Page 153 - DMGT554_RETAIL_BUYING

Retail Buying

Notes Again, to summarize, the company had very little compliance or best practices in place
and they were not conducting any Request for Proposals and bids.
Important Solutions Step
As stated above, our client knew they needed help, but after our assessment with them,
they realized that so much more could be accomplished through centralized procurement.
Consensus was reached by both ATS and our client to observe the company's day-to-day
operations and methodologies that were being used to conduct business.

ATS observed the following in the day-to-day operations:
 ATS researched their vendors and began noting different correlations (lack of data,
no compliance, evaluation not taking place, supply chain disruption high risk, files
and contracts missing, and no centralization);
 Researched company purchasing process from PR through PO;

 Attended director and upper management meetings;
 Started a weekly meeting between finance, those buying, shipping and receiving
for proactive solutions and ideas;

 Interacted with users for their software in finance, IT, and HR, and documented what
was most important - the companies steps, habits, and ways.
It was from all of this that ATS understood the company's culture, processes, and steps so
that a customized solution would be delivered providing the solution that fit their
organization.

As a result of the ATS observations of the day-to-day operations, we implemented the
following actions immediately:
 Created and implemented Standard Operating Procedures;

 Vendor analysis, which resulted in vendor management and evaluation (we
researched their usage of grocery items, over the counter items, and other products
sold at each location, and came up with a master list - from this master list, we
reviewed what products did well and what were not doing well - then, we worked
with our client to design a master list of products that their consumers desired and
purchased regularly with higher profit margins);
 The finance department provided an Excel spreadsheet for all the companies
vendors (company name, address, phone, fax, contact person, etc.);
 ATS updated the entire supplier / vendor list with all needed information
(vendor name, address, phone, fax, email address, website, contact /
representative, tax number, DUNS number, product / service they provide,
and any notes);
 From the more than 3,400 vendors the company had, ATS was able to reduce
the vendor list to cut out almost 800 that were not in business;

 For those vendors that did not have a phone number, ATS had to research to
find a phone number so that the data completion could be conducted;
 After completing the entire vendor list, we now had a centralized list that the
entire company could use by knowing what vendor provides what, be able to
get contact information muck quicker;
Contd...

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