The Home Depot (THD) is the world’s largest home-improvement chain, growing to more than 2,200 stores and 700,000 products in four decades. Much of that success was driven through the analysis of data. This included developing sales forecasts, replenishing inventory through the supply chain network, and providing timely performance scorecards.

However, to compete in today’s business world, THD has taken this data-driven approach to an entirely new level of success on Google Cloud, providing capabilities not practical on legacy technologies.

The pressures of contemporary growth that drove much of the work are familiar to many businesses. In addition to everything it was doing, THD needed to better integrate the complexities in its related businesses, like tool rental and home services. It needed to better empower teams, including a fast-growing data analysis staff and store associates with mobile computing devices. It wanted to better use online commerce and artificial intelligence to meet customer needs, while maintaining better security.

Even before addressing these new challenges, THD’s existing on-premises data warehouse was under stress as more data was required for analytics and data analysts were utilizing the data with increasingly complex use cases. This drove rapid growth of the data warehouse, but also created constant challenges for the team in managing priorities, performance, and cost.

In order to add capacity to the environment, it was a major planning, architecture, and testing effort. In one case, adding on-premises capacity took six months of planning and a three-day service outage. Within a year, capacity was again scarce, impacting performance and ability to execute all the reporting and analytics workloads required. The capacity refresh cycles were shrinking, and the expecations for data were growing. There had to be a better way.

Still, THD did not take its move to the cloud lightly. A large-scale enterprise data warehouse migration involves tremendous effort among people, process, and technology. After careful consideration, THD chose Google Cloud’s BigQuery for its cloud enterprise data warehouse.

BigQuery, a scalable serverless data warehouse, was better on cost, infrastructure agility, and analytics capability, driving better insights with improved performance. There are no service interruptions when capacity is added, and that capacity can be added within a week (and soon same day). It doesn’t require complex system administration, and its standard SQL support means people can easily ramp up quickly. Valuable BigQuery products like Identity and Access Management meant THD could create many separate Google Cloud projects, while ensuring that different teams weren’t interfering with each other or accessing protected data.

THD also utilizes BigQuery’s flat-rate monthly pricing model that allows teams to budget their capacity based on need and provides billing predictability. The capacity not being used by a given project is available for enterprise use. This ensures no surprises when the monthly bill arrives and provides all analytical users access to significant computing power.

While THD’s legacy data warehouse contained 450 terabytes of data, the BigQuery enterprise data warehouse has over 15 petabytes. That means better decision-making by utilizing new datasets like website clickstream data and by analyzing additional years of data.

As for performance, look at this chart:

With the cloud EDW migration complete, and the legacy on-premises data warehouse retired, analysts now execute more complex and demanding workloads that they would not have been able to complete before, such as utilizing Datalab for orchestrating analytics through Python Notebooks, utilizing BigQuery ML for machine learning directly against the BigQuery data (no movement of large datasets), and AutoML to help determine the best model for predictions.

Additionally, engineers at THD have adapted BigQuery to monitor, analyze, and act on application performance data across all its stores and warehouses in real time, something that was not practical in the on-premises system.

With over 600 projects that THD now has on Google Cloud, the BigQuery story is just one of the many ways that Google Cloud is working with THD to deliver meaningful business results, every day.

For more than 10 years, NMK Textile Mills has manufactured bed linens for major retailers in the United States and Canada. As e-commerce exploded, the company’s co-founder saw an opportunity to grow the business. So, in addition to manufacturing bed linens wholesale for retail customers, NMK Textile Mills reworked its complete supply chain to manufacture products for California Design Den, which became an e-commerce retailer selling its own fashion-forward products directly to consumers online.

With California Design Den’s push into e-commerce, it became apparent the SMB company (with about 250 global employees) faced the same tough supply chain questions as large retail customers, including maintaining enough inventory to meet customer demand in a timely, efficient way.

California Design Den depended upon a myriad of systems to track its complex forecasting and reordering processes. Team members typically planned inventory manually using desktop spreadsheet software, which could lead to excess inventory. Accurately forecasting demand and supply was essential to the company’s financial success—but it was also a challenge.

A couple years ago, California Design Den partnered with Pluto7, a technology solutions provider that offers a software as a service (SaaS) called Planning In A Box. Leveraging Google Cloud Platform machine learning and artificial intelligence, Planning In A Box intelligently helps predict demand and balances it with supply.

But that was just the beginning. “Along the way, we realized that to compete with larger retailers, make quicker decisions, and move faster, we needed to go further,” says Deepak Mehrotra, Co-founder and Chief Adventurer at California Design Den.

With guidance from Pluto7, California Design Den began migrating its database to Google Cloud Platform. Using Google BigQuery, Google Compute Engine, Google Cloud SQL, and Google Cloud Storage, and experimenting with Google Cloud Vision and Google Cloud AutoML, the company is reducing inventory carryovers by more than 50%, improving the accuracy of demand planning quarter over quarter, and gaining granular insights into how individual SKUs are performing.

“We would need an army of data scientists to make faster decisions on pricing and inventory levels. With Google Cloud Platform machine learning and artificial intelligence, we don’t need that. We can make much faster pricing decisions to optimize profitability and move inventory.”

—Deepak Mehrotra, Co-founder and Chief Adventurer, California Design Den

No need for army of data scientists

“Using Google Cloud Platform machine learning and AI was essential for California Design Den if it was to compete successfully with larger retailers,” Deepak says.

For example, tastes and fashions in bed linens can change quickly and consumer prices fluctuate. With more than 2,500 SKUs, it wasn’t possible for California Design Den’s team to continuously monitor product demand and experiment with competitive pricing in real time.

“We would need an army of data scientists to make faster decisions on pricing and inventory levels,” says Deepak. “With Google Cloud Platform machine learning and artificial intelligence, we don’t need that. We can make much faster pricing decisions to optimize profitability and move inventory.”

By integrating all its data onto Google Cloud Platform, California Design Den’s team gains deeper insights into product sales over time, which in turn helps the company improve demand planning by better determining which styles to manufacture and sell in the future.

“When experienced employees leave, their knowledge leaves with them. By having all data in one place, and with machine learning and AI, California Design Den can go back in its history, look at products made or sold years ago, and analyze product performance.”

—Deepak Mehrotra, Co-founder and Chief Adventurer, California Design Den

Merging visuals with data

Before Google Cloud Platform, team members had to dig through spreadsheets and run scenarios to get a sense of how particular products had sold. The next step was to perform keyword searches across the company’s photo library in the cloud to find each product’s image. From there, a team member would insert the product images into a presentation, along with relevant data points, to provide a report for stakeholders on how particular styles performed.

Today, California Design Den, with the help of Pluto7, is integrating its entire product image library with its database on Google Cloud Platform. Experimenting with Google Cloud Vision and Google Cloud AutoML, California Design Den is moving towards a day when team members can run sales scenarios and get deep background data on individual product performance while viewing images of the relevant products.

Merging product visuals with data will help designers and team members better understand sales patterns over time and in context. In the past, making correlations between things like which sheet colors sold well in California, compared to how the same sheet colors performed on the East Coast, was something that California Design Den employees primarily did in their heads.

“When experienced employees leave, their knowledge goes with them,” says Manjunath Devadas, Founder and CEO at Pluto7. “By having all data in one place, and with machine learning and AI, California Design Den can go back in its history, look at products made or sold years ago, and analyze product performance.”

“We are literally growing the complexity of our business on all levels, including designing, manufacturing, selling, reordering, inventory holding—everything.”

—Deepak Mehrotra, Co-founder and Chief Adventurer, California Design Den

Reimagining supply-demand balancing

Pluto7’s mission statement is to democratize supply demand balancing with machine learning and AI. California Design Den is a case in point, as the combination of Planning In A Box and Google Cloud Platform gives the company greater control over its destiny.

“Big retailers used to tell us what to manufacture and how much they would pay for it,” says Deepak. “That was our primary business, and if we didn’t accept the terms, a competitor would.” Today, in addition to continuing to make products for retailers, California Design Den can design, make, and sell a variety of designs for itself, including custom and limited-edition products, thanks to Google Cloud Platform and Pluto7 software offerings. The payoff is not only in having a more diversified business. California Design Den also receives more favorable profit margins by selling its own products.

“We are literally growing the complexity of our business on all levels, including designing, manufacturing, selling, reordering, inventory holding—everything,” Deepak says. “We can make smaller batches. We can connect directly with consumers. We can identify the missing pieces—what should we produce next, when, and how much? We otherwise couldn’t afford the level of talent it would take to do this.”

Cutting through the noise

Google and Pluto7 software helped California Design Den reduce inventory carryovers by more than 50%. Inventory tracking and distribution, along with insights and visibility into product sales, are faster, more efficient, and accurate. Google Cloud Platform flexible pricing, speed, reliability, security, and scalability enable California Design Den to stay relevant and be more competitive.

In addition to benefiting from Google Cloud Platform, California Design Den relies on G Suite—also part of Google Cloud—to enhance collaboration among its global teams. Previously, the company’s email server would sometimes crash, due to the heavy load of sharing product photos and other data. “Gmail and Google Drive handle the everyday demands on the business effortlessly and reliably,” Deepak says.

“Google machine learning and AI enable us to cut through all the noise from raw data, so we can see what’s important. We can focus on analytics to guide us to success today and in the future.”

—Deepak Mehrotra, Co-founder and Chief Adventurer, California Design Den

The company is exploring additional ways to leverage Google Cloud Platform in the near future. For example, one possibility is to import customer reviews from sites where products are sold into Google BigQuery, and to use that data to perform sentiment analysis via Google Cloud Natural Language. It could provide another valuable data source to help California Design Den’s team decide where to focus future designs.

“Google machine learning and AI enable us to cut through all the noise from raw data, so we can see what’s important,” Deepak says. “We can focus on analytics to guide us to success today and in the future.”

If you’ve been exploring recently-launched consumer generative AI tools like Bard and thinking about how to build similar experiences for your business, Generative AI App Builder, or Gen App Builder for short, is here to get you started.

Gen App Builder is part of Google Cloud’s recently announced generative AI offerings and lets developers, even those with limited machine learning skills, quickly and easily tap into the power of Google’s foundation models, search expertise, and conversational AI technologies to create enterprise-grade generative AI applications. 

“Google Cloud’s leading AI technology enables STARZ customers to discover more relevant content, increasing engagement with, and the likelihood of completing the content served to them,” says Robin Chacko, EVP Direct-to-Consumer, STARZ. “We’re excited about how generative AI-powered search will help users find the most relevant content even easier and faster.”

Gen App Builder is exciting because unlike most existing generative AI offerings for developers, it offers an orchestration layer that abstracts the complexity of combining various enterprise systems with generative AI tools to create a smooth, helpful user experience. Gen App Builder provides step-by-step orchestration of search and conversational applications with pre-built workflows for common tasks like onboarding, data ingestion, and customization, making it easy for developers to set up and deploy their apps. With Gen App Builder developers can: 

• Build in minutes or hours. With access to Google’s no-code conversational and search tools powered by foundation models, organizations can get started with a few clicks and quickly build high-quality experiences that can be integrated into their applications and websites. 
• Combine the power of foundation models with information retrieval to find relevant, personalized information. Enterprises can build apps that understand user intent via natural language, and surface the right information with associated citations and attributions from a company’s public and private data. They can also fully control what data their applications access and the content or topics they want to address.
• Build multimodal apps that can respond with text, images, and other media. Gen App Builder supports not just text, but also other modalities such as images and videos. It allows developers to build apps using a combination of text and images as inputs to find information across documents, photos, and video content, enabling richer customer interactions. 
• Combine natural conversations with structured flows. Developers can granularly blend the output of foundation models with controls to ground answers in enterprise content, and step-by-step conversation orchestration to guide customers to the right answers.
• Provide the ability to transact and connect to third party apps and services. Gen App Builder makes it simple to create digital assistants and bots that not only serve content, but also connect to purchasing and provisioning systems to enable transactions from the conversational UI, and escalate customer conversations to a human agent when the context demands.

A new generation of conversational AI experiences and assistants 

Consumers of enterprise applications expect to interact with technology in a seamless, conversational way to quickly find the information they need and act on it. Gen App Builder can help reinvent these customer and employee experiences by ingesting large, complex datasets that are specific to your company–from websites, documents, and transactional systems like billing and inventory, to emails, chat conversations, and more. These AI-powered apps can synthesize information across all of these sources to provide specific, actionable responses, using only the data you have provided. 

Some of the most popular uses are in customer service, where generative apps can contribute to increasing revenue, customer satisfaction, and customer loyalty. For example, if a retail customer reaches out to modify an order, a virtual agent can help them change it to another product. The customer doesn’t even need to provide the new product name—they can just upload an image and let the agent guide them through the rest. Watch this demo to see how a retail chatbot can use multimodal capabilities to help a consumer navigate various options on the website, including giving the customer ideas on how to use the product and even helping them complete the purchase with the ability to transact within the conversational UI. This scenario could apply to multiple industries and use cases, ranging from consumer goods and public services, to finance and internal corporate systems like intranets.

Combining the power of Google-quality search with foundation models

Finding the right information from data across the organization is a critical requirement within any enterprise. Yet it can be challenging to build high-quality enterprise search experiences with existing tools. Current systems struggle to understand user intent, are difficult to implement and customize, and don’t provide a high-quality user experience. 

One of the most exciting features of Gen App Builder is the ability to combine the power of Google-quality search with generative AI to help enterprises find the most relevant and personalized information when they need it. With Gen App Builder, enterprises can build conversational search experiences across their public and private data in minutes or hours with no coding experience. 

Enabling multimodal search across text, images and video within the enterprise is a key aspect of the search experiences in Gen App Builder. In addition to providing high-quality search results, Gen App Builder can conveniently summarize the results and provide corresponding citations in a natural, human-like fashion. Gen App Builder also automatically extracts key information from the data and enables personalized results for users. Watch this demo to see how these capabilities can come together to transform the search experience for employees at a financial services firm. The ability to integrate Google-quality search within the enterprise’s applications means they can enjoy a new level of data utilization, drive increased process efficiencies, and provide delightful experiences to their employees and customers.

“Customers have been shopping at Macy’s for generations. Being able to deliver 360° personalization and contextual recommendations will help ensure that Macy’s is still providing future generations of shoppers with a seamless, exceptional experience,” said Bennett Fox-Glassman, Senior Vice-President, Customer Journey, Macy’s. “We’ve already realized an increase in revenue per visit and conversion rates had great success using Google Cloud’s AI technology and are looking forward to exploring how these latest announcements bring together Natural Language Processing and Generative AI capabilities to deliver next-gen search and conversational experiences for our customers.”

The ability to intuitively interact with complex data across a variety of sources allows organizations to better serve their customers and deliver more relevant offerings. Combined with conversational and fulfillment abilities, the potential for improving customer engagement and employee productivity is immense. We’re excited to see how developers and enterprises use a mix of these capabilities to power new experiences and revenue opportunities.

If you’re interested in a closer look at the Gen App Builder, tune into this session at the Data Cloud & AI Summit. Take a step forward to getting hands-on and join the waitlist for our trusted tester program. And finally, bookmark our generative AI landing page to keep abreast of the latest news, updates and possibilities from this exciting new world of Gen Apps.