Lamps Plus adds forecasting tool
Needing to upgrade its demand forecasting and inventory management capabilities, Lamps Plus selected Manhattan as part of an ongoing technology modernization effort. The retailer implemented Manhattan’s Demand Forecasting and Inventory Optimization solution.
The idea is to improve forecast accuracy and visibility into replenishment cycles while maintaining demanding customer expectations.
A longtime partner of Lamps Plus, Manhattan was the logical choice to expand its footprint with its best-in-class solution that harnesses the power of data analytics, machine learning and artificial intelligence to deliver unmatched forecast accuracy, even in the most complex and dynamic scenarios.
Given the complexity and interdependence of demand forecasting and inventory management, and the critical importance of getting it right, we knew our legacy approach was no longer adequate to serve our business needs,” said Bill Gratke, chief supply chain officer at Lamps Plus. “Through our 17-year relationship with Manhattan, they’ve delivered time and again, which made this decision that much easier. This implementation was among the smoothest we’ve experienced, completed flawlessly in under six months.”
In addition to Demand Forecasting and Inventory Optimization, Lamps Plus has implemented Manhattan Active Point of Sale, Store Inventory & Fulfillment, Order Management, Warehouse Management, Labor Management, and Slotting Optimization.
Lamps Plus has implemented Manhattan’s DFIO solution at its West Coast fulfillment center (FC) that serves its ecommerce channel as well as its 31 stores. A second FC on the East Coast will go live in the first half of 2025. It includes Manhattan’s Unified Forecasting Method, advanced statistical modeling designed to ensure the ideal state of “right inventory, right place, right time,” all the time.
As seasonality is a major factor in Lamps Plus’s business, Manhattan’s DFIO solution builds simulations that model the impact of seasonal demand on forecast accuracy before profiles are updated. With the improved forecast accuracy, Lamps Plus can confidently place orders months in advance to replenish stocks in late Q1/early Q2 2025, after the Chinese New Year vendor shutdown period.
Ecommerce represents a significant portion of Lamps Plus sales, and the company uses a shared inventory pool approach. With DFIO live at the FCs, Lamps Plus will be able to meet or exceed its fulfillment service levels while running leaner on inventory, saving on carrying costs and other operational expenses.
“We’ve had a long and successful partnership with Lamps Plus, including many successful transformational software projects,” said Stewart Gantt, executive vice president, Professional Services at Manhattan Associates. “With the addition of our DFIO solution, this leading retailer has improved its forecasting, providing significant gains in inventory segmentation and available to commerce (ATC) visibility.”
