Operations Management Needs This Basic First Step
There are many potential strategies and tools being developed for retail operations management. Some of them seem to have stepped out of the pages of science fiction, like the artificial intelligence mentioned in a recent Harvard Business Review article. “If your company isn’t good at analytics, it’s not ready for AI” seems like an odd statement until you realize that the authors are pointing out that a basic foundation is needed before planning to move into new territory:
“Companies need to automate repetitive processes involving substantial amounts of data — especially in areas where intelligence from analytics or speed would be an advantage. Without automating such data feeds first, companies will discover their new AI systems are reaching the wrong conclusions because they are analyzing out-of-date data. For example, online retailers can adjust product prices daily because they have automated the collection of competitors’ prices. But those that still manually check what rivals are charging can require as much as a week to gather the same information. As a result, as one retailer discovered, they can end up with price adjustments perpetually running behind the competition even if they introduce AI because their data is obsolete.”
Don’t Make This Misstep
Obsolete data can mess up operations management even when you aren’t using a new AI system because decisions are not being made with real-time information. That’s why ChainDrive relies on a primary database that centralizes all the information collected across the many channels of the business. This is the foundation of any business: all the facts, accessible immediately for analysis and action. Automatically collecting the data and storing it securely in one spot is the basic first step of successfully moving forward.
Accurate Data To Move Forward
Every other function of retail operations management needs to start from an accurate database. Performance metrics, analysis, logistics, budgets, targets, loss prevention, inventory controls, etc. cannot be effective unless the information used to make decisions is complete and up to date. The ChainDrive Operations Management software component starts with the basic step of all data being collected automatically in real time. As it is collected, information is automatically stored in the centralized database for accurate analysis and effective decision-making. This basic process happens automatically as part of the Integrated Retail Management solution that many retailers have found to be the best foundation for their continued success.