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‘Retail Redefined’
The world of retail is changing at an ever increasing rate driven by
significant changes in consumer behaviour. Many established names have
disappeared from the high street or are struggling, yet some retailers are
thriving and growing. Is it what they are doing differently?
The Retail Industry & how Lean has changed the
rules of the game
Disclaimer!!!
The following is based on my views and 20+ years
experience as a Lean Practitioner in multiple industry
sectors.
It is not necessarily completely aligned with the thinking
of my employing organisation…. Yet!
So what’s happening?:
• Customers want immediacy (shorts in the summer!)
• Luxury & High street fashion getting merged (Burberry Scarf,
Zara jeans…)
• Trends are changing at an increasing rate
• Designers are no longer the key influencers (social media
stars are taking over!)
• The consumer is more socially & environmentally conscious
(excess is not going to be tolerated)
What paradigms need to change?
The Traditional Retail Mindset – ‘Push & Hope’
• The designer knows best
• Merchandising decide what you should buy
• Forecast (Guess) what will sell and how much
• Over develop, overproduce = Unsold Inventory
• Long lead times drive inflexibility
• Slow response to customer requirements
• Buying for seasons in a global market
• Large batch sizes (development & production)
• Culture – obsessed only with financial results
What are the successful retailers doing?
The Lean Mindset – Pull to Customer Demand
• Understanding customer value, the voice of the customer
• Eliminating waste to increase velocity and agility
• Continually checking reality
But most importantly
Unlocking the potential of their people
Customer value
Feedback
?
What is selling?
• Real time data
Talk to your customers?
• What they like
• Why they buy
• Why they don’t
Eliminating Waste
Continually checking reality
Reality
Check
Feedback
?
Make
More
But it’s not just about the tools!
Lean
Mindset
& Behaviours
20%
80%
Focus
Here
Interesting Brain Stuff…. ‘State of Mind’
To perform at our full potential we ideally need to
be using our ‘whole brain’
People (and Organisations) in crisis or fear tend to
be dominated by their ‘reptilian’ brain and struggle
to be rational or think clearly
To reach our potential as individuals and as an
organisation we must overcome fear and create a
supportive culture where individuals feel safe and
able to learn
Lean Mindset = Culture
UNLEASH THE HUMAN
POTENTIAL
IN
YOUR
ORGANISATION
Cultural change starts with a new
leadership behaviour
Together…..
Our Lean Deployment in our internal manufacturing has delivered:
• Quality Improvement – RFT from 65% to 98%
• Manufacturing Leadtime reduction – from 25 days to 5 Days
• Productivity improvement of 25%
Leadership – the ‘unlock’
Invest in your
Leaders
(at all levels)
Let them teach
the tools they
need to apply to
their people
Start unlocking
the Human
potential of the
organisation
Thank you……

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Retail Redefined

  • 1. ‘Retail Redefined’ The world of retail is changing at an ever increasing rate driven by significant changes in consumer behaviour. Many established names have disappeared from the high street or are struggling, yet some retailers are thriving and growing. Is it what they are doing differently? The Retail Industry & how Lean has changed the rules of the game
  • 2. Disclaimer!!! The following is based on my views and 20+ years experience as a Lean Practitioner in multiple industry sectors. It is not necessarily completely aligned with the thinking of my employing organisation…. Yet!
  • 3.
  • 4.
  • 5.
  • 6.
  • 7.
  • 8.
  • 9. So what’s happening?: • Customers want immediacy (shorts in the summer!) • Luxury & High street fashion getting merged (Burberry Scarf, Zara jeans…) • Trends are changing at an increasing rate • Designers are no longer the key influencers (social media stars are taking over!) • The consumer is more socially & environmentally conscious (excess is not going to be tolerated)
  • 10. What paradigms need to change? The Traditional Retail Mindset – ‘Push & Hope’ • The designer knows best • Merchandising decide what you should buy • Forecast (Guess) what will sell and how much • Over develop, overproduce = Unsold Inventory • Long lead times drive inflexibility • Slow response to customer requirements • Buying for seasons in a global market • Large batch sizes (development & production) • Culture – obsessed only with financial results
  • 11. What are the successful retailers doing? The Lean Mindset – Pull to Customer Demand • Understanding customer value, the voice of the customer • Eliminating waste to increase velocity and agility • Continually checking reality But most importantly Unlocking the potential of their people
  • 12. Customer value Feedback ? What is selling? • Real time data Talk to your customers? • What they like • Why they buy • Why they don’t
  • 15. But it’s not just about the tools! Lean Mindset & Behaviours 20% 80% Focus Here
  • 16. Interesting Brain Stuff…. ‘State of Mind’ To perform at our full potential we ideally need to be using our ‘whole brain’ People (and Organisations) in crisis or fear tend to be dominated by their ‘reptilian’ brain and struggle to be rational or think clearly To reach our potential as individuals and as an organisation we must overcome fear and create a supportive culture where individuals feel safe and able to learn
  • 17. Lean Mindset = Culture UNLEASH THE HUMAN POTENTIAL IN YOUR ORGANISATION
  • 18. Cultural change starts with a new leadership behaviour
  • 20. Our Lean Deployment in our internal manufacturing has delivered: • Quality Improvement – RFT from 65% to 98% • Manufacturing Leadtime reduction – from 25 days to 5 Days • Productivity improvement of 25% Leadership – the ‘unlock’
  • 21. Invest in your Leaders (at all levels) Let them teach the tools they need to apply to their people Start unlocking the Human potential of the organisation