A shoe store with 400 different styles in 10 sizes and 3 colors has a total of 12,000 possible items to stock in a store. If we multiply this number by 40 different stores, then we are talking about 480,000 possible items in inventory for this particular chain. This means that the management of this shoe chain must make half a million supply policy decisions every three months (if only by omission) and take half a million supply actions every week. A supply policy decision is asking, “How many pairs of Suede Boots 2214 do I want in black size 4 in store 37?” A supply action on the other hand, is, “We decided to have two pairs of our 4829 Boots tan color size 5.5 in store 19. Do we still have two there? Or Do I need to send them one or two more pairs?”

Sound complicated? It is. There is no way half a million decisions can be taken correctly and efficiently without the help of sophisticated software like XpertMartTM that automates the process by monitoring sales on a daily basis and suggesting purchasing and distribution decisions. If they are to reap all of the benefits software affords, retailers must harness the information such a system provides across their entire distribution system, changing the way they purchase merchandise, receive shipments in their warehouse, transfer out to their stores, move items between stores and ultimately, purchase again starting the whole process over. Systems and Operations must work hand-in-hand.