Retail Supplier Evaluation extends Oracle's
merchandising capabilities to add visibility and transparency into
the ethical and environmental practices of all suppliers
AUSTIN,
Texas, June 22, 2022 /PRNewswire/ -- Oracle today
expanded its merchandising procurement capabilities with the
introduction of Oracle Retail Supplier Evaluation Cloud Service.
The new cloud application enables retailers of all kinds to access
and evaluate the governance of suppliers based on their ethical,
environmental, safety, and quality performance practices. By being
able to make more effective, sustainable, and responsible sourcing
decisions as part of the merchandising procurement process,
retailers can better manage risk across their supply chain, protect
their brand image, and more easily identify greener and more
ethical sourcing options.
For example, using its Supplier Evaluation dashboard a fashion
retailer realizes its production of denim is resulting in a high
level of chemical pollution and consuming 10,000 liters of water
per item. By reviewing its suppliers' environmental and ethical
credentials, the retailer can adjust its providers to make more
responsible sourcing decisions that reduce water waste and chemical
pollution.
"Consumers are increasingly prioritizing environmentally
friendly and ethically sourced goods. To continue to succeed,
responsible and sustainable sourcing needs to be at the forefront
of a brands continued innovation efforts," said Mike Webster, senior vice president and general
manager, Oracle Retail. "Oracle Retail Supplier Evaluation will
enable businesses to make effective and responsible decisions
across their supply chain and confidently communicate this supplier
information to their customers, ultimately building brand loyalty
and increasing revenue."
Consumers and shareholders putting
their wallets on sustainable retailers
Shareholder and consumer expectations are putting a new level of
accountability and pressure on executives to bring sustainable
products to market. In fact, nearly 60% of consumers recently said
it's important that retailers' brand values, such as sustainability
and ethically sourced materials, align with their own. McKinsey and
Company estimates that two-thirds of the average company's
environmental, social, and corporate governance (ESG)
footprint lies with suppliers, and those companies with strong ESG
credentials can drive down costs by 5-10%.
Oracle Retail Supplier Evaluation augments the Oracle Retail
Merchandising procurement process by giving buyers additional data
to evaluate existing suppliers or identify new ones. With the cloud
service, retailers can enable vendors to report their compliance
through scored assessments, audits, certifications, and change
management practices. This operationalizes supply chain ESG
performance as part of the standard merchandising procurement
process. With better visibility and insights across the supply
chain, retailers can assess how changes and alterations will impact
their ESG score and enact change management processes to help
ensure smooth integration of new suppliers with limited
disruptions.
Increased visibility and
governance across the supply chain
"Because consumers expect businesses to operate with people and
planet in mind, they expect companies to be transparent related to
the impacts of their businesses," said Jordan Speer, research manager, IDC Retail
Insights. "To earn loyalty, retailers need to operate ethically and
with transparency, pulling back the curtain to allow the consumer
to see how the sausage is made. It requires work to provide that
visibility, but it unlocks a treasure chest of new opportunity that
creates competitive advantage through differentiation. Consumers
will pay for products and services that are produced sustainably.
They will pay to connect with the brands and people involved in
creating and producing their products."
With Supplier Evaluation retailers can help ensure more
sustainable products through:
- Assessments: Users create or utilize pre-defined
assessments to measure a supplier and their supply chain against
various standards, policies, or retailer-defined needs. Suppliers
are invited to complete relevant assessment(s) as a part of their
onboarding, re-evaluation, or new policy workflow process.
- Audits: Retailers can further evaluate a supplier by
scheduling and conducting on-site facility audits and visits,
collaborating on non-conformances, monitoring, workflow corrective
actions, and determining an overall conformance score.
- Governance: Documents can be tracked for readership and
acceptance, and later the adoption of new policies, standards, and
regulations. This centralized location can house policies,
standards, training material, processes, guidelines, and
regulations for employees and external suppliers.
- Changes: The workspace includes news and urgent action
notifications to visibly inform all applicable users of changes,
expectations, and activities.
- Certification: Once vendors are evaluated, users can
register and upload certified evidence, validation, and conformance
that the facilities meet the industry standards, specific
declaration, and or the criteria set by the organization.
- Performance: Retailers can create critical processes to
help ensure that all appropriate steps, activities, and
measurements have been completed during registration,
re-evaluation, new policy roll-out, and ongoing performance.
Performance dashboards enable monitoring each assessment, audit,
certification, and adoption against each supplier, facility, and
supply chain. Scores can then be aggregated by a supplier,
category, standard, and policy.
Oracle Retail Supplier Evaluation will be generally available
July 14, 2022.
About Oracle Retail
Oracle provides retailers with a complete, open, and integrated
suite of best-of-breed business applications, cloud services, and
hardware engineered to work together and empower commerce. Leading
fashion, grocery, and specialty retailers use Oracle solutions to
anticipate market changes, simplify operations and inspire
authentic brand interactions. For more information, visit our
website at www.oracle.com/retail.
About Oracle
Oracle offers integrated suites of applications plus secure,
autonomous infrastructure in the Oracle Cloud. For more information
about Oracle (NYSE: ORCL), please visit us at www.oracle.com.
Trademarks
Oracle, Java, and MySQL are registered trademarks of Oracle
Corporation.
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SOURCE Oracle