Supply Chain Strategist allows us to take scenarios, run them independently, and compare them to each other.

Industry
We can come up with the right decision in a matter of hours. In the past, that would have taken weeks. Retail
Mike Griswold, Strategic Process Leader, Shaws Supermarkets
i2 Solution
i2 Supply Chain Management

......................................................................................................................... i2 Success Story #203

Utilizing Superior Decision Support

at Shaws Supermarkets

Recognizing that it needed to make better decisions regarding its supply chain, and that it needed to optimally Challenges
align its stores with its distribution centers, Shaws Supermarkets embarked on a value chain management initiative Make better high-level supply
using i2 solutions. With i2 solutions in place, Shaws Supermarkets significantly reduced decision-making time and chain decisions
Gain a better understanding of
anticipates a full return on investment within one year of implementation.
the relationship between stores
and distribution centers
Faced with razor-thin margins and increasing competition, which Shaws believed it could build a mutually bene- Optimize supply chain to
the grocery industry must look to cut costs while better ficial working relationship. lower costs
meeting customer demands.
We were exposed to i2 and were very pleased with the Solutions
Utilize what-if scenarios
Increasing numbers of food retailers are looking to cut tool, said Mike Griswold, Shaws Supermarkets Strategic
Automate the alignment
costs by optimizing their supply chains. More complicated Process Leader. We realized that for a company our size, process for its 12,000 dry
than the traditional retail supply chain, the grocery we needed i2 solutions to help guide us in making high- grocery items
industrys supply chain has many perishable items that level decisions. With a more efficient supply chain, we Make more fact-based,
must move quickly from end to end. can lower our costs, which will benefit the customer. analytical decisions

Results
With 185 stores throughout New England, Shaws i2 solutions enable retailers to merchandise, source,
Reduced decision-making time
Supermarkets had a clear understanding of the com- buy, move, and sell products with greater visibility and from weeks to hours
plicated supply chain inherent in its industry. Shaws velocity across the value chain, delivering increased Reduced running time of
recognized that, given the size and scope of its busi- sales and profits, improved vendor performance, and optimization scenarios from
ness, it needed a tool to help make high-level supply reduced logistics costs. days to minutes
chain decisions. Achieve full ROI within 1 year

i2s Contribution
Headquartered in West
The high volume of transactions that went through its To optimally align its retail stores with its distribution Bridgewater, Mass., Shaws
two distribution centers up to 600,000 cases shipped centers, Shaws Supermarkets implemented i2 Supply Supermarkets operates 185
per week also convinced Shaws that it needed a Chain Strategist, part of the i2 Supply Chain Manage- stores throughout New England.
better understanding of the relationship between its ment suite of solutions. With annual sales totaling
stores and its distribution centers. $4 billion, Shaws employs
nearly 30,000 people.
When you have 185 stores, two distribution centers,
Why i2? and a partnership with a third-party wholesaler, there
After researching potential solution providers, Shaws are a lot of possible combinations as to which distribu-
Supermarkets found that i2s ability to transform the tion center is going to support which store, Griswold
value chains of its retail customers was well-documented said. Without a tool like Supply Chain Strategist, it is
in industry publications. Highly recommended by other difficult to manage that.
retail businesses, i2 was also the solutions provider with
Shaws Supermarkets implementation of i2 solutions has been great. I have been on my own, running
the system full time. I havent had to contact i2 with any technical problems. From a training perspective,
i2 has been excellent.
Jim Holland, Corporate Inventory Manager, Shaws Supermarkets

......................................................................................................................... i2 Success Story #203

In addition to aligning its distribution centers with its Before Supply Chain Strategist, we would do some
stores, Supply Chain Strategist is also enabling Shaws analysis, use some intuition, and hope that it was the
to automate the alignment of its 12,000 dry grocery items best decision to make, Griswold said. The i2 solution
with its distribution centers adding intelligence to provides us with the ability to make more fact-based,
decisions on where items will be stored and who will analytical decisions that we foresee improving our base
deliver them. cost in different areas.

Before i2, the first idea of what to do would come as a With one of its main focal points for improvement
suggestion from somebodys mind within Shaws, said the speed of optimization Shaws Supermarkets has
Jim Holland, Shaws Supermarkets Corporate Inventory experienced even better results than it anticipated.
Manager. We would do an analysis of whether or not Before its implementation, Shaws Supermarkets
the idea was better than something weve done in the expected the optimization process to run for about an
past and go from there. The analysis was done manually, hour. However, Supply Chain Strategist has dramatically
and did not consider multiple solutions at the same time. decreased that time frame.
We can do that with Supply Chain Strategist.
At one point, one hour wasnt a big deal because it
Along with more informed decision-making, Shaws now took us days to do that manually, Griswold said. But
has the ability to utilize what-if scenarios. now, we can literally turn scenarios around in minutes.

Supply Chain Strategist allows us to take scenarios, From a technical standpoint, Shaws Supermarkets is
run them independently, and compare them to each extremely pleased with i2 solutions ease of integration
other, Griswold said. We can come up with the right with its legacy system. In addition, due to the quality of
decision in a matter of hours. In the past, that would its training from i2, Shaws Supermarkets has achieved
have taken weeks. its goal of self-sufficiency.

Shaws Supermarkets Results Shaws Supermarkets implementation of i2 solutions

Although still in the implementation stages, Shaws has been great, Holland said. I have been on my own,
Supermarkets has already realized significant value running the system full time. I havent had to contact
using i2 solutions. i2 with any technical problems. From a training perspec-
tive, i2 has been excellent.
Prior to implementing i2 solutions, Shaws relied heavily
on instinct to guide the business decisions at hand. Using Supply Chain Strategist, Shaws Supermarkets
expects a full return on investment within one year of
its implementation as well as significant dollar savings.

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