TOCICO

This presentation aims to expand on the retail TOC body of knowledge. It is based on real Viable Vision implementation of Goldratt Consulting with a large well known retail chain in India. In retail, it is well known that slow performing stores often drag down the entire retail chain performance. These stores accumulate slow moving products and high OE. In environments where product cycle life is highly limited, slow performing stores can take needed stock from higher performing stores. How should we treat slow performing stores? Does the cause lie in their traffic (clients “walk in’s”) or in the way merchandizing is managed at the store? The answer to this question goes much beyond the traditional pull-based TOC replenishment solution. In this presentation, using a real case study, practical methods will be presented to answer these questions. Identifying what should be changed, and in which stores the changes should be implemented, can impact the entire retail chain profitability in a surprisingly short time. For the closer, an actual case study will be presented, demonstrating the turnaround in stores performance once they get the right merchandising to them.