The Citizen, 1986-01-22, Page 5/o dool
A new generation of Oldfields, Jim's son Stephen watches Nora
Stephenson operate a new generation of electronic equipment, an MSI
machine that speeds the job of ordering stock and takes the mistakes
out of it too.
THE CITIZEN, WEDNESDAY, JANUARY 22, 1986. PAGE 5.
Computers change world of retailing
Jim Oldfield runs the computer operation at Oldfield Pro Hardware, a network that ties in the Brussels
store to other stores across the country and with Pro Hardware headquarters. This computer keeps all the
store's records and provides a wealth of information on the operation of the business.
stock control in Pro Hardware
stores.
Until recently, staff at a store
would go around writing down the
list of items that needed to be
ordered then someone would have
to call in the order, a phone call that
could last a half hour to an hour.
The call would be taped at the head
office then staff there would take
the order off the tape, and type it
into the computer.
Today instead of pencil and
paper, the staff at Oldfield's walks
around the store with the MSI
machine when it's time to make an
order. Each item has a number
posted where it regularly goes and
if the stock is getting low, the order
number of the item is punched into
the machine. When all the items
have been entered in the memory
of the machine, the MSI computer
is taken back into the tiny office,
hooked up with the Pro Hardware
computers and the order is trans-
mitted in seconds.
The machine does more, how-
ever. It prevents mistakes because
if the wrong order number if
punched in it will reject the order.
The machine also tells how many of
the item must be ordered to get an
economical price and how many to
get the best available price from
the chain.
But the double edge of techn-
ology is evident even in this
operation. While the machine has
simplified work for the local stores,
there have been jobs lost at the
chain's mein office for the people
who took those orders by phone.
Buoyed by the success of the
MSI machines, Pro Hardware has
recently put yet another computer
device to work in some stores, the
Oldfields being among the first to
use it. Called a Display phone it
looks like one of the modern
telephone panels that has an
assortment of buttons except that a
television screen takes up a large
area of the panel. In front of the
screen are a few buttons to control
the machine but there's also a
computer keyboard that can be
pulled outfrom under the machine.
The machine is rented from Pro
Hardware for $60 a month but
gives direct access to information
in the chain's computer even when
there isn't normally someone at the
head office.
What if, Jim Oldfield explains,
someone comes in on a weekend
wanting to buy a present for
someone, say a barbecue. If the
item is not in stock the store used to
have had to tell the customer they
didn't have any and weren't able to
say when they could get one. The
customer, who had to get the item
in time for the birthday or whatever
occasion, would go away unhappy
and the sale would be lost.
With the Display phone, the
store can call up head office, even
on a Saturday afternoon, and find
out if the barbecue is available,
when it could be delivered and
what the price is.
The Display phone lets the local
store write letters to personnel at
the head office and have them
delivered in order of the priority
given to the item if the computer is
backed up.
Jim expects that at some time in
the future the units won't be
optional anymore but compulsory
for all Pro stores and at that time
the chain will move to electronic
mail, with all correspondence
going through the Display phone
system.
Another advantage of the sy-
stem include the fact that a half
hour after the order is phoned in,
the Oldfields can use the Display
phone to check to see what parts of
Oldfields
embrace
new
technology
the order are in stock and what will
be delayed for shipment and what
substitutes can be obtained if
the particular item is out of stock.
The Display phone also allows
them to know when the first items
of a shipment will be available. For
instance, this April there will be a
show of hardware to be sold next
Christmas and orders will be
placed at that time. The computer
hookup allows them to find when
the first of these items will be
available.
They can also compare sales
from one period to another: how
many of an item were-sold-this year
compared to last in the same
month, how many sold in each
quarter, etc. This is a valuable aid
in knowing how many of any
particular item to order to make
sure they won't either have
inventory tied up for months
unsold or be out too quickly and
have customers wanting what isn't
available. This is particularly
helpful for items that aren't
ordered often or in large quanti-
ties.
The Display phone allows in-
stant communications about cred-
its, such as when an order says you
should have received two bicycles
and you've only received one. It
provides delivery information and
can give a list of new items the
chain is stocking.
It can be programmed to provide
reminders of when to make a
telephone call or when to mail a
cheque. An additional service
available through possession of the
Display phone is a tie-in with INET
(Intelligent Network) which can
provide information on everything
from the stockmarket reports to
what shows are playing in New
York to information on the latest
developments in science and tech-
nology.
But the Display phone is just the
latest addition to the Oldfield's
complicated computer operation.
A Radio Shack computer, equipp-
ed with a hard disk storage system
sits farther down the desk on the
little office. It stores information on
the operations of their own particu-
lar store, the general ledger,
accounts payable, accounts receiv-
able, even letters that they may
want to use more than once.
Contrary to popular conception,
Jim Oldfield says, computers don't
necessarily save a lot of time
because it takes a lot of time to
enter the information into them.
What they do is allow the computer
operator to have far more informa-
tion about his business than would
be ordinarily possible given the
amount of time he would have. It
allows him to save money in other
ways. For instance the Oldfield's
computer stores information on
each of the accounts they owe to
suppliers, what discount is avail-
able for early payment, what is the
deadline to get that discount, etc.
The discount is automatically
calculated by the computer and it
will make up the cheque to pay the
account exactly in time to get the
discount.
It also allows them to keep close
tabs on accounts owing that might
be overdue.
At some time in the future this
computer will likely be hooked in to
the Radio Shack headquarters in
much the same way the Display
phone now connects them to the
Pro Hardware computers.
In many ways it makes the
Brussels store as close to company
headquarters as a shop just around
the corner in London or Toronto or
wherever. It has brought small
towns the same kinds of communi-
cations advantages the big city
stores have had. In the long run it
may be the kind of advantage small
towns need to compete. The
Oldfields are counting on it.
So much is written or broadcast
about the electronic revolution that
is changing the modern office or
manufacturing plant through com-
puters and robots but usually it
seems too far away from us in
smaller centres.
But computers are becoming a
bigger and bigger part of the local
scene as they find their way into
everything from drug stores to car
dealerships. General Motors deal-
erships, for instance, will soon be
hooked up by computer to the GM
network across the country.
The coming changes in the retail
level are already here at Oldfield
Pro Hardware in Brussels. Al-
though hardly evident in the
sprawling building on main street,
the heart of the operation has
embraced the electronic revolution
and is turning it to its advantage.
At the rear of the store is a tiny
office, (hardly able tohold more
than two people at a time) filled
with electronic equipment that
hooks the Brussels store not only
with Pro Hardware headquarters
in London but with information
banks across the country.
The electronic side of the
operation is the special province of
Jim Oldfield, the second genera-
tion of the family who runs the store
with his father Max and mother
Jean. His interest in computers is
easily evident when he starts
showing you all the things the
wonderful machines can do.
Being a Radio Shack affiliate and
selling computers, the Oldfields
were particularly ready to go along
with the ideas from the Pro
Hardware chain when it wanted to
adapt computers for the far-flung
merchandising network.
The first revolution the company
introduced was the MSI machine.
Looking somewhat like a pregnant
hand-held calculator the machine
has revolutionized ordering and
The little Display phone packs big effects. It can provide everything
from electronic mall to stock market information to information on
shows playing on Broadway simply by punching a few buttons.