Inventory Optimization

Why Non-Optimized Inventory Levels Are a Barrier to Supply Chain Success

Cash flow

Excess inventory levels tie up capital and extend companies’ cash-to-cash cycles, reducing overall business flexibility.

Inventory carrying costs

Inflation drives up prices and inventory holding costs, making cost reduction through inventory optimization critical for businesses to maintain profitability.

Revenue losses

Building wrong inventories creates component shortages, hampering production of high-demand products. This supply-demand mismatch limits market potential and lowers revenue.

Service levels

Fluctuating customer demands and supply chain uncertainties create a risk of insufficient or excess inventory levels, and adversely affect service quality and efficiency.

Right-Sized Inventory Always with the AIO SCCC

The AIO SCCC brings intelligent inventory management your way to help you maintain optimal inventory levels across the supply chain by effectively balancing supply and demand.

Monitor KPIs & Performance Metrics

Optimize inventory performance by identifying slow-moving, non-moving and dead stock. Monitor KPIs to make data-driven decisions and get a bird's eye view of your end-to-end supply chain with accurate and near-real-time inventory information.

Optimize Inventory Across Multiple Echelons

Move past safety stock and replenishment policies that focus on a single stocking point. Optimize inventory levels across multiple locations improve accuracy, service levels, and reduce carrying costs.

Gain Autonomous Recommendations

Use a library of best practices and track implementation progress to get autonomous recommendations for short- to long-term inventory improvements. Run initiatives targeting slow- and non-moving inventory to boost supply chain efficiency.

Leverage Smart Execution & Learning

Capture all aspects of the supply chain, including supply side, production, logistics, distribution, sales, finance, and product management to work collaboratively with end-to-end supply chain data model. Make the most of automated workflows to effectively execute inventory optimization measures to balance cash, costs, and service and deliver high value.

Why Businesses Trust aioneers for Inventory Optimization

Maximized revenue potential by ensuring availability of critical components

Reduced inventory holding costs and improved customer service levels

Freed up working capital for strategic investment and business growth

Ready-to-use short-term measures for inventory reduction quick wins

A Renowned German Manufacturer of Domestic Appliances Effectively Reduced Inventory with the AIO SCCC

With over 120 years in service, the globally prominent brand is known for its high-quality domestic appliances and service. Facing excess inventory levels for slow and non-movers, caused by the inability to optimally balance demand and supply, the renowned brand opted for the AIO Supply Chain Command Center (AIO SCCC) to facilitate the efficient and effective reduction of phased-out products across the supply chain.

Challenges

High overstock of slow-/non-movers and dead stock
Continuous new phased-out stock due to the nature of the business
Extensive cross-functional efforts to actively reduce overstocks
Lack of unified approach for collaboration between stakeholders
Lack of transparency toward the existing status of inventory reduction activities

Solution

Enhanced inventory transparency with embedded dashboards
Identification of major overstocks & push notifications in case of new emerging overstocks
Accelerated inventory reduction process driven by autonomous recommendations for operational inventory reduction measures
Maximized inventory reduction efficiency with collaborative execution management
Integrated inventory target tracking in provided dashboards

50%

Reduction of non movers

40%

Reduction of write offs

60%

Reduction of phase-out stock

ROI < 1 Year

Quick return on invest