9 ways private label executives benefit with brand compliance

Retail

Orla

Manue l

Orla Manuel

How Oracle Retail Brand Compliance can improve efficiency by 76%

2 9 ways private label executives benefit with brand compliance

When evaluating how to grow, promote and protect your private brand portfolio, do you consider a Product Lifecycle Management (PLM) system, a collaborative Specification and Label Management platform, or a Regulatory, Compliance, and Quality Management solution? We suggest the answer is a solution that does all three.

To illustrate, let's compare Orla and Manuel's objectives and technology solutions.

Both Orla and Manuel work for large regional grocery retailer with strong private label portfolios. They both have the same level of complexities within their assortment across all categories and, therefore, similar complexities in supply chain connections as they co-develop with suppliers to manufacture their private label portfolios.

Orla and Manuel have the same objectives and brand promises. Each sees the opportunity to expand and grow their private label portfolios. They know the trend in health, sustainability, and ethics, inspiring consumers, and dominating the media landscape. They also see the need to offer greater transparency and be in a position to respond rapidly to market scares to protect their consumers and avoid legal and financial penalties.

Overview

Orla

Manue l

Orla Manuel

3 9 ways private label executives benefit with brand compliance

Orla's organization has adopted the Oracle Retail Brand Compliance Cloud Service solution, while Manuel's company has not.

Both Orla and Manuel follow the same process for:

• planning their new product developments and their evaluation of existing products

• scheduling and tracking critical path activity

• collaborating with their suppliers to assess conformance, capability, and quality

• following global standards for assessing ethics, sustainability, safety, and labeling claims behind each product and supply chain

• working with their suppliers to produce detailed technical specifications on each product and production site variant, which is used to create labeling and populate online shopping sites and operational systems

Orla and Manuel are both accountable for:

• ensuring the continued quality and conformance of these products and their respective supply chains

• identifying risk, assessing impact, and coordinating corrective action

• their brand growth, brand image, and brand promises

The Solution

An example process flow for a private brand executive.

https://www.oracle.com/industries/retail/products/retail-plm/

4 9 ways private label executives benefit with brand compliance

SHARING THE TRUTH

Orla and her suppliers have access to a single source of the truth, simplifying the process, enabling collaboration, and vastly improving the accuracy and confidence in the company's data. This enables Orla to standardize and roll-out consistency and conformance across her supply chain. In comparison, Manuel uses, on average, 17 separate and disparate databases, tools, and applications that are difficult to maintain, impacting accuracy, efficiency, and visibility.

ACCELERATING SPEED TO MARKET

Orla's single environment for capturing, assessing, and publishing data enables efficiencies to be established across the entire process. Suppliers can be briefed and assessed quickly and diligently, products can be developed and validated in tandem, and communications are automated, tracked, and monitored to all internal and external parties. Labeling is created from a central, trusted source of data. This enables Orla to accelerate speed to market by 25% improving revenue, reducing costs, and improving her competitive position. In comparison, Manuel has no central and collaborative platform; each step is tracked via spreadsheets or project tools, leading to a lack of visibility, inconsistency, duplication, and over 50% more effort.

SIMPLIFYING WITH DILIGENCE

Orla and her suppliers are able to collaborate on the specification build together from one source of entry. This significantly reduces rework through a 'right-first- time' approach by verifying the data as it is entered. This is further supported by tools, calculations, and rules that simplify and automate the communication, process, functions, and validation routines improving efficiency by 76%. In comparison, Manuel continues to collect data utilizing word processing and spreadsheet formats that are passed back and forth with the supplier. This would take Manuel 20 times longer to relaunch this portfolio.

Orla Manuel Orla Manuel

Sources of Data

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80%

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Spreadsheets

Database

Word Processing

Online Tools

Email

Applications

Speed to Market

Spec Process

Orla Manuel

Orla Manuel

Brief

Sample Review

Develop

Specification

Label

4

3

2

1

0

Orla Manuel

Orla Manuel

5 9 ways private label executives benefit with brand compliance

BEING A FIRST RESPONDER

Orla is able to access all product, supplier, and supply chain data at any time. Through the solution's embedded operational reporting tools Orla can quickly assess the risk of any incident (like the horsemeat scandal in 2013) within minutes. This assessment goes through all layers of the material tree, ensuring all risks are identified regardless of how deep the ingredient or supplying site is. All suppliers involved can then quickly be alerted and verified through the solutions built-in incident management process. The results can then be auto transferred to procurement, in-store, warehouse, and consumer care to execute the withdrawal of any products at risk. In comparison, Manuel does not have the data in a central place, leading to a lengthy examination of files and correspondence. Like several UK retailers in 2013, this led to government penalties and warnings. All of these retailers have since adopted the Oracle Retail Brand Compliance solution.

Orla Manuel

Orla Manuel

Investigate

Assess Portfolio

Communication

Corrective Action

Assess Supply Chain

Confidence Levels

Speed of Response

DEVELOPING A TRANSPARENT BRAND

During a pandemic, a single collaborative source of data and tools that validate, verify, automate, and track the current accuracy of product and supply chain information is vital to ensuring continuous supply, agility, and safety. Orla, along with many of the world's leading private own brands, trusts Oracle Retail Brand Compliance to rapidly assess risks within the supply chain, action alternative formulations, and onboard new suppliers while diligently ensuring the label content and conformance is not compromised. On the other hand, Manuel has a range of disparate sources, inconsistent levels of data, and a lack of visibility in tracking the current validity of the information. Manuel is, therefore, reluctant to promote claims, innovate with new trends, and slow to respond to queries and act on the market crisis.

Through the solution's embedded operational reporting tools, Orla can quickly assess the risk of any incident within minutes.

100%

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Orla Manuel

Orla Manuel

Product Data Supply Chain Label Accuracy Conformance Claims Data

Orla

Manue l

https://www.oracle.com/industries/retail/products/retail-plm/

6 9 ways private label executives benefit with brand compliance

FULFILLING YOUR PROMISE

All of the previous solution efficiencies, accuracy, and analytics empower Orla in delivering on her company's brand promises. Orla is able to increase investment in the continued improvement in internal practices, productivity, and quality. The ability to balance innovation and diligence enables new concepts, ranges, and innovative selections to be developed with confidence. Orla is now able to prevent incidents, promote claims, and respond to market dynamics competitively. In comparison, Manuel would need to double the size of his team to compete with Orla today. However, as Orla continues to develop and expand, Manuel's systems and practices will fail to service the ever-growing demand for greater data, transparency, and value.

INSPIRING CHANGE AND SUSTAINABILITY

Orla's company has made strong commitments to reduce its carbon footprint and improve sustainability across its supply chain. By using Oracle's solutions, Orla has been able to collaborate with suppliers on the reduction of plastics using the packaging and recycling specification process. Through the reengineering of formulations using the product, composition features, Orla has improved product shelf life to reduce end of day product wastage. Through partnership and collaboration over the platform with suppliers, farmers, laboratories, and ingredient manufacturers, Orla has also been able to assess and standardize practices to reduce natural emissions, improve sustainability, and find local suppliers and produce. On the flip side, Manuel's solution provides no impressive improvements in sustainability.

RESPONDING TO MARKET CHANGES

During the pandemic many consumers explored private label brands for the first time. More than 61% plan to stick with the new brands or include them in their shopping mix. Today consumers are asking for greater transparency and labeling control, which helps to create brand trust. Orla's ability to rapidly and reliably react to market changes, consumer trends, and the crisis has led to growth in footfall, sales, and loyalty. Although Manuel's private label portfolio continues to grow, the lack of innovation in the assortment is not attracting new consumers. Brand loyalty is low, driven by a lack of trust and Manuel's confidence to promote and respond to product claims.

New to brand

Brand loyalty

Trust Brand promise

Capability

100%

50%

0%

Sustainability Improvements

Consumer Behaviour

Orla Manuel

Orla Manuel

Orla Manuel

Orla Manuel

https://www.oracle.com/industries/retail/grocery.html

7 9 ways private label executives benefit with brand compliance

DRIVING INCREASED REVENUE

Within only six months of utilizing the Oracle solution, Orla was able to see immediate efficiencies in speed to market, data management, supplier administration, and internal approval processes. Orla is able to use these efficiencies to launch a product earlier and increase the volume of new products released within a year — leading to increased revenues. Earlier insight into product success, risks, and the ability to respond rapidly prevents and reduces wasted material, penalties, and rework activity — thus improving margins. Portfolio growth, accuracy, promotion of claims, and the ability to stay aligned with consumer and industry demands increase the overall brand image and equity value. On the other hand, Manuel saw increased costs as demand forced additional overheads to stay competitive. Penalties increased as the systems and practices strain under pressure to find the right balance between growth and safety. Increased negative exposure and slow adoption of consumer trends lead to a reduction in brand loyalty and brand value.

Orla Manuel

Clear Winner These examples illustrate that Orla is able to develop and maintain a transparent brand with Oracle Retail Brand Compliance. The solution enables Orla with true end-to-end lifecycle management of every step, every action, and every phase in the lifecycle that can seamlessly but securely be shared with all connections. By combining PLM, sourcing, compliance, quality, and incident management into a single platform, Orla can best enable her team to succeed.

Annual Financials

Orla Manuel

Revenue Margin Penalties Brand Value

Request a demo to learn more.

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