Retailers are challenged to implement and maintain technologies and processes for a variety of business operations. Often, as their critical management components are tested, retailers are at risk of losing dollars that have “fallen through the cracks.”
Designed to help retailers discover and actualize untapped profit and growth opportunities, the Profitect Profit-Amplification Suite identifies value chain margin leakage, shrink, waste, process errors and operational risks and damages. In a statement on its web site, Profitect claimed that its solution delivers a more than 5% profit increase within six months. In one recent example, a retail customer reported a 20% shrinkage reduction in one year.
Profitect provides retailers with an automatic, targeted roadmap to discover and reclaim untapped profits that exist across the entire retail value chain. The technology empowers retail executives to drive collaboration and synergy among the many parts of the organization, creating new opportunities for unrealized profit growth. A variety of retailers are utilizing the solution to improve profitability, including Abercrombie & Fitch, Loblaws, Marks and Spencer, METRO, Morrison’s and Woolworths SA.
“The continuous reduction of shrinkage is important to providing the most competitive prices to our professional customers,” said Frank Hammerle, Finance Director, METRO Cash & Carry Romania. “The introduction of the Profitect solution gave us a strong impact in supporting the reduction of shrinkage by more than 20% in one year.”
The modular platform allows retail organizations to implement the profit amplification process in a stepwise approach. The solution is designed to present an integrated platform to offer visibility and transparency, connecting the dots of siloed efforts across the retail organization.
“While the industry constantly changes, one thing remains consistent: retailers are focused on growing and making money,” said Guy Yehiav, CEO, Profitect. “Most retailers have siloed systems in place with nothing that manages margin erosion, waste, damage and shrink holistically. The Profitect suite, with its advanced algorithms, is designed to identify profit and growth loss easily and provide actionable solutions with end-to-end visibility for the retailer.”
Profit Amplification originally was developed for the airline industry to prevent suspicious luggage from making its way into the complex aviation supply network.