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E.W. James Rolling Out Computer-Assisted Ordering

UNION CITY, Tenn. — E.W. James & Sons here is rolling out a computer-assisted ordering (CAO) project at its 18 conventional supermarkets.

UNION CITY, Tenn. — E.W. James & Sons here is rolling out a computer-assisted ordering (CAO) project at its 18 conventional supermarkets. All 18 stores have implemented a perpetual inventory system — using technology from Softechnics, Akron, Ohio — in the dairy, frozen and grocery departments, said Kenneth Pink, president of E.W. James.

Three of the 18 stores have gone live with CAO in dairy departments over the past two months, and the rest will follow suit by the end of June, he said. A single-vendor specialty food section is also using CAO in one store, and the bread section in all stores is next in line for CAO. E.W. James plans to roll out CAO to the grocery and frozen departments before the 2010 holiday season and the bakery, deli and meat sections next year, Pink said. The CAO technology is from Tomax, Salt Lake City.

Already, the CAO system has reduced dairy out-of-stocks in two of the three stores using it by a minimum of 75% and boosted sales by 3%, Pink said, adding, “It’s early in the process, but those are startling results.” It also prevents the other extreme— too much safety stock and potential waste — from taking place, reducing milk quantities in one store from 150 gallons to 60. After the CAO system is fully rolled out, a 15-month ROI is expected.

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