii. Pick, pack, & return operations ready to scale up?
9. What are your online out of stocks by SKU?
i. Do I own the stock in the DC? in stores? – move it!
10. Double check all online style content and pricing.
i. Are all links valid and optimised?
ii. Are your new listings still ok and optimised?
iii. Is the price right? How can you maximise margin?
iv. Do you really need promotional activity to drive conversion?
v. Minimise out of stocks – move stock from other channels.
vi. What styles have not been viewed? Why?
vii. Test and learn – what’s working?
viii. Act decisively, adjust as necessary.
11. What’s in the pipeline – supplier delays? Late deliveries? Cancellations?
i. Get clarity on how your stock position will move over time.
12. Check initial allocation & replen parameters.
i. Stop deliveries to closed stores
ii. Minimise initial allocation quantities.
iii. Minimise risk of stranding inventory.
iv. Tighten replen parameters.
13. What stores can you reasonably and safely keep open?
14. Align store stocks to traffic trend?
1. -50% traffic? that’s what stock you need.
15. Optimise your stock…
i. Move stock out of closed locations to DC if possible/feasible.
ii. Move most needed SKU’s to most needed locations & channels.
16. Check store delivery schedules. Stop/reduce/amend as necessary.
17. Don't strive for perfection, be decisive and adjust as you go.
18. RE-ASSURE YOUR TEAM!
19. RE-ASSURE YOUR TEAM!!
20. Seriously RE-ASSURE YOUR TEAM!!!