Lean retailing involves sophisticated logistics management, technology and cost-savings. Many big retail hitters have profited from the lean retailing trend – manufacturing core products in accordance with orders and demand.
UK retailers often implement lean retailing at a low-level – if at all. But, with undeniable benefits and savings, lean retailing can maximise the efficiency of your retail operation, enhance your green credentials and produce a safer and more productive team.
The Benefits of Lean Retailing
The retail market is unapologetically competitive. Products have a short lifecycle compared to longer product development time and sensitivity of demand. Lean retailing is simply best practice and strategic operational management. The previously favoured model of holding vast amounts of bulk stock in expensive warehouses and storage units has evolved. Think just in time deliveries, distribution centres, intelligent software and strategies backed by data and tech.
So, what lessons can we take from lean retailing?
- Improved DDM (Data-driven management)
- Enhanced productivity
- Operate an effective, greener, safer fleet
- Improved fuel efficiency (get ticking those green credentials)
- The scale and flex to rapidly respond to consumer demand
- Demonstrable regulatory compliance
- Enhanced retail, inventory, supply chain and merchandising management
- Comprehensive communication with and visibility of your team and fleet
Compelling lessons. Once retailers dip an operational toe into lean retailing, the consumer response, improved operational efficiencies and savings create a compelling argument. Lean thinking needs to start with your retail strategy and sync departments, stores and eCommerce. Retailers must have the right products at the right price and at the right time. Your inventory management needs to be disciplined. Review processes, control stock and locations, and research buying patterns. This lean approach will see you reduce waste and save money. Lean distribution can see the greatest cost-savings as it is often the biggest culprit in terms of waste. Handling and warehousing costs, fleet costs and labour all benefit from the lean model.
If you don’t currently operate a lean retail operation, we can help with a broad range of simple, effective solutions specifically for the retail and commercial sectors.
EDG solutions are currently utilised in millions of deliveries across the UK each year. Our mobile software allows you to deploy lean retailing within your organisation – maximising the retail and customer experience. When managing your retail operation, finding effective and achievable ways to increase productivity, reduce waste and protect profits is vital. If you are keen to deploy lean, green retailing in 2020 and enjoy the subsequent cost-savings, why not get in touch and have a chat about your needs?
To discuss the ideal retail solution for your business, please get in touch with one of the EDG team.