Drugstore chain to use collaboration hub to improve forecast accuracy, order performance between retail trading partners
West Chester, PA — February 15, 2005 — Rite Aid Corp., one of the nation's leading drugstore chains, said it has selected Prescient's Forecast Exchange to improve forecast accuracy and enhance communication with suppliers.
In an industry where information sharing was once non-existent, trading partners now realize that collaboration is the only way to achieve their common goal: having the right products on the store shelf at the right time and price. Companies that communicate effectively, collaborate and integrate with their key trading partners gain significant competitive advantages, according to Rite Aid.
"It was important for us to partner with a company that has both collaboration experience and a deep understanding of supplier forecasting," said Paul Hanko, vice president of Supply Chain, Rite Aid. "Working with Prescient complements our existing Collaboration efforts by providing a forum for us to compare our forecasts with our supplier's and react to variances."
Rite Aid and its suppliers use the Prescient Forecast Exchange to compare forecast information through a shared repository for forecast data. The solution alerts users to forecast discrepancies that exceed customized tolerance levels in an effort to improve forecast visibility and accuracy, reduce excess inventory and out of stocks, enable better promotion management, and increase sales.
"To effectively compete with the industry giants, retailers are seeking new ways to differentiate themselves and create a superior shopping experience in the battle for consumer loyalty," said Jane Hoffer, president and CEO of Prescient Applied Intelligence. "Forecast Exchange facilitates this differentiation by creating a virtual meeting place where retailers and suppliers compare forecasts, handle exceptions, align expectations for promotional periods and ensure product is always on the shelf."