Story Actions

Question 1

What are the actions for VMI Measurement?

Answer 1

1. What to measure?
   
   1. Brainstorming sessions with Inventory Planner SMEs + Data Science
   2. Fill Rate, Service Level, Lost Sales
2. How do measure?
   
   1. Gather Data, Cleanse Data
3. Tell a Story
   
   1. Data is directional, it cannot be perfect
   2. Customer outcome
   3. Customer Story
4. Propose Improvements - ** This is key
5. Implement & Measure
   
   1. Rollout of all Departments
   2. Fill Rate is between 55% and 59% for all departments

Question 2

What are the actions for Size Localization?

Answer 2

• STEP 1 - Let’s to understand the the Planner workflow and the needs and painpoints. - get to the root cause of why they can’t plan for a different size ranger by location
• STEP 2- The jourey of planning for a size by location involves multiple products - What’s the ideal cross-product journey to enable localized sizing?
• STEP 3 - Rally our cross-functional teams to communicate a plan, communicate urgency and stress prioritization - delivery timelines an expectations.
• STEP 4 - Let’s build and test.
• STEP 5 - Measure results for a next phase More importantly - we have to move fast.

Question 3

What time period was it for size localization?

Answer 3

• Feb 2022 - April 2022
• Measuring now in July

Question 4

What were the results for size localization?

Answer 4

• We were able to improve avg. sell through by size for impacted womens department from 40% to 46% in first month of sale for new items
• What did I learn?
  
  1. How to take action quickly, how to prioritize relentlessly, how to do much more with fewer resources

1. What could have gone better?
   
   1. More communication with the brand. I feel like as we got closer to final delivery they were still a little confused.

Question 5

Whats the financial problem for size localization?

Answer 5

• $50 million in excess inventory
• Avg. 40% sell though by size for womens products

Question 6

What are the results for VMI Measurement?

Answer 6

• Current System Fill Rate % - 49%
• New System Fill Rate % - 59%
  
  • 8-10% increase order efficiency
  • 3-5% increase in profit margin
• Post Go-live results - Since May - Avg. 62% (55% - 65%)
• Start Jan - Deploy in Late April

Question 7

How did the mistake occur for D&F POC?

Answer 7

• It was an oversight in how we should measure forecast accuracy.
• We wanted to test how two systems would predict customer demand for 100 products.
• We send both vendors hisotircal sales data for all 100 products, down to the size level. For example, a Baby Boy Coverall comes in 4 sizes, so we send both vendors historical sales data for all 4 sizes.
• We sent sales data for 40 sizes for two Baby Boys Coveralls instead of 4 sizes, and this inflated the Demand Forecast and hurt forecast accuracy for the Baby Boys department, signifying an outlier.

Question 8

What were my actions for D&F POC?

Answer 8

1. Take accountability and provide transparency.
2. Correct the issue as quickly as possible - provide a new output of the data.
3. Took measures to make sure it doesn’t happen again - showed the business that all other items and sizes match.
4. Bring stakeholders along the journey with me. ←- Provide updates and an overview how we did the exercise.

How can I improve trust?

• Bring stakeholders along the journey with me, so they can ask questions and give insights.