Work History / Sales years and before
MC SportsA shared stock to sales plan that became common practice
Jimmy built a stock to sales plan with MC Sports, got the retailer to share its numbers on a schedule, and made joint planning the way the account was run.
Operating · 2004 to 2009
| Project type | Joint business planning with a retailer |
|---|---|
| Industry | Sporting goods retail |
| Seat | Regional Sporting Goods Sales Representative |
| Ran through | Nike |
| Dates | November 2004 to November 2009 |
| Location | Detroit, Michigan |
What it is
MC Sports was a sporting goods chain and one of the largest sporting goods accounts in Nike's Central region. His 2007 resume ranks it third among the region's key accounts. In October 2005 it had 75 doors and was opening 8 to 12 a year. Jimmy took the lead seat on the account in November 2004, eight months after he joined Nike.
He described the starting point as a low level of business sophistication and inconsistent bookings, with experienced retailers unwilling to change. A Nike recap of a meeting with MC Sports on October 19, 2005 records that gross margin return on inventory was the scorecard, and that the retailer had made no real commitment to share it on a regular basis.
What Jimmy did
- Obtained year over year retail data from the account in his first year: retail sales, average inventory at cost, turn, gross margin, gross margin return on inventory, receipts and inventory level.
- Worked with a Nike business analyst to build a one-sheet synopsis of how MC Sports and Dunham's were performing, and used it to keep regional management informed.
- Developed a business plan with MC Sports in fiscal 2006, with a weekly and monthly information sharing schedule. Weekly and monthly sales information came from the retailer.
- Built the stock to sales plan and the seasonal assortment plan. His fiscal 2007 review records the stock to sales plan as part of the MC Sports sell-in, the seasonal selling meeting.
- Managed the account's profitability monthly. After reviewing weekly performance reports and sell-through he placed additional orders or submitted cancellations. Closeouts were managed more closely.
- Held to one rule on returns: no return request was submitted without metric driven data.
- Started work in fiscal 2009 on a mutual open to buy plan with the footwear buyer and a Nike planner. Open to buy is the retailer's budget for new purchases.
- Coached teammates on the stock to sales plan, and pressed its adoption among his peers and the retailers.
Results
- Mutual business plans for MC Sports. Large peaks and valleys in futures bookings were eliminated. Futures are orders placed ahead of the season.
- MC Sports fiscal 2009 results: average stock down 1.3%, sales up 1.7%, gross margin dollars up 2.9%, receipts up 2.9%.
- MC Sports 2006 results: sales up 18%, gross margin up 22%.
- Gross margin dollars at MC Sports were forecast to be up 12.7% for fiscal 2006.
- MC Sports Footwear Vendor and Rep of the Year, 2006.
- His 2010 letter describes the plan as built for both accounts. The documents with detail cover MC Sports. His fiscal 2006 review says progress at Dunham's was limited by its inability to provide information.