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Optimizing inventory and store results in big box retail environment

Amine Ayad (Institute for Advanced Studies, Colorado Technical University, Colorado Springs, Colorado, USA)

International Journal of Retail & Distribution Management

ISSN: 0959-0552

Article publication date: 14 March 2008

Abstract

Purpose

This paper seeks to examine key factors within the control of store managers to optimizing inventory and store results.

Design/methodology/approach

This research integrates principles of action research and traditional research in a big box retail environment.

Findings

While this study confirms theories that link inventory to sales, merchandise selection, and technology, it emphasizes the role of people. Furthermore, it proves that different stores within same companies and different departments within same stores deliver different results due, mainly, to human factors – specifically, critical thinking, functional knowledge, and leadership.

Research limitations/implications

This study does not address inventory assortment, space allocation, automatic replenishment, planograms design, technology, logistics, and other factors that may impact inventory but mostly outside the control of big box store managers.

Originality/value

This study proposes practical tools and ideas to optimizing inventory and business results in big‐box stores. It also serves as an example of extracting and verifying retail management theory from practice. As such, it benefits both practitioners and academics.

Keywords

Citation

Ayad, A. (2008), "Optimizing inventory and store results in big box retail environment", International Journal of Retail & Distribution Management, Vol. 36 No. 3, pp. 180-191. https://doi.org/10.1108/09590550810859141

Publisher

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Emerald Group Publishing Limited

Copyright © 2008, Emerald Group Publishing Limited