Sally Europe boosts efficiency with Slimstock's supply platform
Sally Europe has announced improvements in its supply chain management following the implementation of Slimstock's supply chain optimisation platform. These changes have led to a 2% increase in on-shelf availability, a 5% uplift in working capital, and enhanced cash flow.
Sally Europe, a major beauty retailer operating in the UK and Continental Europe, has been working closely with Slimstock to refine its forecasting and replenishment strategies. This initiative aims to create a more responsive and efficient supply chain that can adeptly adjust to customer behaviour and market trends.
Nora Mebarka, Head of Supply and Demand Planning at Sally Europe, discussed the rationale behind the new strategy, stating, "Our supply chain strategy is clear: optimise our operation to maximise availability, create value, and deliver service excellence to our customers. However, in this VUCA world, uncertainty can lead to overstocking and stock-outs, resulting in missed sales opportunities and high costs."
Mebarka added that having the right tools and expert support played a crucial role in the successful implementation of these strategies. "Having the best tool alone isn't enough; you need skilled people and expert support to succeed. Thanks to the winning combination of my motivated and committed team with Slimstock's knowledgeable consultants and responsive helpdesk, we have the perfect ingredients for seamless collaboration," she explained.
The updated approach allows Sally Europe to differentiate its supply chain strategies based on various channels and product types. "There is no one-size-fits-all approach to supply chain strategy. It is vital that we differentiate our approach by considering the channel and the product type. With an adaptive forecasting and replenishment foundation now in place, we can differentiate our supply chain strategy to deliver the best service to our customers. The results speak for themselves: we have increased on-shelf availability by 2%, instilling confidence in our entire operations team," said Mebarka.
Financial performance has also benefitted from this tailored approach to replenishment. The implementation of Slimstock's platform has led to increased stock turn and improved cash flow, all while reducing the working capital tied up in stock. Slimstock's advanced supply chain platform supports dynamic inventory transfers across Sally Europe's network. This prioritises inventory for strong-performing locations to maximise revenue, prevent excess inventory, and minimise the risk of obsolescence.
"We are now more responsive to emerging customer trends, allowing us to ensure optimal stock coverage across our network while maximising the capacity of our distribution centre," Mebarka stated. This optimisation has helped Sally Europe maintain higher levels of availability without needing to place additional orders with suppliers. "Rather than discounting or writing off excess stock, we now prioritise inventory for high-performing locations, ensuring optimal availability and maximised full-price-sell-through. This innovative approach has helped us significantly improve our return on investment by reducing working capital tied up in stock by 5%," she noted.
Sally Europe's long-standing partnership with Slimstock has strengthened its position as a leading beauty supplier. Mebarka and her team intend to continue leveraging Slimstock's latest developments, including artificial intelligence (AI) and machine learning, to further optimise supply chain processes.
"Our enhanced forecasting and replenishment processes are already yielding great results. We are now working with Slimstock to embrace AI and machine learning to further optimise our promotions. With Slimstock's continued support and expert guidance, there is no limit to what we can achieve," Mebarka concluded.