Case study: Retailer goes ga-ga over operations management system
Published: 3 July 2007 16:34 BST
Mothercare has sped up communication times and boosted the effectiveness of marketing campaigns across stores by implementing a store management and communications application from Triangle.
The children's clothes and equipment retailer operates 225 high street and out-of-town stores in the UK, plus 319 franchises overseas. In April the retailer announced the acquisition of children's toy retailer Early Learning Centre, adding a further 210 stores to its estate.
With such rapid expansion, it became imperative that Mothercare had clear communication between the head office and all branches.
Mothercare project manager John Kerr recalled that the organisation previously used a combined AS400 messaging and paper-based system. The time it took for information to get down to the branches and back again limited Mothercare's ability to react in a targeted way to changes in local circumstances.
What was required was a system that could relay instructions, offers and stock data to stores in an up-to-date manner without removing staff from the shop floor for any longer than was necessary.
silicon.com Retail & Leisure
Get the latest retail and leisure news straight to your inbox. Sign up for the R&L newsletter today!
Kerr decided he wanted to use Triangle's Retail Manager application because he had seen it demonstrated in The Bodyshop and New Look. The key functionality of the application suite includes store and task planning, business forms to do with accident and health and safety, POS graphics ordering and staff surveys.
He said: "We could see that the solution would fit for Mothercare. These organisations had issues not dissimilar to ours. The information they used was structured in a sensible way and passed at a speed stores could absorb. It was important that we could give staff enough support to improve their lives without overburdening them with data."
Kerr knew he needed a more integrated system but waited until the retailer updated its electronic point of sale (Epos) system in February 2006, so he had a more advanced platform at store level on which he could build one.
Because the Epos system, provided by BT Expedite, was designed with Retail Manager in mind, Kerr has been able to port management communications straight to the till-point. He believes he is the first retailer to do this.
The way head office instructs store staff has not changed a great deal. Most of the processes central staff now use are the same ones they have used for years but the speed of communication has been increased from a matter of days to become almost instantaneous. This has improved the consistency of message across the business and, at the same time, has allowed head office to be more targeted in the way it communicates with each store.
This should improve the effectiveness of merchandising campaigns and efforts to reduce stock wastage and price markdowns.
The whole Epos replacement of Mothercare's 225 stores cost slightly over £5m. The Retail manager system cost a fraction of that, at £250,000. Kerr believes once the dust settles with the ELC merger he will be able to extend the system out to those stores too.
HMV adopts lean digital business strategy
New Look restyles invoice management
Harrods integrates back office with SAP
Retailer Clinton's to profit from Epos analysis
Moss Bros pins hopes on stock management system
Virgin Retail to save £500,000 with inventory system
Store Manager- Fashion RetailerThe Company:Our client is a design-led fashion retailer selling a wide range of women's clothing and fashion ...
Your key responsibilities will be:- Driving sales- Ensuring strong merchandising levels- Ensuring all aspects of loss prevention are understood by ...
Flagship Store Manager - Fashion RetailerOur Client is a world leading retailer of casual clothing. They believe everyone deserves great quality ...
Agenda Setters 2008
Welcome to the ninth annual Agenda Setters poll – silicon.com's list of the top 50 most influential individuals in the technology and IT industries, from techies and CIOs to entrepreneurs and business leaders. Find out more in our latest special report.
Stories from the web...
Copyright ©1995-2008 CNET Networks, Inc. All rights reserved. Top of page
Julian Goldsmith
How Zavvi lost its Virginity
IT director Tony Johnson on the retailer's changing web strategy
Ged Keogh-Peters
Take stock for tough times
Opinion: Even with falling sales, innovation creates an edge
Simon Levine
Legal Eye: Bogus brands face web crackdown
But who should carry the can?
Tim Ferguson
How did the Heathrow T5 launch go so wrong?
Shiny new terminal, same old story... right?
Julian Goldsmith
Retail leaders will open up in tough times
Rather than cut back, the best will innovate to ride the slump
Penelope Ody
Retail in a rut: IT to the rescue?
Technology needs to meet changing consumer demands...