Allocation & Fashion Replenishment
Manage Multichannel Inventory with MID Retail Allocation & Fashion Replenishment
Carefully crafted merchandise plans can set you up for success. But when your idealized plans meet the real world, you need the tools to react, adapt, and take action based on actual customer demand and trends. MID Retail’s Allocation & Fashion Replenishment capabilities are fully integrated with your merchandise and store plans, and enable you to dynamically adjust to actual sales performance and manage your entire supply chain accordingly.
Allocation Tailored for Your Differentiated Business Model
Whether it is a specific style/color/size in a store for next Friday, controlling the amount of back-stock in a DC, or reserving units for a catalog based on the drop date and the item page unit projection – MID integrates all these supply chain management capabilities in one allocation solution, augmented by automated processes that react to in-season actual sales.
Ship to Store Needs
As your selling season progresses, each location, as well as your direct-to-consumer channels, will demonstrate varying item sales performance. MID Retail enables you to enact “pull-based” store shipments based on re-forecasted projections, while keeping each stores contribution to plan coverage in balance and factoring in individual location minimum and maximum constraints.
Allocate to Store-Specific Trended Projections
MID Retail Allocation & Fashion Replenishment keeps you in tune with local customer demand, by enabling you to enact allocations that are completely responsive to short-term trends at a micro-level. You can also manage stores at the group level using unlimited attributes and group definitions.
Allocate Against Assortment Plan
MID Retail enables you to enact allocations based on your assortment plans — as created using the MID Retail Assortment Planning capability — ensuring an ideal shopping experience for your customers at each selling location.
MID Retail Virtual Warehousing is designed specifically for store locations with high volume and a small physical footprint. Virtual Warehousing allows retailers to designate virtual inventory that is dedicated to a particular store location. The inventory can physically be housed anywhere – including a traditional distribution center, a temporary facility, or the back room of an existing store location. MID Retail’s Allocation & Fashion Replenishment then uses automated allocation work flows to distribute stock from virtual inventory on an as-needed basis, making sure customers find the items they want in the most trafficked store locations.
“Work Up” Intelligent Multichannel Buys
With MID Retail, buys and purchase orders can be generated directly from bottom-up store and web plans. This capability results in more accurate buys resulting in fewer instances of out-of-stocks and markdowns. This method of generating purchase orders also enables economy of scale across all channels: plans can be pushed down and tailored for each individual channel and then rolled back up to create unified omnichannel purchase orders.
Automated Fashion Replenishment
Allocation of fashion items is typically a labor intensive process as fashion items are marked by rapidly up-trending and down-trending seasonal demand and subject to very localized demand variations. What’s more, specific items do not typically have a prior sales history upon which future performance can be modeled. But MID Retail is designed specifically for recognizing short-term trends, and for modeling fashion item performance against similar items and categories that do have historical data. Because of these capabilities, the MID Retail solution is uniquely enabled to automate the replenishment of fashion items — adding even greater efficiency to your allocation team’s performance.
Balance Supply Among Multiple Distribution Centers (DCs)
If your retail enterprise operates multiple distribution centers, it’s critical to ensure that each DC is stocked according to the merchandise profile of the stores and direct-to-consumer channels it serves. MID Retail enables you to allocate stock to distribution centers based on the bottom-up sales forecasts of the locations associated with that DC, enabling improved warehouse management, reducing the quantities of required safety stock, and helping to eliminate costly dc-to-dc and store-to-store transfers. The MID Retail solution also helps ensure inventory availability for direct-to-consumer channels, enabling high fulfillment rates and reducing back-orders and cancellations.
Interactive and Automated Allocations
You can boost the efficiency of your allocation teams by keeping them focused in areas where their expertise is most needed. MID Retail helps you achieve this by enabling allocations to be performed in a step-by-step interactive mode, or as scheduled and fully automated processes. This can be especially helpful when developing new strategies: allocators can work in interactive mode until an ideal strategy is defined, and then schedule and automate the process so it can be executed repeatably across the entire merchandising function.
The MID Retail system captures a range of constraints and business rules that define how your enterprise operates, enabling it to trigger exceptions when conflicts or conditions which need to be proactively managed. For instance, if an allocation is defined that exceeds store unit capacity, the end user can receive a notification so they can immediately correct the situation.