NBTY can trace its long history as far back as 1870 with the
founding of our Holland & Barrett stores in England. Over 145 years later,
the company continues to enrich the lives of consumers around the world and
proudly stands as the leader in health and wellness by introducing innovative
products and solutions to the marketplace. A global company committed to
consistently producing the highest-quality products, we offer a wide range of
brands that people love and trust across the entire value spectrum. We have a
significant presence in virtually every major vitamin, mineral, herb, sports,
active nutrition and supplement product category and in multiple key
distribution channels. Our brands include Holland & Barrett®, Nature’s
Bounty®, Sundown Naturals®, Osteo Bi-Flex®, Solgar®, MET-Rx®, Pure Protein®,
Body Fortress®, Balance Bar®, Puritan’s Pride® and many others.
Today NBTY employs over 13,000 associates worldwide. In
addition to our Long Island corporate headquarters, NBTY has manufacturing,
packaging, warehouse, distribution and administration facilities throughout the
United States and Canada. The company also maintains overseas offices in the
United Kingdom, China, the Netherlands, Spain, South Africa and New Zealand. In
2010, The Carlyle Group, one of the world’s leading private investment firms,
acquired the company. In September 2014, Steve Cahillane was named President
and CEO. Under his leadership, the company continues to fulfill its commitment
to supporting wellness by creating products that consumers want and making them
easily available anywhere they shop.
Steve Cahillane, CEO of NBTY would like to measure and
analyze the performance of NBTY so that improvements and enhancements could be
made. But performance measurement for a company like NBTY could be in any of
the following domains:
- Quality of care
- Utilization/Cost/Efficiency
- Satisfaction
- Financial performance
- Inventory
- Retail sales
For the purpose of this blog, we will consider the Retail Sales process of the NBTY as
that is a major dimension for their business. Some of the facts that the CEO
would be interested in looking at would be: Sales Quantity, Total sales dollar
amount, Total discount dollar amount, and Total Cost dollar amount. He might be
interested in these metrics across stores and products. It is certain that
their profitability depends on the quantity they sell. Higher the quantity
sold, higher is the profit. The CEO might be interested in the discount given
to the customers, to see if the sales increase during that period. Again, to
answer so as to how the business is performing, one needs to analyze the total
cost and sales dollar amounts. These two metrics determine the profitability to
the company. Thus I feel these metrics would be really important for measuring
the performance.
To keep track of all the metric mentioned above a dimensional
model can come in handy. Through a well-defined grain at the atomic level these
metrics can be captured accurately and then a roll up can be performed to
aggregate the data to obtain the metric for a weekly, monthly or yearly period.
The type of dimension model for NBTY should be periodic. The
reason is that it summarizes the metrics/measurements over a standard period
like a day, week, month etc. I feel a periodic dimensional model that captures
information per week is the best option as it would give the weekly quantity
sold, discounted dollar amount, total cost and sales amount.
For NBTY, we can use this dimensional model to represent the Retail sales:
References:
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