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HEMA selects JDA

Leading European retailer selects JDA for a supply chain transformation fueled by Blue Yonder-enabled AI/ML technologies.

  • 2 years ago Posted in
HEMA has selected JDA Luminate Demand Edge and JDA Fulfillment to transform its retail supply chain. A leading European retailer with more than 750 stores in 10 countries, HEMA will rely on JDA solutions, fueled by Blue Yonder’s artificial intelligence (AI) and machine learning (ML) capabilities, to deliver an enhanced customer experience and company profitability.

Carsten Klomp, CIO HEMA: “We are very driven to grow from a retailer to a global brand. A modern IT-landscape will facilitate this growth where agility, cost awareness and time to market are key. JDA fits our microservices approach and is a key component in our digital supply chain transformation. This will enable us to continue building a much more data-driven business. We see great opportunities in the use of machine learning to improve overall quality and empower our colleagues and stores. Together we will shape HEMA’s digital future as a critical enabler in our journey.”

Faced with a rapidly changing retail environment and a desire to expand its omni-channel and wholesale business – as well as grow its already strong brick-and-mortar presence – HEMA sought cutting-edge technologies to evolve its supply chain. As a longtime customer of JDA’s Category Management and Workforce Management solutions, HEMA had first-hand knowledge of JDA’s leadership position in the retail supply chain. The game-changer for them was JDA’s August 2018 acquisition of Blue Yonder, enabling the integration of proven AI/ML capabilities with the market-leading fulfillment solution, which supports the step-change HEMA desired.

“We underwent a highly competitive, in-depth evaluation of industry technology providers. We were impressed by JDA’s fulfillment solution, combined with the automated forecasting capabilities fueled by Blue Yonder’s AI/ML. The forecast accuracy demonstrated by the JDA solution was highest and exceeded our expectations,” said Jan Daan van Erven Dorens, Manager Supply Chain Development HEMA. “JDA’s vision, solutions and team are a perfect fit for our supply chain transformation journey, as we accelerate our vision to become a global brand.”

JDA Luminate Demand Edge is a cognitive SaaS solution that leverages machine-learning algorithms to develop highly accurate, probabilistic demand forecasts. This will enable HEMA to make more informed, risk-aware business decisions profitably. JDA Fulfillment will help HEMA protect margins by positioning the right inventory in the right DCs and stores at the right time. Using real-world demand signals, it helps create optimal, time-phased inventory and distribution plans. This will increase product availability and reduce inventory throughout HEMA’s supply chain in support of the company’s global sustainability goals.

Additionally, JDA solutions will help HEMA:

  • Fully automate forecasts that self-adjust and learn, considering 200+ influencing factors such as weather, promotions, holidays, day of week/month/year, etc. into demand decisions
  • Calculate a probabilistic demand forecast with a calculated business impact and risk
  • Connect customer demand with supply, improve the initial buying process and improve vendor collaboration
  • Generate orders that maximize customer service with minimal inventory, landed cost and order management effort
  • Provide supply chain visibility with accurate projections of inventory, purchases, warehouse flow and transportation needs

“Retailers are under tremendous pressure to profitably deliver optimal experiences to their customers. This requires data-driven decision-making and the HEMA team understands this.” said Johan Reventberg, president, EMEA, JDA. “JDA brings the right combination of AI/ML capabilities, industry-rich human experience and cutting-edge technology to help HEMA reach its ambitious retail moonshot. We are excited to accompany them on the journey.”

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