Prophix in Action: LUSH Streamlines Inventory Flow
Prophix
Jan 29, 2014, 2:00:00 PM
Company Information:
Lush is an internationally recognized cosmetic retailer, specializing in natural handmade products
Approximately 2,000 employees in North America
150 locations in North America
Problem:
Historically, LUSH's store managers would prepare purchase orders after analyzing the previous year's sales data. Unfortunately this method resulted in:
Inability to accurately forecast customer demand
Increased risk of lost sales, lower margins and poor customer service
Solution:
LUSH turned to Prophix, more specifically the Demand Planning feature to help solve their operational business needs. Using Prophix provided LUSH with a forward looking view by allowing them to measure, analyze, and validate corporate strategic plans against actual results.
lush3
lush2
LUSH's ROI:
15% year-over-year revenue increase per store
$500,000 savings in not-lost inventory over a two month period
Decrease the in frequency of shipments, cutting costs, increasing sales opportunities, and reducing LUSH's carbon footprint
And more...