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Nearly 40 years supporting retail success and shareholder value Nearly 40 years supporting retail success and shareholder value Nearly 40 years supporting retail success and shareholder value Nearly 40 years supporting retail success and shareholder value
 

Headquarters Effectiveness & Enterprise Cost Reduction

SD Retail deploys multi-disciplined talent to help you forge a more effective, responsive and leaner organization. Enhanced performance at headquarters will provide the foundation for profound improvements in performance throughout your retail organization. SD Retail consultants are skilled in analyzing current headquarters and support practices based upon industry standards, corporate results, unique business needs and economic metrics.

Typical results include:

  • Reduced headcount and payroll expense by 10 – 30% across various headquarters departments
  • Consolidated regional offices and distribution facilities driving cost savings and improved performance
  • Increased productivity by 10 – 25%
  • Developed highly effective loss prevention function and staff field organization
  • Reduced shrink by 15 – 30%
  • Improved financial productivity of your real estate investments
  • Market-making for divestitures and assistance in strategic acquisitions
     

Our depth of retail experience and holistic view of the departmental interdependencies that drive retail success ensure that we consider and recognize the impact of any changes on the broader organization and, most importantly, on your customers. SD Retail works with a cross functional team of leaders from your organization to jointly identify and realize improvements in merchandising, marketing, HR, distribution/ logistics, finance and administration. Our teams design and implement practical cost reduction solutions that improve performance and tighten the linkage between decision-makers and customer. Our core strengths include:

  • Strategy & Operations Consulting (merchandising, supply chain, stores and headquarters/store support)
  • Dedicated Full Time Retail Asset Protection Group
  • Real Estate (R/E Strategy, Sale-Leaseback, Portfolio Management)
  • Asset monetization of Merchandise and FFE
  • M&A Support, Corporate and Mezzanine Finance Strategy & Support

We use an experiential-based methodology (vs process-oriented) designed to uncover opportunities, drive fact-based recommendations and forge action plans to position you for rapid implementation with less reliance on outside resources over the long-term.

Recent Successes:

  • SD Retail partnered with the executive team of a top 20 US big box retailer to identify over $30 million dollars in annualized, recurring expense reduction and productivity improvement opportunities in the corporate headquarters. The changes provided critical savings while improving service levels to the stores and customers. Initial savings were realized within 30 days of the engagement, providing immediate impact to the enterprise and shareholders.
  • A $5 billion athletic apparel and footwear retailer with stores in US, Canada, Europe, Asia had high corporate infrastructure costs due to recent divestiture of several divisions. Management needed to reduce costs and headcount in corporate support areas and establish baseline labor requirements in key office functions. SD Retail worked with management to reduce headcount in targeted departments by 10 -40%, improved service levels in store focused departments, and enhance communications and improve data turnaround across departments.
  • A $300 million athletic/casual footwear and apparel catalog and internet retailer was evolving into a multi-channel integrated organization to enhance services to brick and mortar operations. The goal to double revenue over the next 2-3 years drove the need to create efficient infrastructure and processes to facilitate continued growth, reduce costs and headcount in corporate support areas, establish baseline labor requirements in key office functions and continually review business processes. SD retail achieved the following results: reduced headcount in certain manually intensive departments by 20 to 40%, successfully identified significant non-payroll expense reductions, and documented short term technology opportunities to streamline processes and support considerable growth.
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