Manhattan solution key to Alshaya’s global expansion

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By  Published  September 8, 2006

One oF the biggest retail groups in the region, which holds the franchises for Starbucks, Debenhams and Mothercare across the Middle East, is to automate its supply chain processes using technology from Manhattan Associates.

M.H. Alshaya Company will use the financial and item and assortment planning components of Manhattan Associates’ Integrated Planning Solutions software.

The group runs over 1,000 stores in the Middle East with a presence in Saudi Arabia, Kuwait, the UAE, Oman, Qatar, Bahrain, Lebanon and Jordan, as well as in Turkey, Russia, Egypt and Cyprus. By deploying the solution, it is looking to help improve its business performance and support its plans to expand across Eastern Europe.

K.R. Narayanan, business systems development manager at Alshaya, explained that one of the company’s main objectives is to establish a flow of goods that better matches the needs of its stores, thereby improving customer service and reducing markdowns on product prices.

“Our supply chain is particularly challenging because of the number of countries involved,” he said. “We receive a huge range of products from a number of suppliers and need a solution that will enable us to plan our intake and manage supply and flow while maintaining optimum stock levels,” he added.

The financial and item planning modules of the solution will enable Alshaya to better plan and forecast sales and inventory requirements across multiple product lines.

The solution will also give the firm access to centralised planning information for increased productivity and profitability.

The assortment planning module will integrate with the item and financial planning modules to plan and track sales, receipt flow, margins, inventory measures and product ranges at individual stores or across a group of retail outlets.

“Prior to our selection of Manhattan Associates’ Advanced Planning solutions, we relied on a number of systems for our planning and replenishment which led to inaccuracies and inefficiencies,” said Narayanan.

“We needed to consolidate all of our data to ensure that everyone has access to the same information. The new solution will integrate with our bespoke ERP [enterprise resource planning] system and will give our suppliers visibility to our planning, allowing them to align their forecasts to ours,” he stated.

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