Overstock inventory management system

In some embodiments, methods and systems of managing overstock products at a retail sales facility include scanning a product at a stock room location of the retail sales facility using a hand-held electronic device including a processor. At least two of three functions are performed based on the scanning. First, the product may be audited by comparing data obtained by scanning the product to data contained in an inventory management database. Second, a determination of whether the scanned item is on a pick list may be made, which may include determining a demand for the scanned product to arrive at a decision whether to store the product in the stock room or place it on a shelf on the sales floor. Third, if the item is to be stored in the stock room, a determination of whether identical items are stored in bins in the stock room may be made.

TECHNICAL FIELD

This invention relates generally to managing inventory at retail locations and, in particular, to systems and methods for sorting overstock items at retail locations.

BACKGROUND

Retail locations typically employ multiple inventory management associates that perform different tasks related to inventory management and stocking. One associate may unload/remove items from a truck that delivers the items and place the unloaded items into stocking carts. Another associate may be responsible for taking the stocking cart to the sales floor and placing the items onto the shelves on the sales floor. Yet another associate may be responsible for taking the items remaining on the stocking cart and sorting the “overstock” items into one or more storage bins in the stock room. Still another associate may be responsible for determining whether there is a need for more items on the shelves on the sales floor and retrieving the “overstock” items from the stock room and delivering the items from the stock room to the display shelf on the sales floor.

One disadvantage of using several inventory management associates to independently perform separate stocking tasks as described above is decreased inventory management efficiency. For example, the associate binning the “overstock” items in the stock room typically does not go onto the sales floor to check available space for the item on a shelf on the sales floor, and thus does not know if the items being binned in the stock room can be instead displayed on the shelf on the sales floor. This may lead to undesired situations where the shelves on the sales floor are not fully stocked with items while a number of such items that could be displayed on the shelves and displayed to the consumers are stored in bins in the stock room.

Another disadvantage of known inventory management systems is that the associate binning an “overstock” item in the stock room typically does not know that identical items are already stored in bins in the stock room. This may lead to an undesired situation, where identical items are stored in different locations in the stock room, leading to inefficiency in retrieving such items, since an inventory management associate is often forced to search for multiple identical items in different bins located in separate locations of the stock room.

DETAILED DESCRIPTION

Generally speaking, the present application describes systems and methods for managing overstock product inventory at retail sales facilities. In some embodiments, systems and methods described herein can determine whether an “overstock” item, which may be located on a stocking cart anywhere at a retail sales facility, in a sorting area of a stock room of the retail sales facility, in a product unloading area of the retail sales facility, or any other location where “overstock” products (e.g., overstock from the sales floor, product returns, or new shipments received from deliveries) may be temporarily stored prior to being sorted for placement into storage bins in the stock room or onto shelves on the sales floor, that is scanned by an inventory management or stocking associate can fit on a shelf on the sales floor of the retail sales facility, and alerts a stock room inventory management associate (or a sales floor associate, or a returns cashier, or the like) to “pick” the item from the stocking bin (or from a suitable location on the sales floor, or from a returns bin) and place the item on a “to-be-stocked” cart for delivery to a shelf on the sales floor instead of stocking the item in a storage bin in a stock room of the retail sales facility. If space on a shelf on the sales floor is not available for the scanned item, the system can determine whether the scanned item is to be placed into a storage bin in a stock room or another bin (e.g., promotion bin or future display bin), and if the system determines that the scanned item is to be placed into a storage bin in a stock room, the system can determine which storage bin in the stock room stores identical items such that the stocking associate can place the scanned item into a storage bin in the stock room that contains identical items for efficient future retrieval of such items from one bin instead of having to look for the items in multiple bins.

Referring toFIG. 1, one embodiment of a system10for evaluating and managing an inventory of consumer products at a physical retail location or retail sales facility12is shown. The retail sales facility may be any place of business such as a store or warehouse where consumer products are stocked and/or sold. The exemplary system10includes a mobile scanning device or scanner20configured to scan items90located in stocking bins80at the retail sales facility12.

The illustrated system10also includes a local (on-site) server40in two-way communication with the mobile scanning device20via a connection60, and a remote (central) server50in two-way communication with the local server40via a connection70. The connections60and70may be wired or wireless connections. It will be appreciated that optionally, the mobile scanning device20may be in two-way communication with the central server50over a wireless connection. It will also be appreciated that the local server40and the central server50do not have to communicate to each other directly, but may communicate to each other via an intermediate server or other device.

The mobile scanning device or scanner20may be a hand-held retail scanner or another hand-held electronic device, for example, a mobile phone, that is configured to scan retail items. The mobile scanner20may have a control unit22including a processor (for example, a microprocessor or a microcontroller) electrically coupled via a connection23to a memory24and via a connection25to a power supply26. The control unit22may be incorporated into a physical structure of the hand-held mobile scanner20or may be located at the local server40, central server50, or any other device in communication with the mobile scanner20.

The control unit22may also be electrically coupled via a connection27to a sensor such as a reader28configured to detect and/or read information on an identifying label or indicator92located on the packaging of a retail item90when the mobile scanner20is placed in direct proximity to the retail item90. The reader28may be a radio frequency identification (RFID) reader, an optical reader, a barcode reader, or the like. It will be appreciated that the reader28may be incorporated into a physical structure of the hand-held device20or may be a stand-alone device in communication with the hand held device20.

As can be seen inFIG. 1, the mobile scanner20may scan an identifying indicator92on a product90located in a stocking bin80at the retail sales facility12. It will be appreciated that the mobile scanner20may likewise be used to scan an identifying indicator92on a product90that is located on a stocking cart anywhere at the retail sales facility12, in a sorting area of a stock room of the retail sales facility12, in a product unloading area of the retail sales facility12, or any other location where “overstock” products (e.g., overstock from the sales floor, product returns, or new shipments received from deliveries) may be temporarily stored prior to being sorted for placement into storage bins in the stock room or onto shelves on the sales floor. The product identifying indicator92may be a label, tag, or the like including a barcode, radio frequency identification (RFID), or the like that permit a user (e.g., stock room associate) to scan the item90with the mobile scanner20at the retail sales facility12by communicating via a communication pathway94(e.g., radio waves) with the barcode or RFID92of the item90to obtain identifying information regarding the scanned item90.

As shown inFIG. 2, the control unit22of the mobile scanner20is electrically coupled via a connection29to an input/output30that can receive signals (e.g., commands, inventory database information) from the local (on-site) server40or from any other source, for example, the central station or server50located remotely to the retail sales facility12that can communicate with the mobile scanner20, for example, via a wireless connection. The input/output30of the mobile scanner20can also send signals (e.g., item scan information including information identifying a scanned item) to various devices in communication with the mobile scanner20, for example, the local server40, the remote server50, or any other device in wired or wireless communication with the mobile scanner20.

In the embodiment shown inFIG. 2, the control unit22of the mobile scanner20is electrically coupled via a connection31to a user interface32, which may include a visual display or display screen34(e.g., LED screen) and/or button input36that provide the user interface32with the ability to permit a user such as a stock room, binning, or another inventory management associate to manually control the mobile scanner20by inputting commands for the mobile scanner20to execute, for example, via touch-screen and/or button operation or voice commands. The display screen34can also permit the user to see various menus, options, and/or alerts displayed by the mobile scanner20. The user interface32of the mobile scanner20may also include a speaker38that may provide audible feedback (e.g., alerts) to the user.

With reference toFIGS. 1-3, one method100of operation of the system10to evaluate/manage products90at a retail sales facility12will now be described. For exemplary purposes, the method is described in the context of the system ofFIG. 1, but it is understood that embodiments of the method may be implemented in this or other systems. Generally, as shown inFIG. 3, the method100includes scanning at least one product90at a stockroom location of the retail sales facility12using the hand-held electronic device20including a processor (step110). As depicted in step120, the method100includes performing at least two of the following functions based at least on the scanning of the at least one product90: (1) auditing the at least one product90by comparing data obtained by the scanning of the at least one product90to data contained in an inventory management database42(step130); (2) determining if the at least one product90is on a pick list (step140); and (3) determining a bin location to store the at least one product90(step150). These steps are described in more detail below.

In one embodiment, when an item90in the stocking bin80(located in the stock room or any other location at the retail sales facility12) is scanned using the mobile scanner20, the processor of the control unit22of the mobile scanner20may be programmed to cause the mobile scanner20to communicate with the local server40by sending an appropriate query or signal via the input/output30and through the connection60to the local server40. The signal or query sent from the mobile scanner20to the local server40may include data representing information that identifies the scanned item90and obtained by scanning the identifying indicator92of the item90via the reader28of the mobile scanner20. In response, the local server40may send, via a connection60, a signal to the mobile scanner20including information related to a demand for the scanned item90. The information regarding the demand for the scanned item90may be stored in an inventory management database42on the local server40, in a central database52on the central server50, or on any other server or device configured for communication with the mobile scanner20.

Generally, the inventory management database42may include data related to demand for the item90such as the total units sold of the item90at the retail sales facility12on any given day or per hour, for example. In one embodiment, the inventory management database42is configured to keep a running demand for the items90at the retail sales facility12since delivery of the products90to the retail sales facility12or a time when a decision is made that the items90represent “overstock” until a time when the product90is scanned. For example, when a stocking associate scans an item90in a stocking bin80using the mobile scanner20, the reader28of the mobile scanner20reads the identifying indicator92of the item90and identifies the scanned item90based on logic programmed within the mobile scanner20(or based on a communication with the local server40for access to information in the inventory management database42). Upon identification of the scanned item90, the processor of the control unit22of the mobile scanner20can determine space availability for that item90on a shelf82on the sales floor at the retail sales facility12by analyzing and/or calculating a demand for the product90at the retail sales facility12within a predetermined time interval. For example, the processor of the control unit22of the mobile scanner20can be programmed to determine whether space is presently available for the scanned item90on a shelf82on the sales floor by analyzing and/or calculating a consumer demand (e.g., units sold) for the item90from a time when the item90was delivered to the retail sales facility12(e.g., on a preceding day or the present day) and/or from a predetermined time of day when the item90was designated as being “overstock” (e.g., after delivery of the item to the retail sales facility12and prior to closing of the retail sales facility12on the preceding day) to a time of the scanning of the item90via the mobile scanner20. Systems and methods relating to determining a consumer demand for scanned items and stocking decisions for the scanned items based on such determinations are described in more detail in related application entitled “CONSUMER-DEMAND BASED INVENTORY MANAGEMENT SYSTEM,” Ser. No. 62/147,221, filed on Apr. 14, 2015, incorporated by reference herein in its entirety.

In response to a determination by the processor of the control unit22that space for the scanned item90is presently available on the shelf82on the sales floor of the retail sales facility12, the processor of the control unit22may be programmed to send a signal to the speaker38of the mobile scanner20to cause the speaker38to generate an audible alert to inform the user (e.g., stock room associate) that space is available on a shelf82on the sales floor (or that items identical to the scanned item90are already stored in stock room bins). It will be appreciated that instead of an audible alert such as a “beep” (or spoken words such as “Pick” or “In Another Bin” or the like) via the speaker38, the processor of the control unit22may be programmed to send a signal to the visual display34of the mobile scanner20to cause the visual display34to visually indicate to the user that space on a shelf82on the sales floor of the retail sales facility12is presently available for the scanned product90. Such an audible or visual alert to the stocking associate regarding available space on the shelf82on the sales floor would indicate to the associate that the scanned item90is to be taken out (i.e., “picked”) from the stocking bin80and placed on the shelf82on the sales floor of the retail sales facility12instead of being placed in a storage bin in the stock room at the retail sales facility12.

In one embodiment, when a mobile scanner20generates a visual (e.g., via the display34) or audible (e.g., via the speaker38) alert to the stocking associate to inform the associate that the item90may be stocked on the shelf82on the sales floor instead of the stock room, the mobile scanner20presents the associate with an option to acknowledge the alert, for example, by pressing on the display screen34or on one of the inputs36of the mobile scanner20. When the stocking associate acknowledges the audible or visual alert, the processor of the control unit22of the mobile scanner20is programmed to designate the scanned product90as being “picked,” i.e., removed from being listed as located in the stocking bin80of the retail sales facility12. In such a case, the processor of the control unit22may be programmed to send a signal via the input/output30of the mobile scanner20to the local server40to indicate that the scanned item90as being “picked” from the stocking bin80such that the inventory management database42(which, as discussed above, may be stored on the local server40or on the central server50) may be updated accordingly.

In other words, if upon scanning an item90in the stocking bin80by the mobile scanner20, the processor of the control unit22of the mobile scanner20determines that the shelf82on the sales floor of the retail sales facility12presently has available space for the scanned product90, the control unit22can send a signal to the inventory management database42to remove the scanned item90from being listed as being located in the bin80and to indicate that the scanned item90is to be placed on a “pick” cart that goes to the sales floor of the retail sales facility12where an associate can place the scanned item90onto the sales floor shelf82.

The inventory management database42may receive signals and data from the mobile scanner20and/or the central server50and may store and update information regarding, for example, the total inventory of units of the item90at the retail sales facility12, total number of units of the item90in storage bins and/or stocking bins80in the stock room, and/or the shelf82on the sales floor, and/or any other location at the retail sales facility12. As such, the scanning of an item90in a stocking bin80by the mobile scanner20and the associated update of the inventory management database42regarding the location of the item90effectively provides an audit of the items90located in the stocking bin80such that an associate scanning the item90in the future would know whether the item90is located in its proper location or misplaced.

In one embodiment, the processor of the control unit22of the mobile scanner20may be programmed to create a log entry in response to a generation of each alert to the inventory management associate, and store this log entry in the memory24of the mobile scanner20. Alternatively, the processor of the control unit22may be programmed to cause the input/output30of the mobile scanner20to send a signal including such log entry information to the local server40and/or the central server50for storage. If the inventory management associate does not acknowledge the alert generated by the mobile scanner20, or does not pick the scanned item90from the stocking bin80and does not enter information into the system10(via the mobile scanner20) indicating that the scanned item90is picked from the stocking bin80, the processor of the control unit22of the mobile scanner20is programmed to log the associate's lack of acknowledgment or failure to pick the item from the stocking bin80, thereby generating log data indicating that the inventory management associate did not properly respond to the alert. Systems and methods relating to logging an inventory management associate's actions in response to the alert, creating reports and metrics for monitoring quality of stocking by associates at the retail sales facility12, adjusting demand for the scanned item90in real-time based on the associate's response (or lack of response) to the alert, and updating the inventory management database42to reflect the location of the scanned item90based on the associate's response (or lack of response) to the alert are described in more detail in related application “CONSUMER-DEMAND BASED INVENTORY MANAGEMENT SYSTEM,” Ser. No. 62/147,221, filed on Apr. 14, 2015, incorporated by reference herein in its entirety.

In one approach, if in response to a scan of an item90in the stocking bin80by an inventory management associate using the mobile scanner20, the processor of the control unit22of the mobile scanner20determines (or receives a signal) that no shelf space on the sales floor of the retail sales facility12is presently available for the scanned item90, the mobile scanner20may obtain information regarding specific locations (e.g., bins) in the stock room where such items90may be already stored. For example, upon a determination (at the mobile scanner20, local server40, or the central server50) that no space for the scanned item90is presently available on the shelf82at the retail sales facility12, the processor of the control unit22can be programmed to send a signal via the input/output30of the mobile scanner20to the local server40(or to the central server50) and in response, receive information (e.g., from the inventory management database42) indicating whether at least one item90identical to the scanned item90is stored in a storage bin of the stock room at the retail sales facility12.

More specifically, upon receiving information regarding the location (i.e., identification of the specific bin) of the item90in the stock room of the retail sales facility12from the local server40(or the central server50), the display34of the mobile scanner20may visually display the stock room location of the storage bin (e.g., the number of the storage bin or the letter and/or number of the shelf where the storage bin is located) where one or more products that are identical to the scanned product90are located. This advantageously permits the stocking associate to group identical items90in the same storage bin in the stock room instead of storing identical items90in different bins all over the stock room. Such grouping of identical items in the same bins improves the efficiency of subsequent retrieval of the items90from the stock room, since an inventory management associate does not have to go to multiple bins to retrieve identical items, but is provided with an opportunity to retrieve all of the necessary items90from one bin.

An exemplary method200of managing and stocking of products at the retail sales facility12will now be described with reference toFIGS. 1 and 4. When a stocking associate audits a location that may include items90to be binned such as a stocking bin80, a stocking cart, or another location containing overstock items90(e.g., by scanning an item90using the mobile scanner20) as shown in step205, the mobile scanner20can be configured to send a signal (e.g., a query) to the local server40(e.g., the inventory management database42) and inform the associate whether the scanned item90is on a pick list (step210). Upon a determination by the system10that the scanned item90is on a pick list, the mobile scanner20displays this information to the associate and the associate may then pick the scanned item90from the stocking bin80(step215). As the associate picks the scanned item90from the stocking bin80, the associate may input information (e.g., via the display34or the inputs36) into the mobile scanner20indicating that the item90was picked from the stocking bin80and placed on a pick cart (for delivery to the shelf82on the sales floor), and the inventory management database42is updated to indicate that the item has been picked from the stocking bin80(step220).

If the item is not on a pick list, the system10can run logic to analyze whether space is available for the scanned item90on the shelf82on the sales floor, and determine whether the scanned item90should be picked from the stocking bin80and placed into a storage bin in the stock room or on a pick cart for delivery to the sales floor (step225). If a determination is made by the system10that space is available for the scanned item90on the shelf82on the sales floor, then the associate may pick the scanned item90from the stocking bin80(step230) and input information into the mobile scanner20indicating that the item90has been picked from the stocking bin80and placed on a pick cart (for delivery to the shelf82on the sales floor). The inventory management database42may then be updated to indicate that the item has been picked (step235). Conversely, if a determination is made that space is not available for the scanned item90on the shelf82on the sales floor, then the system10may inform the associate that the scanned item90is already stored in a bin in the stock room and the mobile scanner20can display to the associate that items identical to the scanned item90are present in a storage bin in the stock room (step240).

If the mobile scanner20informs the associate that items identical to the scanned item90are already present in one or more storage bins in the stock room, the mobile scanner20can then display the locations of such storage bins in the stock room to the associate (step245). The associate may then pick the scanned item90from the stocking bin80, place the scanned item90into the indicated bin location (or place the scanned item90into a consolidation bin for later placement into the indicated bin location) (step250), and input information into the mobile scanner20indicating that the item90has been picked from the stocking bin80and placed into that bin location, and the inventory management database42is updated to indicate that the scanned item90has been binned and the location of the bin (step255).

If the mobile scanner20informs the associate that items identical to the scanned item90are not present in any of the storage bins in the stock room, the associate may then pick the scanned item90from the stocking cart80, place the scanned item90into a storage bin in the stock room, and input information into the mobile scanner20indicating that the item90has been picked from the stocking bin80and placed into a storage bin location (and indicate the location of the bin), and the inventory management database42is updated to indicate that the scanned item90has been binned and where (step260), effectively completing the bin audit process.

As described herein, the system and methods described herein provide for easy and efficient management of inventory at a retail sales facility by enabling an associate to simultaneously perform at least two different functions in one embodiment, and three different functions in another embodiment, that previously required at least three different associates to accomplish. As discussed above, in a response to a scan of an item in a stocking bin, the system may calculate and/or analyze the consumer demand for the item on the sales floor at the retail sales facility in a predetermined time interval to advantageously determine whether the scanned item can fit on a shelf on the sales floor. The system's determination that the item can fit on the shelf on the sales floor can generate a visible or audible signal for the associate to pick the item from the stocking bin and transfer the item to the shelf on the sales floor. This improves stocking efficiency by avoiding situations where the associate stocks the item in a storage bin in the back room while the shelf on the sales floor has empty spaces where this item can be placed. As such, items delivered to a retail sales facility are not indiscriminately stored in a storage bin in a stock room while the shelves on the sales floor where such items are displayed may have empty spaces.

The determination that the item fits on the shelf on the sales floor may be advantageously used to adjust the demand for the item at the retail sales facility in real-time and provides for effective auditing of the items at the retail sales facility. The system also advantageously records information indicating whether the associate acknowledged the alert to pick the item from the stocking bin and stock the item on the shelf on the sales floor instead of storing the item in a bin in the stock room, which allows the system to monitor the quality of stocking work by the associates. In addition, the system provides associates with information regarding location of items in bins in the stock room and enables the associate to efficiently organize the items in storage bins in the stock room such that identical items are grouped together in same storage bins and the inventory management associates can retrieve identical items from one bin or adjacent bins instead of having to retrieve identical items from multiple storage bins at random locations in the stock room.