DinoSol Completes Oracle Retail Supply Chain Implementation, Reducing Inventory Costs by Millions of Euros
Spanish Grocery Group Uses Oracle Retail Advanced Inventory Planning to Further Optimize Operations and Improve the Customer Experience
Redwood Shores, Calif. – April 30, 2012
DinoSol has implemented Oracle® Retail Advanced Inventory Planning, completing the roll-out of Oracle Retail applications to help optimize inventory management within the supply chain and improve profitability across its four formats in Spain and the Canary Islands.
As a result of the Oracle Retail deployment, DinoSol has reduced stock levels, achieving savings of €21.8 million Euros in 2011 and €25.2 million Euros in the first quarter of 2012. These improvements in working capital have enabled DinoSol to reinvest in its organization, invest in new stores and introduce new projects to drive further benefits.
With a strategy to competitively differentiate its offering by focusing on fresh produce and offering more localized product assortment, DinoSol recognized the importance of optimizing supply chain operations and facilitating a more coordinated movement of inventory throughout the distribution network.
Implementing Oracle Retail Advanced Inventory Planning is the final element of this project which has been supported since December 2010 by Logic Information Systems, a Gold level member of Oracle PartnerNetwork (OPN).
With Oracle Retail solutions, DinoSol is optimizing its business to plan, forecast and replenish more effectively to meet the many variables in consumer demand across its multiple formats and the geographical region.
The implementation has delivered visibility across the supply chain, connecting the head office with its eleven warehouses, 440 stores and multiple suppliers, to create an optimal inventory balance that meets defined revenue, profit and service level objectives. This is helping DinoSol to meet its goal of reducing eight days of supply chain stock within three years.
Another objective was to forecast future sales more accurately, rather than relying on historical data to predict consumer demand, and the Oracle Retail applications are now enabling DinoSol to forecast up to nine weeks ahead across the supply chain operation.
Additional benefits have resulted from more centralized and automated handling of replenishment, traditionally done by individual stores, now being managed at head office, including improved financial reconciliation and better allocation.
DinoSol expects Oracle Retail Advanced Inventory Planning to deliver further benefits around time-phased inventory replenishment by item, store, warehouse and channels in due course.
“The power of Oracle Retail lies in the ability to plan for the future. By implementing Oracle Retail inventory planning, we have enabled a synchronized supply chain and our customer demand drives that supply chain,” said Jorge Delgado, Director Supply Chain, DinoSol.
“DinoSol’s investment in Oracle Retail’s experience platform is helping to optimize inventory control and supply chain operations, and enable actionable insight that drives smarter decisions around profitability, performance, demand and the customer experience,” said Mike Webster, Senior Vice President and General Manager, Oracle Retail.
“Working in such a demanding project has been a very rewarding challenge for everyone involved. The DinoSol team has shown a strong business knowledge and expertise, which was crucial to improve the supply chain and steer the project in the right way. The delivery was completed on time and with business benefits closely measured by the DinoSol board. The entire team should be proud of their achievements and it is great to be part of this project,” said Pedro Silva, VP Europe and Latin America, Logic Information Systems, Inc.
Oracle provides retailers with a complete, open and integrated suite of business applications, server and storage solutions that are engineered to work together to optimize every aspect of their business. 20 of the top 20 retailers worldwide - including fashion, hardlines, grocery and specialty retailers - use Oracle solutions to drive performance, deliver critical insights and fuel growth across traditional, mobile and commerce channels. For more information, visit our Web site at http://www.oracle.com/goto/retail
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