Zalando and bdg develop a next level merchandise planning solution

The classic Excel-based planning process reached its limits with the steady growth of Zalando, Europe’s largest online fashion platform. Too time-consuming, prone to error and not very homogenous: the purchasing planning was no longer in line with the dynamic business environment and ran the risk of losing sight of important key factors in a too slow planning process. That should change fundamentally with Jedox.

With the introduction of Jedox, a homogenous and highly efficient planning process was to be established for complex pre- and in-season planning. The goal was to integrate data from a wide range of source systems using the Jedox Integrator to merge relevant KPIs from different data sources for a uniform planning process. It should also be possible to provide historical data as a basis for planning to an entirely new extent. The planning process was aimed at a top-down planning of the financial goals in combination with a bottom-up planning on a more detailed level of the product hierarchy. Results of this approach should be to derive qualified guidelines for ranges and to optimise the supply chain and warehousing to eliminate lost sales or reduced profits by closeouts or overstock.

As a CPM & BI solution, Jedox enables the development of an absolutely individual system for planning and reporting, which exactly meets the requirements of the customer with regard to the data to be integrated as well as the desired planning logic and workflows. At the same time, end users can work in the familiar Excel interface or in dynamic online templates. In order to work with Zalando on a BI solution tailored to the company’s needs, bdg pursued an intensive coaching approach. It all began with a clear definition of expectations and planning requirements. Together, relevant KPIs were identified and a planning process was developed, which was subsequently verified and optimised before the technical implementation.

As is typical for an online fashion platform, Zalando collects a variety of data using a variety of tools. From the relevant KPIs and the sketched planning process, a model was developed with which the data from the previous systems should be merged. Subsequently, data integration has been technically implemented on the basis of this model.

Working with Jedox, Zalando pursued a strong self-service BI approach. For this reason, the intensive involvement of the later key users was central during the project. Thanks to training, the company’s project team quickly learned to use the software in an intelligent manner and, with expert advice from bdg, took on the task of developing templates for the planning and development of reports. In order to further simplify planning for individual areas of the company, bdg developed the option of integrating plan values from Excel files into the procurement planning in Jedox via the classic input of planned figures.

Prior to the start of planning, bdg integrated a detailed workflow including a clearly defined role-user concept. This ensured that each planner could only see and customise the areas that were shared with him or her. In addition, approval processes by supervisors and automatic e-mailing of reports in coordination with Zalando were developed.

As a BI solution, Jedox enables the development of an absolutely individual system for planning and reporting, which exactly meets the requirements of the customer with regard to the data to be integrated as well as the desired planning logic and workflows.

Melanie Adler – Zalando SE / Teamlead Assortment Planning & Controlling

The implementation of Jedox has radically reduced planning time and planning effort. In addition, the quality of the planning has been increased. Through the integration of different data sources and the definition of central KPIs, a homogenization of the planning took place, which made it possible to bring together the different brands, product categories and styles that should be planned across departments. Thanks to the pre-filling of the templates with historical data, planning strategies and experiences of previous years became visible and could serve as orientation. Overall, Zalando achieved a detailed, efficient and transparent purchasing plan with Jedox, which provides constant access to all planning indicators.