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Home > Retail Analytics Dashboard > MOP Reductions

RAD - Minimum Order Point Reductions

 

At first, it may seem strange to see an Order Point reduction report contained within the In Stock exception report class. However, a key component to achieving a high in-stock position is having enough cash available to invest in good selling inventory. For a lot of stores, this cash can be unlocked by disinvesting in slower moving SKUs. This report shows SKUs where order points are set too high to relative to sales. These SKUs' order points have been manually set using Minimum Order Point or ROP Protect= Y. SKUs with low average transactions (based on store and peer sales analysis) and an Order Point creating more than 13 weeks supply are selected. Consideration is made for seasonal and peak demand items, however, you may see some false positives show up with certain seasonal items.

 
Steps to process this report:

  1. Log into Acenet and select Analytics Dashboard from the top menu.

  2. If multi-store, consider turning on Multi-Store View to process all stores at one time.

  3. Under the In Stock section, find and click the Current % hyperlink for Minimum Order Point Acceptance. 

  4. A new popup will appear, click the hyperlink for Mango Report Reductions

  5. A grid will load and populate SKUs that need lower minimum order point (suggested MIN OP column).

  6. You can accept these MIN OP recommendation by clicking the button in the Change Minimum Order Point column.

  7. Once you have selected the MIN OPs you'd like to accept, click Submit in the upper right hand corner.

  8. Within 30 minutes, the order point and minimum order point will decrease to the suggested MIN OP level.

Additional Information

  • It is our recommendation that you accept all the suggested MIN OPs from the grid. This is a surgical list of SKUs in your store where too much inventory is being carried.
  • The Suggested MIN OP value can be overridden using the far right column. While the feature is there, it is against our recommendation to change the suggested MIN OP.