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Company Background --- Aproov

About the current CEO, Norman Axelrod --- Himanshi


Flaws and merits detected in meanwhile by Bill Emerson (wrt
competitor) --- Sonali
Actions suggested by Bill Emerson ---- Aproov
Implications observed ---- Himanshi
Final Solution ---- Sonali

LNT (Linens N Things)


BBB(Bed, Bath & Beyond)
Flaws (before Axelrod):
Advantages:
Manual process(through
accepted LNT coupons for
phone calls and in person
sales
Planogram was done
meetings), intuitive
decisions(without any
region wise keeping local
research)
selling pattern into
Fixes: IT deployment,
account
forecasting tools developed
Ensured what customers
which helped in determining
purchased and
the future sales. But due to the
accordingly the
generalization of the products,
assortments and stock
it created a flaw for the unique
levels were maintained.
and seasonal products.
Also more space
Flaws (during Axelrod) :
allocation to the more
Partial transformation of
productive SKUs
Decentralized approach of
merchandising
organization (over stock
assortment created
and under stock due to
motivation within the
information collected from
associates in a store
a sample of stores)
Created separate classes
Flaws:
for the seasonal and
No question asked return

unique items
Avg inventory level
schemes created over
stock and under stock
problems again (new
store level forecasting
tools for avoiding this)
This store level
forecasting enabled to
send the replenished
orders to stores via 3
Delivery Centers only and
not to individual stores.
Performance control was
centralized.
Planogram described how
to arrange products in
shelves irrespective of
stores and regions
Many assortments but
only a handful of them
contributed to 50% of
sales.
Uniform space allocation
to all SKUs irrespective of
their contributions
Loss of sales opportunity
from few stores
Focused attention on
continuing products
rather than new
developments

Required:

policy

Decentralization of
assortments which in turn
would require huge
investments in training
the store level employees.
Problems:
Growth of brands and
products required more
efforts
Less incentives to store
level workers
Maintaining consistency in
product presentation
Weak life cycle
management process
No store level impacts
were analyzed
Less coordination
between corporate and
store level staffs
Advantages:
A good leader
Good logistic and supply
chain management

Created regional inventory


manager for detecting the best
selling prodcuts and
appropriately handling the
store level inventory
Extensive trainings for store
level managers
Was a fail gradually due to the

change in roles of all level of


employees.