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Improve retail profits through supplier collaboration & analytics
- 2. 85% 99.5 %4million
per supplier, with a
supplier information
management solution
With focused data
collaboration
Supplier management
costs can be reduced by
In-stock products rose toRetailers can increase
profit margins by an extra
with an effective supplier
collaboration strategy
1 2 3
Supplier Collaboration & Analytics – The Preview
© Manthan Systems 2
- 3. Supplier Networks - Global Facts & Figures
Proprietary (private)
Order-to-pay
Category focused
B2B (Discovery/commerce)
EDI/VAN
31%
21%
18%
16%
14%
Supplier Network Landscape
Enterprise priority
Critical Very
Important
Moderate
to Low
24%
48%
28% 1. Independent network that
complements internal ERP systems
2. Pre-connected to the e-procurement
platform in use
3. Industry recognized and used
1. O2P Documents (PO / Inv)
2. Contract Docs (RFx)
3. Biz Credentials
4. Forecast / Schedules
5. Dynamic Discounts
Top 5 transactions on supplier
networks
Top 3 decision drivers for
Supplier network selection
© Manthan Systems 3
- 4. Benefit the Tirad
SUPPLIER VALUE
RETAILER VALUECONSUMER VALUE
Improve demand forecasting and
management
Optimize inventory levels and
distribution
Improve fulfillment
Faster introduction of new
products
Reduce out of-stock and
cost of inventory
Better assortment and
category management
Higher quality and quantity
of supplier funded
promotions
Increased sales
Higher levels of customer
satisfaction and loyalty
Increased choices
and availability
Personalized offers
© Manthan Systems 4
- 5. © Manthan Systems 5
To win at the shelf and with the shopper a coordinated collaboration
effort between retailers and their suppliers is a must for nearly all
sectors of retail – We believe the greatest opportunity for collaboration
centers on a new gen of collaboration capabilities designed around an
aligned view of opportunity.
”
“
- 6. Expert Opinion
By using retailer data to enable collaboration with supply chain partners to improve
demand and supply synchronization, we improved on-shelf availability dramatically; there
were examples of comparable promotions where the in-stock percentage grew 30%.
ALLAN BARR, Operations Manager, The Proctor & Gamble Company
The industry must more readily and freely share information, embracing the concept that
the best way to manage increasing complexity is through transparency.
Joint statement by -
JOSE LUIS DURAN, Chairman of Management Board, Carrefour Group.
A. G. LAFLEY, Chairman, President & Chief Executive , The Procter & Gamble Company.
Organizations that are not using portals to connect trading partners lack the visibility to
leverage opportunities to collaborate. Supply chain, finance, procurement and sourcing
leaders can start benefiting from the use of supplier portals.
GARTNER
© Manthan Systems 6
- 7. Benefits – From a Retailer’s Perspective
Improved
Demand
Management
Unparalleled
Visibility
Improved
Supplier
Governance
Enhanced
Operational
Efficiency
REDUCTION IN
COSTS
© Manthan Systems 7
IMPROVED
SALES/MARGINS
- 8. Enhance Operational Efficiency
Out of Stocks
reduced by
30%
New product
introduction
time reduced by
40%
Purchase order
corrections
reduced by
15%
Supplier led
promotions
increased by
20%
Price book
accuracy
increased by
30%
Vendor fill rate
enhanced by
10%
© Manthan Systems 9
- 10. The SolutionChallenge Areas The After Math…
Manual and paper-based supplier
transactions resulted in:
• Order and financial processing errors
and delays due to paper processing
• Incomplete and inaccurate master data
• Higher costs and overheads due to
manual processing
• Lack to visibility leading to suboptimal
demand and inventory planning
• Longer lead times
Manthans ARC Vendor Link & Vendor
Insights
It was implemented to migrate all
paper-based processes to online and
digital mode on the portal. There were
self-service portals for suppliers for
complete information management.
The solution was rolled out to multiple
retail formats with over 3000 suppliers
on board, which resulted in an
increased supplier participation.
• Significant increase in Order fill rates by
suppliers
• Lower PO and invoice errors and faster
processing due to accurate item prices.
• Better assortment and lower lead times
in product launches.
• Reduced stock outs and cost of inventory.
• Higher supplier participation in
promotions and ROI.
• Higher ROI on store fixtures.
• Reduction in departmental costs in
processing and support due to self-service
and paperless information management
capability to suppliers
• Additional revenue stream due to
monetization from suppliers of data
sharing and automation.
The Robinsons Retail Group (RRG) is a leading multi-channel retailer in the Philippines operating Department stores,
Supermarkets, DIY, Drugstores, Convenience stores and specialty retail viz. Appliances, Furnishings, Toys. The company
procures and transacts with several thousand suppliers and trading partners located globally .
Vendor Link & the Retailers -The Robinsons Retail Group
© Manthan Systems 11
Customer Profile
- 11. Progression - From Collaboration to Profit
PROFIT
Utilize granular
insights to improve
market share
Influence demand and
drive transformational
growth
ALIGN
Improve visibility into
supplier, product,
financial and fixture
related information
Build Strategic
partnerships with
supplier network
SHARE
Share retail data with the
vendor ecosystem
Apply context specific
analytics to identify
opportunities
Improve demand
management forecasts
COLLABORATION
Integrate all your
suppliers with a self
service portal
• Automation
• EDI
• Ensure accuracy
of data
© Manthan Systems 13