Retailer engages 4R Systems to help analyze supply chain performance and opportunities
Wayne, PA May 17, 2004 Housewares retailer Crate and Barrel has brought on supply chain services firm 4R Systems for a project to quantify opportunities to drive increased profits by optimizing inventory management throughout the product lifecycle.
4R is a provider of software tools, analytical models and information services intended to help retailers and manufacturers increase profits by optimizing their inventory and related supply chain decisions. The provider says that its clients have seen increases in profitability of 1 to 2 percent of sales as a result of higher sales levels on lowered inventory.
Crate and Barrel will work with 4R to quantify the profit improvement opportunity available through optimizing inventories to increase sales while managing inventory costs throughout the supply chain, in addition to optimizing product exit for markdown merchandise.
4R will compare and contrast Crate and Barrel's current supply chain practices to alternatives and identify a benefit/difficulty roadmap for various future supply chain initiatives.
"We continue to be focused on innovative ways to improve profitability and efficiency and believe that through better analysis and use of our sale, inventory and supply chain data we will continue to improve supply chain performance and, ultimately, the customer shopping experience," said John Ling, Crate and Barrel's vice president of logistics.
Crate and Barrel, with its flagship store on Chigago's "Magnificent Mile," was founded in 1962 and now operates 127 stores nationwide.
Other companies using 4R's services include Linens 'n Things, American Pacific, Mothers Work and Rodale.