Project Definition: Product Sales Analysis for REC Company
Project Overview: The project aims to leverage IBM Cognos for an in-depth analysis of REC Company's sales data pertaining to four products (P1, P2, P3, and P4) over the last decade. The primary objective is to extract actionable insights that will enhance inventory management and marketing strategies. By understanding sales trends, identifying top-selling products, and comprehending customer preferences, REC Company can optimize its operations effectively.
Design Thinking Approach:
1. Analysis Objectives:
- Identify the top-selling product among P1, P2, P3, and P4 over the past 10 years.
- Analyze sales trends for each product to uncover seasonal or long-term patterns.
- Understand customer preferences by examining purchase behavior, demographics, and product affinity.
2. Data Collection:
- Source sales data from REC Company's internal databases, which should include transaction records, product details (P1, P2, P3, P4), and customer demographics.
- Ensure data quality and consistency through data cleaning and validation processes.
- Collect data spanning the last 10 years to capture long-term trends.
3. Visualization Strategy:
- Utilize IBM Cognos to create interactive dashboards and reports that facilitate clear understanding of sales insights.
- Visualize top-selling products through bar charts or pie charts, allowing for easy comparison.
- Present sales trends using line graphs or time series data representations.
- Use demographic data to create customer personas and visualize them to identify preferences.
4. Actionable Insights:
- Top-selling product insights can guide inventory management by emphasizing stock availability and marketing efforts.
- Sales trend analysis can help in demand forecasting and inventory optimization.
- Understanding customer preferences can enable targeted marketing campaigns and product recommendations.
- Combine insights to design strategies for product promotions during peak sales periods.
Project Timeline:
- Define project milestones and a timeline for data collection, analysis, visualization, and reporting.
- Assign roles and responsibilities within the team for efficient project execution.
Conclusion: By following this Design Thinking approach, REC Company aims to gain valuable insights into the sales performance of its products (P1, P2, P3, P4) over the past decade. These insights will empower REC Company to make informed decisions regarding inventory management and marketing strategies, ultimately leading to improved business outcomes.