Solving the problem of real-time links between retail outlets' point-of-sale
systems and headquarter inventory databases.
Just a few years ago, if someone went into their local Ace Hardware store and
bought a new cordless drill, it would have taken several days before corporate
headquarters was aware of the sale. With 5,100 stores stocking more than 65,000
parts in 50 states and 70 countries, it was hardly a model of modern efficiency.
 While
huge home improvement warehouses were multiplying and making life
difficult for smaller, independent hardware stores, Ace -- the 80-year
old Oak Brook, Illinois-based cooperative of independent stores --
found a competitive edge through technology.
The helpful hardware folks at Ace helped themselves with the implementation
of a more current and robust point-of-sale and inventory management
system. Eagle Vision is the new system that will provide them with
a real-time link from the stores’ point-of-sale system to the inventory
database at headquarters. This was also an opportunity for Ace to
move from their current system, PACE, which was running on UNIX,
to a LINUX operating platform as an interim step to the final goal
of Eagle Vision.
"The Web-based inventory management system
allows dealers to share information while maintaining their
independence," explained Ace Project Manager
Laura Montesantos. The challenge Ace faced was moving stores
from the PACE system to Eagle Vision. In addition to learning
the new system, the migration created a need for new hardware.
 "Stores
using the PACE system have HP UNIX serial servers. They
needed to move to a network system while maintaining some
of their serial equipment. We decided on an intermediate
step, leading to a legacy-friendly gradual changeover.
We needed a terminal server to get onto the network and
maintain the serial equipment, and decided on a Perle
Terminal
Server."
Ace looked at several server vendors before selecting the Perle Terminal
Server. The Perle Terminal
Server delivered an integrated multifunction
solution for serial and parallel networking applications. It would
also cut the cost of ownership and the need for multiple units by
acting as a terminal server, remote access server, and modem pool.
Ace Hardware Corporation sells the terminals to stores,
fully loaded and ready to plug and play. According to Montesantos,
the 24- port Terminal Server was user friendly, cost competitive
and attractive because of Perle’s lifetime warranty. The Perle Terminal
Servers were able to meet Ace’s challenge of running on the network
and working with existing equipment, thereby helping Ace defer the
costs of implementation by having a gradual roll out schedule. The
overall goal is to move the entire company to one streamlined computer
system which involves the system being installed in 3,000 to 4,000
stores.
The technology solution is helping Ace stay competitive
by tracking POS data and wholesale sales information, allowing the
company to react quickly and correctly to consumer buying trends
and patterns. The instant access to individual store information,
along with data integration is delivering greatly improved inventory
management and greater retail cost efficiencies.
The system empowers ACE to view and track retail sales data in real-time
intervals. The legacy system had a weeklong lag time due to the volume
of data that needed to be processed. Ace will now have a corporate-wide
view of their inventory status. The real-time view of POS data also
enables the tracking of advertising programs, along with the immediate
measurement of their effectiveness.
Montesantos says that Ace believes the new solution
will help drive down supply chain costs and increase sales. The new
system is also faster, even on a consumer level reducing check out
times. Ace is more competitive with the big warehouses because the
new system lets Ace analyze at what price any individual product
is most likely to sell for at retail. With this capability, retailers
in the co-op can boost margins and present a more consistent pricing
image to consumers.
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