Which stock-outs are avoidable? How much over-supply is acceptable? We developed the Cash Gap Audit as an Add-In to Excel to show you the facts.
Detect Free Cash Potential. Do the Audit*
*Free on request during the Beta-phase. Until the end of 2024, your data will be loaded using our standard template and results will be sent via mail. We will release the first downloadable version of the Add-In early 2025.
In supply chains to retail, two things can go wrong operationally:
It fails to meet demand, wasting money, space and time (not least the consumer's). This is the Throughput Cash Gap (TCG), or the cash lost when a product is out of stock. When an item is unavailable for several days, the retailer loses the cash margin equal to the average daily sales of that item by the number of days it’s out of stock.
It holds too much inventory, tying up money, space and time (mostly yours). This is the Inventory Cash Gap (ICG), or the cash tied up in inventory that could be used for more productive investments. It is equal to the excess inventory multiplied by the number of days it is considered excess (above a buffer for uncertainty).
Together, they generate the Cash Gap.
At Retail Twin Labs, we help you to close the Cash Gap, and increase your sales and turns.
Take Action Today
Ready to optimise your supply chain and unlock hidden cash flow?
Download the CGA data template to learn that automating data-driven, operational decisions can be a strategic lever to improve your retail operations. Populate with your data and send to hello@retailtwin.com
Schedule a Free Consultation to understand how you can use the insights from the Cash Gap Audit for your business.
Key Features of the Cash Gap Audit (CGA) Include
- Optimise Your Supply Chain Configuration, including lead times, order frequencies, batch requirements (packs sizes) or minimum order quantities.
- Model Responsive Ordering: Quantify the potential of using a responsive rule (Dynamic Buffer Management | Theory Of Constraints).
- Reveal Cash To Be Freed: Understand how the right data-driven decisions will improve cash flow and reduce excess stocks.
- Simple, Actionable Insights: A user-friendly, 'show me the money' tool designed to help businesses leverage their supply chains.
Download the Cash Gap Analysis (CGA) Template
Click the button below to download the template.
What you will learn
You will see which over-stocks and shortages are avoidable, and how much cash you can free.
What to do
Download the template, fill in your data and mail it to hello@retailtwin.com. You will receive the results via mail within five working days.
What to expect
Example of the Excel Add-In results:
Still unsure? Feel free to reach out via hello@retailtwin.com, or just Schedule a Free Consultation with me. I will happily explain the process and how you can use the insights to improve your product flows to retail.