Automation in retail is no longer only innovative; it’s an essential strategy for businesses aiming to thrive in a competitive marketplace. The recent Point B webinar, "Unlocking $4M in Savings: Real-World Lessons in Automation," brought together industry leaders to discuss how automation has become a game-changer for retailers. At the heart of the conversation was SanMar Corporation’s remarkable success story, where automation transformed how they do business, resulting in over $4 million in labor cost savings.
If you’re curious how automation can make such a significant difference, read on for key insights, actionable lessons, and how watching the recording can inspire your own automation strategy.
SanMar’s Journey from Challenges to Transformation
SanMar, a leading supplier of wholesale apparel and accessories, faced a growing challenge in order processing. Their sales teams faced challenges with manual processes that required significant time and resources. For example, it could take up to 10 minutes to manually enter a single sales order, leaving staff scrambling to meet same-day shipping deadlines. The stakes were especially high given SanMar’s commitment to exceptional customer service and fast delivery.
Adding to the challenge, labor shortages made it increasingly difficult to hire and retain staff for repetitive data entry tasks. Seasonal peaks, varied customer ordering methods, and tight shipping cutoffs further amplified the need for a solution that could not only improve efficiency but also enhance accuracy and scalability.
SanMar’s turning point came when they partnered with Point B. Together, we developed and implemented an automation strategy that redefined their order processing system, ultimately revolutionizing operations and delivering measurable results.
From Strategy to Success: How Automation Delivered
The automation solution designed by Point B was far more than a quick fix; it was a carefully thought-out, scalable approach incorporating cutting-edge technologies. Here’s a deeper look at how it worked and the value it created:
- A Data-Driven Approach to Identify Priorities: SanMar and Point B began by analyzing sales orders over a six-week period. This process revealed that the top 30 customers accounted for 37% of total email volume, while the top 85 customers made up 50%. By focusing automation efforts on these key accounts, SanMar could achieve maximum impact in a short timeframe.
- Harnessing Intelligent Automation: The magic behind SanMar’s solution was its use of intelligent automation technologies, such as AI and machine learning. These enabled SanMar to handle unstructured data from customer orders, including PDFs and Excel files with varied formats. Advanced techniques like OCR (optical character recognition) and NLP (natural language processing) ensured that key order details were digitized, validated, and seamlessly transferred into SanMar’s ERP system.
- Enhanced Accuracy and Speed: By automating order processing, SanMar achieved lightning-fast turnaround times. Orders that used to take 10 minutes to enter manually were now processed in seconds, drastically reducing the risk of errors or missed shipping deadlines. This efficiency also allowed the sales team to focus on higher-value tasks, like building stronger customer relationships and providing advisory support.
- Tackling Roadblocks Along the Way: Implementing automation came with opportunities to refine processes and adapt to unique needs. Variability in customer purchase orders required the creation of multiple templates; and data normalization was essential to ensure consistency across systems. Despite these hurdles, Point B’s tailored solution provided the flexibility and scalability needed to overcome such roadblocks, ensuring a seamless transition to an automated environment.
- Measurable Results and Business Impact: Since implementing automation, SanMar has seen a measurable ROI, saving over $4M in labor costs while achieving 99.7% system uptime over 3 years. Performance tracking through integrated tools like Salesforce and Power BI has further enabled SanMar to monitor KPIs in real-time, ensuring continuous improvement.
Broader Implications for Retail
SanMar’s story is a powerful reminder of how automation is reshaping the retail landscape. For businesses still relying on manual processes, this case study underscores the importance of investing in technology to drive efficiency, improve customer satisfaction, and remain competitive in a fast-paced industry.
While SanMar’s focus was on order processing, speakers from Point B highlighted other areas ripe for automation, including inventory management, pricing, forecasting, and even greenhouse gas emissions reporting. By leveraging automation and AI, retailers can streamline operations, reduce human error, and scale effectively even in the face of rapid industry changes.
Actionable Lessons for Businesses
If you’re considering automation for your business, there are concrete steps you can take to get started. Here are the top takeaways from the expert panelists at the webinar:
- Start with an Assessment
Identify inefficiencies in your current business processes and quantify the potential ROI of addressing them through automation. - Prioritize High-Impact Areas
Focus first on processes that are repetitive, error-prone, and resource-intensive. For SanMar, concentrating on their top 30 customers delivered immediate value. - Plan for Scalability
Invest in solutions that can adapt as your business grows. Intelligent automation platforms, for instance, offer flexibility to address both simple and complex workflows. - Collaborate and Communicate
Engage stakeholders from across your organization early in the process to ensure buy-in and smooth implementation. Change management is key to ensuring employees adapt to the new systems. - Monitor and Optimize
Use real-time tracking tools to measure the success of your implementation and continually refine your processes for maximum efficiency.
Watch the Webinar and Get Inspired
If SanMar’s success story has sparked ideas for your own business, why not take the next step and hear the full conversation? The on-demand webinar dives even deeper into the technical details, practical challenges, and expert advice that can help you shape your automation strategy.
Watch the recording today and discover how you can unlock new opportunities, reduce costs, and drive better customer experience through automation.
