LT Apparel may not be a household name, but its clothing lines are present in many households.
Think about children’s clothing brands such as Healthtex, French Toast, Adidas, Carhartt, and Lee Uniforms. Then add them up – family-owned LT Apparel’s clothing sales total well over $500M per year.
Hitting the Wall with Excel
Prior to implementing Host Analytics, the Finance department at LT Apparel was managing budgeting and reporting using Excel. The Excel files were getting unwieldy. They were error prone, and the budgeting process was dragging on for five months. According to Lee Johnston, VP of Finance and Corporate Strategy, after the 2015 budgeting process, “I vowed at that point to my boss, the CFO, that if we have to do it again the same way next year, I’ll quit.”
Host Analytics to the Rescue
After the 2015 budget was completed, Johnston spent the next several months looking at alternatives, selecting Host Analytics that summer because of its modeling capabilities. With the help of partner Bright Point Consulting, Host Analytics was implemented in roughly two months and in parallel with the 2016 budgeting process. And the benefits began accruing quickly.
Faster Reporting, Improved Forecasting, Scenario Modeling
Shortly after implementing Host Analytics, Johnston said, “Reporting requests from the CFO that used to take four or five hours to compile are now completed in five minutes, a 98 percent reduction in turnaround time.” The ability to perform monthly rolling forecasts is now eliminating the need for the annual budget. And using a cloud-based platform instead of Excel has eliminated version control issues and time spent waiting for unwieldly Excel files to open.
Future plans include using the Host Analytics Modeling module to run “what-if” scenarios and see how they impact the company’s 27-month forecast. LT Apparel also plans to enable real-time monitoring of key business metrics, for more agile decision-making.
To learn more, read the full case study titled “LT Apparel Achieves a 98 Percent Reduction in Reporting Time.”