Blue Yonder > Case Studies > Morrisons Puts the Customer at the Heart of Every Decision

Morrisons Puts the Customer at the Heart of Every Decision

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Company Size
1,000+
Region
  • Europe
Country
  • United Kingdom
Product
  • Blue Yonder’s Luminate™ Planning
Tech Stack
  • Artificial Intelligence
  • Cloud-based solution
Implementation Scale
  • Enterprise-wide Deployment
Impact Metrics
  • Productivity Improvements
  • Revenue Growth
  • Waste Reduction
Technology Category
  • Analytics & Modeling - Predictive Analytics
  • Platform as a Service (PaaS) - Data Management Platforms
Applicable Industries
  • Retail
Applicable Functions
  • Sales & Marketing
  • Warehouse & Inventory Management
Use Cases
  • Inventory Management
  • Predictive Replenishment
Services
  • Cloud Planning, Design & Implementation Services
  • Data Science Services
About The Customer
Morrisons is a UK-based supermarket chain with almost 500 stores serving over 11 million customers. The company wanted to increase on-shelf availability through improved demand planning and replenishment based on analysis of customer behavior at every store. The goal was to put the customer at the heart of every decision. However, store replenishment based on manual ordering by in-store teams proved time consuming, created inconsistencies between stores and was not always accurate. Morrisons wanted any new planning solution to easily integrate with, and streamline, its complex IT infrastructure, as well as be capital light.
The Challenge
UK-based supermarket chain Morrisons wanted to increase on-shelf availability through improved demand planning and replenishment based on analysis of customer behavior at every store. The goal is to put the customer at the heart of every decision. Store replenishment based on manual ordering by in-store teams proved time consuming, created inconsistencies between stores and was not always accurate. Morrisons wanted any new planning solution to easily integrate with, and streamline, its complex IT infrastructure, as well as be capital light.
The Solution
Morrisons chose Blue Yonder’s Luminate™ Planning suite of forecasting and replenishment capabilities to optimize merchandise availability at each store. The artificial intelligence (AI)-based solution automatically forecasts orders daily per store and per SKU to meet customer demand, and its self-adjusting capabilities mean demand can be optimized down to product level by factoring in influences such as store demand patterns, shelf sizes, seasonality, weather and promotions. The results are an up to 30% increase in on-shelf availability and reductions in store inventory of two to three days. Besides making the order placement process more accurate and efficient, the automated solution frees managers and associates to spend more time on the store floor helping customers and performing other tasks that improve the shopping experience.
Operational Impact
  • Replaced inefficient, inaccurate and inconsistent manual ordering processes with a fully automated, AI-based forecasting and replenishment solution
  • Frees store managers and associates for customer-facing activities
  • Blue Yonder began the deployment of Luminate Planning at Morrisons with a three-month pilot program. As a Cloud-based solution with industry-standard IT interfaces, the deployment was rapid, returning immediate results on Morrisons’ investment.
Quantitative Benefit
  • Increased same-store sales 2.6% across 130 categories and over 29,000 SKUs
  • Improved on-shelf availability by up to 30% while reducing store inventory by 2-3 days

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