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[Case study] 27% retail cost reduction by developing a new in-house procurement system

vti in-house procurement system case study

 

Client is a retailer whose documents generated for ordering and inventory management were managed via Excel. A huge amount of data was required to be processed, thus it was easy for those employees unfamiliar with Excel to make mistakes. Cyberattack was also a headache, even with a PIN code in Excel.  

Move from on-premises to Cloud

At the time, client was planning on establishing another new branch, therefore no problem with warehousing and transportation was allowed, as it would severely affect customer trust. VTI thereby introduced Cloud migration as a countermeasure, to minimise mistakes and to gain customer trust.

Optimise business systems, not just moving to the cloud

In order to minimise the mistakes that can be forgiven in inventory, warehousing, ordering, transportation and sales, we believe that it is best to move from the on-premises environment to the cloud and at the same time optimise the business system. The proposal was then approved, and VTI therefore developed an ordering and inventory management system on AWS.

Results

Regarding the procurement system, it is difficult to say how effective it will be, since we are still working on the client’s problem. However, after the solution implementation, the customer’s complaints, which was an initial problem, have disappeared. Mistakes have been reduced by simplifying ordering/inventory and accounting management. Not only that, but compared to our previous system, the solution cut operating costs by 27%.

Compared to our previous system, the solution cut operating costs by 27%.

Regain lost customer trust

We received a letter from a customer saying, “We are novices when it comes to advanced technology, but VTI team explained and helped us understand how it works as well as the implementation roadmap.” A few months after the implementation, there were no mistakes in ordering, and the work quality was surprisingly improved.

One-stop solution by VTI for software development tailor-made for retailers: Retail X

VTI provides one-stop software development solutions for digital transformation and business growth by utilising cutting-edge technologies such as AI, and retail know-how. Our one-stop solution Retail X consists of five solutions customised for retailers and stores:

StoreX: A solution to digitise and optimise stores for a better in-store experience. For example: faster payments with automated check-in with AI facial recognition cameras and digitised invoices.

PromoX: A solution to promote sales and marketing with a focus on increasing sales. For example: a sales forecasting function to plan sales marketing campaigns and other tools to manage those campaigns.

MicroStoreX: A POS system that automates and digitises payment processes and a management system that tracks receipts and shipments.

LogiX: A system to manage sprint chains. For example: Smart inventory management with WMS.

WFMX: A solution that digitises manual tasks like scheduling, reporting, data entry, and more.

 

If you would like to find out more about Retail X, please do not hesitate to contact us.