So much for the method of transporting goods from supplier through to the stores, but how
much should be sent to each store? With such a huge product range today, it is impossible
for the individual store to reorder across the whole range (store-based ordering). Instead,
sales of each product line are tracked continuously through the till by means of electronic
point of sale (EPOS) systems. As a customer’s purchases are scanned through the bar code
reader at the till, the sale is automatically recorded for each sku. Cumulative sales are
updated every four hours on Tesco Information Exchange (TIE). This is a system based on
Internet Protocol that allows Tesco and its suppliers to communicate trading information.
The aim of improved communication is to reduce response times from manufacturer to
stores and to ensure product availability on the shelf. Among other things, TIE aims to
improve processes for introducing new products and promotions, and to monitor service
levels.