Where is ALL of the Money? Best Practice for Making Better Purchasing Decisions
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1 Where is ALL of the Money? Best Practice for Making Better Purchasing Decisions Blaine Koch Sr. Sales Engineer 2016 Epicor Software Corporation
2 Blaine Koch Sr. Sales Engineer Nearly 30 years of experience in the Retail Agriculture industry Prior to Epicor, Blaine managed day to day operations as both the Controller and Information Systems Manager of a multistore Ag Supply company for over 18 years This business experience along with the 9 years of experience with the Eagle system gives Blaine the unique ability to think outside the box and solve customer issues with real world business experiences. Proven track record of using the Eagle system in managing a business and in turn uses that knowledge to show solutions that a Retailer will benefit from through effective use of the system Epicor Software Corporation Eagle Online Academy 2
3 Where is ALL of the Money? Best Practice for Making Better Purchasing Decisions Blaine Koch Sr. Sales Engineer 2016 Epicor Software Corporation
4 The contents of this document are for informational purposes only and are subject to change without notice. Epicor Software Corporation makes no guarantee, representations or warranties with regard to the enclosed information and specifically disclaims, to the full extent of the law, any applicable implied warranties, such as fitness for a particular purpose, merchantability, satisfactory quality or reasonable skill and care. This document and its contents, including the viewpoints, dates and functional content expressed herein are believed to be accurate as of its date of publication, April The usage of any Epicor products or services is subject to Epicor s standard terms and conditions then in effect. Usage of the solution(s) described in this document with other Epicor software or third party products may require the purchase of licenses for such other products. Epicor, the EPICOR logo, Eagle, Grow Business, Not Software, are trademarks or registered trademarks of Epicor Software Corporation in the United States, and in certain other countries and/or the EU. Copyright 2016 Epicor Software Corporation. All rights reserved Epicor Software Corporation Eagle Online Academy 4
5 Opportunities Where do you look to unlock the potential in your business? 2016 Epicor Software Corporation Eagle Online Academy 5
6 Sometimes it Just Jumps Out 2016 Epicor Software Corporation Eagle Online Academy 6
7 Objectives By the end of this session, you will be able to Understand how to find Opportunities in Inventory Leverage your new found knowledge Take action to improve your inventory performance 2016 Epicor Software Corporation Eagle Online Academy 7
8 Agenda 1. Where Should I Look? 2. Overstock, Understock 3. The Plan of Attack 4. Monitoring the Results 2016 Epicor Software Corporation Eagle Online Academy 8
9 Where Should I Look? 2016 Epicor Software Corporation Eagle Online Academy 9
10 Performance Manager Inventory If you can't measure it, you can't improve it. - Peter Drucker Inventory How is my money working? Are my A-Items in stock? 2016 Epicor Software Corporation Eagle Online Academy 10
11 Are you using Performance Manager? A. Yes, we use it all of the time. B. Yes, I glance at it every once in a while. C. We have it, but we don t use it. D. We don t have Performance Manager Epicor Software Corporation Eagle Online Academy 11
12 How Important are These Numbers? The system is telling you what needs to be brought in, so you don t miss sales! 2016 Epicor Software Corporation Eagle Online Academy 12
13 Why is it Low? Order Point calculation is not using enough weeks supply? Fixed Order Point? New item that is selling like Hot Cakes Vendor Lead time has been extended Supply Disruptions Others? 2016 Epicor Software Corporation Eagle Online Academy 13
14 How Important are These Numbers? Excess Inventory = Opportunities to turn into cash to pay for that Low Inventory 2016 Epicor Software Corporation Eagle Online Academy 14
15 Why is it Overstocked? Order Point calculation is using too many weeks? Fixed Order Point? Item overpriced/non-competitive Show buy too good of deal to pass up Others? 2016 Epicor Software Corporation Eagle Online Academy 15
16 How Do I Turn it into Cash? First step admit that it is overstocked Second step get rid of it, no matter how painful Dynamic Promo Buy 1 get 1 Free get rid of 2 instead of 1 Make it part of a bundle promo Others? 2016 Epicor Software Corporation Eagle Online Academy 16
17 How are you getting rid of overstock today? A. Dynamic Promotions B. Bundled Promotions C. We have a Yard Sale. D. We ll donate it to the community. E. We don t. We sit on it until it sells at regular price Epicor Software Corporation Eagle Online Academy 17
18 How Important are These Numbers? Danger List! Wow, that sounds scary but it is real and you are losing sales 2016 Epicor Software Corporation Eagle Online Academy 18
19 What Do I Do? Get busy first get product then next step Figure out why this happened and fix it Order Point Minimum Order Point Safety Stock 2016 Epicor Software Corporation Eagle Online Academy 19
20 How Important are these Numbers? Product Analysis Report (RPA): Use it! Identify those X items not selling 2016 Epicor Software Corporation Eagle Online Academy 20
21 Promotion, Promotion, Promotion Use dynamic promotions to help new items take off and old overstocked items to move out 2016 Epicor Software Corporation Eagle Online Academy 21
22 Agenda 1. Where Should I Look? 2. Overstock, Understock 3. The Plan of Attack 4. Monitoring the Results 2016 Epicor Software Corporation Eagle Online Academy 22
23 For more information on products featured in today s presentation, or to find out how Epicor Professional Services can help you grow your business, please contact your Account Manager at Epicor Software Corporation Eagle Online Academy 23
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