|Supply chain optimization is influenced by many key factors and indicators. An effective inventory management tool provides useful analysis for making supply chain management decisions. Good inventory management reduces costs and improves customer service at the same time. Our innovative tool ensures that you have the right amount of inventory at the right time and at the lowest possible cost. It has become an essential tool in many organizations, as inventory carrying costs can be reduced by more than 30%.
What is ABC log ® ?The ABC log® methodology uses autonomously available data from the ERP with massive daily data calculations to establish tracking files for the supply chain and the production floor. ABC log is a calculation based on a log10 value. The ABC log value is the number of digits of the value.
- Price between 100 and 999 -> log ABC Price = 3
- Price between 10 and 99 -> Log ABC Price = 2
- • Price between 1 and 9 -> Log ABC of the price = 1
What does your inventory management tool do?Typically, inventory management tools include modules such as forecasting and replenishment. A tool that balances expected demand levels with incoming inventory and supplies. Replenishment determines the safety stock levels needed at points in the distribution chain to satisfy orders at a given fill rate. A subset known as inventory optimization software uses complex algorithms to recommend what to stock and in what quantities to meet demand across the supply chain or at a specific site.
How does your tool differ from supply chain tools?This innovative method in logistics guarantees you an added value by its productivity and thus gain in competitiveness by optimizing your stocks, the service rate as well as the costs in order to have a profitability.
What are the advantages of a configuration review tool?There are many companies that offer inventory optimization services but very few can increase profitability as much as inventory management in companies where inventory or product flow is the main activity. The fastest return on investment (ROI) often comes from reduced carrying costs. Our customers describe the operational and financial benefits of inventory optimization. We have reduced our inventory levels which equates to a 20-25% reduction in inventory, while improving our service level by 10-13%.” 3 main benefits of optimizing inventory management with software:
- Achieve target service goal in 1 replenishment cycle.
- Higher service = fewer stock-outs = higher sales.
- Reduce capital tied up in inventory and free up cash.
- Save time and money by automating procurement and replenishment processes.