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Pyaterochka Completes Pilot Project To Automate Procurement

By Dayeeta Das
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Pyaterochka Completes Pilot Project To Automate Procurement

Russia's X5 Retail Group has announced that it has completed a pilot project that will automate the selection of sugar, salt, and grocery suppliers for Pyaterochka stores.

The pilot project was launched in April of this year to source 20 SKUs for 1,326 Pyaterochka stores in the Volga macro-region.

The SKUs comprised of items like sugar, salt, rice, and other cereals, as well as peas and flaked foods.

The platform used by the retailer relies on big data to automate every step in the procurement process, from inventory planning and ordering to scheduling of deliveries.

The system generates RFPs (Request For Proposal) based on several factors, such as the current commodity exchange price, price history, and seasonality.

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Accurate Inventory Planning

The system enables accurate inventory planning and is capable of monitoring and analysing the entire process, the retailer said.

It is equipped to assess its efficiency and identify areas of improvement while accumulating user expertise to adjust processes when needed, the retailer added

X5 plans to roll out the solution across Pyaterochka's entire network and add more grocery SKUs to the automated procurement process.

The retailer will also introduce pilot projects for automating procurement in other store formats.

© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.

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