UPC Analysis

Gain insight into true performance of your items based on effective item labour costs and gross profits generated.

Fresh items produced within the store are critical differentiators in defining a retail brand. They also represent a significant investment in labour costs. Once you understand the real labour costs, you can better gauge each item’s net profit performance and make fact-based decisions about item assortments. Focus your production resources on the items that generate higher profits and less shrink.

Map individual UPCs to the labour standards used to produce that item

An extension of Enterprise Labour Model (ELM), our UPC Analyser uses the same store-specific engineered labour standards in ELM which incorporate all unique store profile elements and store characteristics to create the item-specific labour time per item by store. The result is a precise time per item that can be used to calculate an effective labour cost per item to assess item or program profitability.

Uniquely positioned insight

This level of insight is only possible by leveraging the store-specific standards developed to quantify labour for budgeting, staff planning and scheduling. Other methods such as using department averages to project a labour component cost will not reveal the same opportunities.

Key Benefits

Accurate item labour cost visibility enables you to:
  • Define mapping of UPCs to volume groups and units of measure for the application of appropriate standards
  • Analyse the labour content for any UPC using UPC Analyser
  • Analyse item and program profitability including labour, supply and known shrink costs
  • Improve gross profit
  • Reduce shrink through item rationalisation and program performance reviews
  • Improve capacity for in-store production once store teams are not creating items that do not sell

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