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Blue Yonder > Case Studies > Cultivating Success
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Cultivating Success

Technology Category
  • Functional Applications - Enterprise Resource Planning Systems (ERP)
  • Functional Applications - Inventory Management Systems
  • Functional Applications - Warehouse Management Systems (WMS)
Applicable Industries
  • Consumer Goods
Applicable Functions
  • Logistics & Transportation
  • Sales & Marketing
Use Cases
  • Inventory Management
  • Supply Chain Visibility
Services
  • System Integration
The Challenge
The 1995 merger of Scotts and MiracleGro to create The Scotts Miracle-Gro Company marked a major historical milestone for the company. However, for several years following the merger, the combined company operated with multiple customer invoices, multiple sales forces calling on the same customers, multiple supply chain designs, and multiple technology platforms. These factors resulted in low productivity and hampered customer service, making effective execution of the company’s primary selling season extremely difficult. ScottsMiracle-Gro realized it needed to evolve in order to address these post-merger challenges. In the period from 2000 to 2005, the company launched its “One Face to the Customer” initiative and invested $250 million in additional capacity and other capital programs as well as $100 million in technology system upgrades to support this forward-looking direction.
About The Customer
ScottsMiracle-Gro is a leading company in the lawn care and gardening industry. The company was formed in 1995 through the merger of Scotts and MiracleGro, two leading brands in the industry. The company operates in a highly seasonal business, with a peak selling window of approximately 100 days that can make or break its business. The company's products are weather-dependent, and it works with major retailers such as Lowe's, The Home Depot, and Walmart, which account for a significant portion of its U.S. sales. The company also works with channel accounts, including customers such as Tractor Supply and Ace Hardware.
The Solution
ScottsMiracle-Gro implemented SAP’s enterprise resource planning system, but selected JDA Software’s Category Management and Manufacturing Planning solutions to gain consumer-based replenishment planning capabilities. The decision to employ JDA’s supply chain capabilities instead of leveraging SAP’s APO solution was based on the fact that ScottsMiracle-Gro needed to be connected to the shelf. ScottsMiracle-Gro leverages a wide breadth of JDA solutions across demand and fulfillment, space and category management, supply chain and production planning, collaboration, and transportation and logistics management functions. Since upgrading its infrastructure, ScottsMiracle-Gro has been able to make tremendous strides in its shelf-connected journey and realize impressive operational benefits.
Operational Impact
  • Improved customer service rates from 92 percent to 99 percent.
  • Doubled inventory turns, boosting free cash flow.
  • Gained the ability to conduct proactive planning regarding weather events.
Quantitative Benefit
  • Improved customer service rates by 7%.
  • Doubled inventory turns, leading to increased cash flow.
  • Achieved average annual supply chain savings of 2-3%.

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