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The IUP Journal of Supply Chain Management :
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Abstract |
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India is witnessing a retail explosion. Leverage of the enormously available customer data for aligning
precious resources with customers' needs makes it imperative for retail managers to deploy advanced tools and
techniques for data analysis and generation of reports for effective decision-making. While a host of analytical processes
and tools are available, a retailer needs to invest selectively and adopt to those applications that are proven to
be successful, and resulted in substantial savings in terms of money, time and shelf space. This paper, apart
from highlighting the relevance and efficacy of analytics for retail industry in India, also deals with a live
study undertaken at Fresh Greens Bangalore, where Market Basket Analysis (MBA) and advanced demand
forecasting techniques have been used for understanding the demand associations of different fruits and vegetables and
fine-tuning their operations. Based on the findings of this study, certain conclusions, not only specific to
Fresh Greens, but generally applicable to fruits and vegetables retailers in India, have been drawn and suggestions
are provided for enhancing the operational efficiency and effectiveness. |
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Description |
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Analytics is the application of statistical techniques to solve business problems. In
terms of process, analytics finds patterns and relationships in data by using
sophisticated techniques to build modelsabstract representations of reality. A good model is a
useful guide to understanding business and taking appropriate decisions. Analytics is being
used extensively these days by business managers owing to the availability of large
customer data base, enabled by cheaper electronic storage and computer processing power
(Business Analytics in India, 2005).
Retail industry in India is expanding by leaps and bounds. Increasing competition,
a wide range of product offerings, ever increasing customer expectations, multiple
modes of interaction and consumer divergence, are a few of the characteristic features of
the dynamic and constantly changing domain of retail. A retailer faces multifarious
challenges due to increased customer base and more choices made available for the customers.
As stated by Matt Adams (2008), "To stay competitive, retailers must embrace
an analytical, guided and prescriptive approach to understand their business better
and anticipate customer behavior in a proactive manner". |
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Keywords |
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Supply Chain Management Journal, Retail Analytics Using SAS, Analytical Processes, Retail Industry, Statistical Techniques, Product Inventory, Customer Satisfaction, Market Segmentation, Marketing Programs, Marketing Mix Models, Econometric Models, Inventory
Management System, Marketing
Campaigns, SAS Data Mining Software. |
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