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Ninety New E3 Sales Signed in the Last 24 Months Proving Market Leadership and Unmatched Results
Scottsdale, Ariz. - February 13, 2008 - JDA® Software Group, Inc. (NASDAQ: JDAS) today announced that its market-leading Replenishment and Allocation solution suite by E3® continues to lead the industry in replenishment and allocation optimization with significant new innovations for managing a comprehensive and synchronized view of demand and managing global sourcing programs. Ninety companies have licensed JDA Software's E3 solutions in the last 24 months, underscoring the fact that JDA delivers unmatched results and unparallel value to its customers. In addition, new innovation to the solution suite is underway, building upon its advanced capabilities and previous enhancements to enable customers to achieve success through increased margins, reduced inventory levels and quick recovery of lost sales. Examples of current JDA E3 customers include BJ's Wholesale Club, Almacenes Exito, Associated Food Stores, Shoppers' Stop, Conforama and Northern Tool + Equipment.
JDA Expands Demand Management Capabilities in 2007; Break-through Slow Mover Forecasting Technique Slated for 2008
In July 2007, JDA announced inherent integration with JDA® Demand that provides JDA E3 users with world-class forecasting capabilities leveraged from JDA's acquisition of Manugistics in July 2006. JDA Software's E3 customers will benefit from new capabilities that complement their E3 solutions, such as the availability of new forecasting algorithms, advanced promotional forecasting and event planning, aggregate forecast functionality above the item/location level with top-down, bottom-up forecast reconciliation, as well as advanced demand decomposition capabilities.
JDA plans to roll out a breakthrough forecasting algorithm to address slow/erratic items this quarter for the JDA E3 replenishment suite. JDA Chief Science Advisor, Dr. Stephen Graves, professor at MIT, provided key guidance in JDA's creation of this cutting-edge algorithm that fills a critical need for retailers, wholesalers and manufacturers that need to improve forecast accuracy of products with slow or intermittent demand patterns.
"The new algorithm combines the strengths of the adaptive exponential smoothing, Crostons and Holt-Winters algorithms to deliver a more robust technique for managing slow, intermittent demand items that may also be subject to seasonality," said Dr. Graves. "One of the key benefits of the new technique will be the virtual elimination of a large number of insignificant exceptions generated by slow movers."
New Capabilities for Managing Global Sourcing Programs and Flexible Flow Methods Delivered in 2007
Within the last year, JDA launched significant new capabilities for the E3 solution suite, including JDA® Multi-tier, a solution designed to address global sourcing and distribution in a multi-echelon distribution network. Companies rapidly expanding their import business are challenged with creating optimal purchasing, developing inventory safety stock strategies and defining inventory flow plans.
Designed specifically for Advanced Warehouse Replenishment by E3®, JDA Multi-Tier enables companies to gain more value from their JDA investment by taking advantage of better pricing and freight efficiencies through order consolidations. This results in reduced total freight costs through optimized inbound loads and outbound vendor-product consolidation, ultimately leading to lower net-landed costs and increased margins. In addition, service and user productivity levels are increased by maintaining accurate inventory levels of the appropriate product mix throughout the supply chain.
Thriving Global E3 User Community Continues to Achieve Real Results
Advanced Warehouse Replenishment is part of the JDA Allocation and Replenishment suite of solutions by E3 that provide an integrated forecasting, inventory optimization and order optimization solution for single-tiered or multi-tiered distribution networks.
"JDA's leading Allocation and Replenishment solutions provide a fast return on investment - for most of our customers this equates to a rapid reduction in inventory levels, from 25 to 40 percent, and increases in gross margins at a rate of 0.5 to 1 percent. We are truly enabling our customers to drive out cost, increase sales, improve margins and raise customer satisfaction - essential elements required to gain that competitive edge. In addition, JDA has a dedicated development and support organization to deliver continuous innovation and quality," said David Johnston, JDA senior vice president of manufacturing and wholesale distribution.
Additional solutions in the JDA Allocation and Replenishment suite include Advanced Store Replenishment by E3®, Vendor Managed Replenishment by E3®, JDA® Seasonal Profiling, Vendor Managed Replenishment by E3®, Network Optimization by E3® and JDA® Marketplace Replenish.
For Northern Tool + Equipment, providing 16,000-plus active SKUs through its catalog, website and over 61 stores to customers across the U.S., Canada and the U.K. requires that the right items are delivered to the right channel for the right customers.
"JDA's Advanced Replenishment solutions have enabled us to balance the right levels in inventory in our DCs and stores to ensure high service levels for all three channels, including our stores, Web site and catalogue business. We have lowered our inventory carrying costs while at the same time increased turns. JDA's solutions have been a huge benefit for us," said Todd R. Wermerson, vice president of information technology at Northern Tool + Equipment.
As the second-largest home appliances and furnishings retailer worldwide, Paris-based Conforama provides a one-stop discount shopping solution for a full range of products for the home. Conforama sells more than 20,000 products in 246 stores located in eight countries. To develop a more centralized, global view of replenishment and support Conforama's significant European expansion, the company turned to JDA's Advanced Warehouse Replenishment and Advanced Store Replenishment solutions.
"JDA is a major part of our global replenishment transformation. Advanced Warehouse Replenishment and Advanced Store Replenishment have enabled us to establish a centralized system that provides robust support to the regions and vastly improves customer service at our stores. With JDA, we've been able to meet our sales objectives by improving stock levels, localizing our product assortment, and efficiently and economically replenishing our locations more frequently," said Thierry Dujardin, Conforama's replenishment director.
About JDA Software Group, Inc.
JDA® Software Group, Inc. (NASDAQ: JDAS) is focused on helping companies realize real supply chain and revenue management results - fast. JDA Software delivers integrated merchandising as well as supply chain and revenue management planning, execution, and optimization solutions for the consumer-driven supply chain and services industries. Through its industry leading solutions, leading manufacturers, distributors, retailers and services companies around the world are growing their businesses with greater predictability and more profitably. For more information on JDA Software, visit www.jda.com or contact us at firstname.lastname@example.org or call +1.800.479.7382.
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JDA Software Group, Inc.
14400 N. 87th ST
Scottsdale, AZ 85260