Case Study:
Resort Golf
Shop
Far too many retailers
have far too much cash tied up in inventory!
Why are good shop managers allowing this to happen?
Because it is simply too difficult
to create and operate a good open-to-buy manually, and it is too expensive
to hire it done.
The chart
above is of a shop that transitioned from a "good"
spreadsheet to OTBW in 1999.
At this ($500,000/Year) shop, the increased margins
amount to ($35,000/Year)!
Looked at another way - $35,000/year had been the annual
COST of
the "free spreadsheets" they had been using before automation.
How much input time was required? About 12
hours/year.
Was that time well spent? $35,000/12 hours =
time well spent.
Was it worth the price of the program?
$35,000/$1639 price = worth the price.
Attempting to
manually out-calculate an O-T-B computer is a very
costly decision!
Even World
Chess Champions CANNOT beat Computers!
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For
the same reasons, even the most experienced Shop
Managers CANNOT beat the OPEN TO BUY WIZARD computer
program.
The rules and objectives of both
O-T-B and chess are very simple:
Anyone can play chess. Anyone can buy
inventory. Master Planning of either is another matter.
Both Chess and O-T-B are very math intensive.
The Computer Wins Every Time!
Playing chess is fun - even for non-experts.
However, Inventory investment is not a game. It is
not personal.
It is business function and requires a business system!
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