Retail - Integrated Enterprise Resource Planning (ERP)

As retailers, you face a number of ongoing trends and challenges that shape your operations and need to be managed. Hitachi Solutions understands these trends and challenges and can confidently improve or eliminate them through Integrated Retail Enterprise Resource Planning (ERP). Hitachi Solutions implements Integrated Retail ERP systems with capabilities that result in streamlined business processes, significant financial savings as well as positioning retailers to achieve key strategic objectives. As one of the largest ERP consulting practices in Canada, Hitachi Solutions has the experience and knowledge to empower retailers with seamless and differentiating solutions for multichannel management, store operations, merchandising, financials, and more.

Industry Challenges

If you can identify with the common industry challenges below, then an Integrated Retail ERP solution might be right for you.

Merchandising — Disjointed with planning and merchandising processes unable to react effectively to dynamic consumer buying patterns and ensure the right mix of products are available when necessary.

  • Difficult to get products to the shopper in time to generate new sales in this highly competitive environment
  • Need to plan at store level to accurately match shopper demand and shopping habits
  • Increase sales and margins to drive profitability
  • Lack of visibility of shopper demand
  • Forecasting based primarily on historical data
  • Lack of understanding of what drives shoppers
  • Not anticipating trends, follower rather than a leader

Marketing — Difficulty bringing relevant and timely promotions to customers to increase sales in a highly competitive marketplace.

  • Finding if promotions increase sales at the cost of eroding margins
  • Difficult to create targeted campaigns that the shopper will find useful and appropriate
  • Ensuring promotion pricing is correct for the target shoppers
  • Difficult to understand future shopper demand
  • Discovering and entrenching the brand image of the company
  • Ensuring consistent and timely in-store execution with inventory to support the promotionDifficult to plan repeated affinity for products and services that up-sell over a period of time

Supply Chain — Struggles to gain visibility across complex supply chains and balance inventory to match customer demand.

  • Excess inventory ties up capital, must be sold at reduced price and margin
  • Must be able to quickly respond to local demand
  • Stock outs lose sales opportunities and drives shoppers away
  • Complex vendor network
  • High inventory and storage costs
  • International sourcing considerations and trade regulations
  • Must manage and coordinate a large number of local, regional and international warehouses and Distribution Centers across a complex global supply chain
  • Need to make decisions based on current and accurate information driven by "one version of the truth"
  • Cross-channel fulfillment drives pick and ship of singles as well as pallets and cases

Store and Channel Operations — Cannot deliver innovative, high-quality service at low cost across an omni-channel environment.

  • Long queues at checkouts and customer service points
  • Discrepancy of price at point of sale and shelf label
  • Long cash management processes
  • Employee staffing level does not match shopper demand, complex legal regulations for local working practices
  • No insight into future deliveries and availability
  • Need to personalize the experience based on customer behavior, touch-points and search paths
  • Increase traffic to the web site and increase conversion rates
  • Increase cross sell and up sell opportunities
  • Build and execute web sites to manage shopping carts, wish lists and orders

IT - visibility constraints across disparate key business functions in retail (planning, merchandising, buying, distribution and sales).

Solution Benefits

Below are the possible results of an Integrated Retail ERP solution implementation.

Merchandising — Seamlessly deliver new and relevant assortments from real time customer insight.

  • Increased speed of products to shopper
  • Audit of all plans and revisions
  • Reduced data errors with one set of master plans
  • One unified view of customer demand drives more accurate replenishment
  • Ability to accurately predict customer needs and take advantage of new market opportunities.
  • Fine tune assortments and pricing to local needs to increase sales
  • Increase margin throughout lifecycle of products (introduction, promotion and clearance)
  • Improve customer service with fewer stock outs to drive increased sales

Marketing — Increase loyalty and margins with real time experiences across all customer touch points.

  • Speed and agility by effectively executing all promotional activities across channels and geographies
  • Increase sales and margins by optimizing price levels
  • Track the actual profitability of promotional activity with full cost and profit recording
  • Deliver a better shopping experience and increase customer loyalty
  • Customer focused marketing events
  • Define the most effective general promotions
  • Ability to up-sell based upon customer insight
  • Increase loyalty with service offerings that deliver longer term value

Supply Chain — Optimize inventory levels with real time visibility, integrated planning and execution.

  • Increased service level, decreased stock-outs
  • Reduce inventory level, increase turns
  • Increased margin by allocating based on store/channel demand
  • Reduce lost sales and increase shopper loyalty by sourcing from the most reliable vendors
  • Integrated, accurate, purchase order processing that consistently meets delivery promise
  • Automatic compliance with customs tariffs and regulations
  • Minimize supply chain costs
  • Improve in-stock position
  • Operations aligned with strategy
  • End-to-end process transparency and visibility
  • Improved employee flexibility, reduced labor costs
  • Increased utilization of resources

Store and Channel Operations — Increase margins and customer satisfaction with efficient service matching needs.

  • Increase sales and service levels by matching staff coverage to customer need
  • Informed management that can make sound business decisions
  • Confident and informed employees who are able to offer customers a personal and targeted shopping experience
  • Compliance to working regulations
  • Increase customer satisfaction by improving service
  • Integrated customer related sales, service and marketing processes to assist with customer advice and problem solving
  • Optimize processes through fast and flexible request handling, high system availability and elasticity, and optimal use of user-interface performance and ergonomics

IT — Standardize data with unified and simplified processes to transform the retail enterprise.

  • Adapt quickly to changing business requirements
  • Scale your solution as business grows
  • Easily operate across geographies and locations with flexible deployment options
  • Support retail industry standards, including Object Linking and Embedding for Point of Sale (OPOS), to maximize point of sale (POS) hardware and peripheral choice.
  • Manage PCI data security standards compliance and ongoing support.

Retail Clients


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