Open – to – Buy Planning Online Training
Friday – October 12, 2018
10:00 AM – 12:00 PM Eastern Standard Time
3:00 PM – 5:00 PM London (UK)
WHAT IS OTB? –
Inventory purchase budget based on sales plan (Target)- Usually done at the category level, if necessary, you can drill down to sub-
levels even down to SKU level
OTB Formula:
- Desired End of Month (EOM) inventory
- Plus sales and markdowns
- Minus Beginning of the Month (BOM) inventory and on order and receipts
- Equals Open To Buy
Example:
Numerical example of Open to Buy Planning
The component that makes the open to buy calculations difficult is the fact that the end of month and markdown values are based on forecast. A good forecast requires excellent knowledge of the customer, market, store, competition and of course the product.
Benefits of Open –
-
Estimate in advance capital required for inventory - Ensure right inventory levels for planned sales
- Control merchandise commitments
- Establish objectives so that actuals can be compared with
- Provide opportunity for more profit
This webinar will show you the best ways to achieve proper inventory planning.
Register Here!
Open –
Advanced Retail Inventory Planning Skills
October 5, 2018 –
Only $147
