Upgrade the Inventory Process in a Jewellery Retail Company

CHALLENGE
A federal jewellery retail company, that consists of 400 shops, needed to reduce the financial damage and impact of theft and increase the recoverability of losses.

The inventory process was semi-automated with the weak integration with ERP that caused delays in the discrepancies calculation. Also, Headquarters didn’t have enough time to analyse all inventory results, so many of them were obsolete and, as a consequence there was often a delay in  the losses recovery.

The client asked Byndyusoft to reorganize the inventory management and develop software for a new, more efficient approach.

SOLUTION

At the beginning of the project, we had started with our standard Product Discovery process. The results of analysis had shown weaknesses with the current inventory process.

Byndyusoft designed and developed software for inventory management. Also, we integrated it with ERP to reduce all manual work and seamlessly connect the current in-store stock data.

Until the end of the project, we had been working in the shops with client’s employees and, finally, we have implemented the system in all client’s stores.

Byndyusoft launched a GUI importer for any data source to a DWH in a short period of time. A working prototype was developed in just two weeks. They worked according to an established roadmap and after a month we started to use the new system on production servers.
Sergey Oreshkin, Director of Reporting and Analysis Systems at 585 Gold, a federal network of jewelry shops
RESULTS

The recoverability of losses was increased from 50 to 90 percent because of two factors:

  1. We developed software that automated the entire process — from scanning jewellery by Portable Data Terminals in the shops to the interfaces for the Accounts Department and the Internal Security Department.
  2. Accelerated the inventory process by 10 times, therefore deducing fraud detection time and employees scammers did not have time to resign and sell stolen jewellery.

After the shop’s workers had realized that any rogue employee could be easily detected by the new inventory process, they became more respectable to the accounting of jewellery and the number of frauds went into decline.

By this moment, all 400 shops and HQ have started using our new inventory approach.

Increase from 50% to 90%
recoverability of losses
30% reduction
damage from theft
Decreased from 10 days to 3 days
the average duration of the inventory transfer
Reduced from 200 to 5
the number of discrepancies in one inventory
UX · Android · PDT · Analysis · Retail
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