Complete Enterprise Inventory Visibility Solution Helps BGN Drive Inventory Visibility to 97.5%, Improving Operational Efficiency, Profitability and Customer Service

BGN, the Netherlands' largest book retailer, deployed a Sensormatic item-level intelligence solution to support dramatic improvements in efficiencies and sales. The Sensormatic solution, powered by the TrueVUE™ RFID platform, provides BGN with item-level visibility across its chain. BGN has increased inventory visibility from 65% to 97.5%. Also it has increased receiving accuracy to 100% while dramatically reducing employee inventory time. Most importantly, BGN has significantly increased sales as well.

As a leading adopter of item-level RFID, BGN's objectives are to integrate the supply and demand chain, automate the ordering and replenishment process, enhance productivity and improve the customer shopping experience.

Currently all books are source-tagged with RFID labels from BGN's distributor, received into inventory, and cycle counted continuously within the store. In addition, the item is tracked at the point-of-sale (POS) as well as when it leaves the store.

"With smart shelves, hand-held devices and kiosks, we have reduced our weekly inventory to less than two and one-half hours per store while inventory accuracy increased from 65% to 97.5%."

— Jan Vink, CIO, BGN

With the deployment of the TrueVUE RFID platform, BGN will realize the following capabilities delivered through a single, standardized solution:

  • Enterprise-level reporting providing item-level intelligence across all stores
  • In-store receiving to provide automated "proof of delivery" of incoming books
  • In-store cycle count and real-time inventory management of all store inventory
  • Real-time tracking of special order items utilizing smart surfaces and wireless networking devices
  • Tracking of inventory movement from the back room to the sales floor to improve store replenishment
  • Enterprise-level device management and monitoring

According to BGN's CIO Jan Vink, "To date we have processed more than two-and-a-half million books. With smart shelves, hand-held devices and kiosks, we have reduced our weekly inventory to less than two and one-half hours per store while inventory accuracy increased from 65% to 97.5%. Also, our receiving process was reduced to less than 20 minutes with an accuracy rate of 100%, culminating in an increase in sales. As a result of this success, we are confident in our commitment to roll out item-level RFID across all of our retail locations by utilizing the Vue platform from Sensormatic as a single-source for RFID hardware, software and services to facilitate our enterprise deployment."

Talk about an interesting setting, BGN's Selexyz Dominicanen book store in Maastricht, Netherlands was erected inside a former 800 year old Dominican church. This book store is said to hold the largest stock of books in English in Maastricht, one of the oldest cities in the country, transforming reading literally into a religious experience!

Filed under Inventory Visibility; Inventory IntelligenceKeywords analytics; inventory accuracy; inventory intelligence; inventory visibility

Published on 2/10/2009 Permalink

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