Company industry: Retail and wholesale of building materials

"The product was so intuitive that we were able to begin using it in just 1 week!" – Customer

Company at a Glance: The company is a wholesaler and retailer for building supplies and finishing materials, including PVC. The company has offices in four major cities, and employs over 300 staff.

Company Challenges

The company's major challenge was to analyse consumer behavior and reduce the probability of arbitrary decision-making.

Another key challenge was to account for the logistics and supply chain structure and seasonality for goods with erratic demand, while planning orders over several warehouses.

The company began using Forecast Now! in July 2013.

Analysis with customer data

In May 2015 we carried out an analysis using the customer's data from 2013 and 2014.

The analysis showed the positive impact of using Forecast NOW!

Almost all performance numbers grew across the company and for individual warehouses.

Average inventory levels were reduced:

• by 24.2% across all items, company-wide, and
• between 12 to 32% on average for individual warehouses.
• the most popular and in-demand product groups were reduced from 16.6 to 21.3%

Safety stock levels were also reduced

• by 33.1% for all items company-wide
• from 28% to 66% for warehouses
• and from 15.1 to 52.2% for top-selling items

Turnover grew:

• by 22% for all goods company-wide
• by 38.6% for the Company's main warehouse

Service levels increased:

• by 8.6% for all company goods in relative terms
• by 6.1% for the main warehouse

Return on inventory grew:

• 14.4% company-wide for all items