Success story

Bondi Sands Embraces Supply Chain Technology Transformation to Support Exponential Business Growth

Logility has helped Bondi Sands to achieve transparent and real-time inventory projections.

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-37%

Reduced Working Capital – Days of Inventory over 8 Months

Business Plan Alignment

Alignment across global regions and business functions

Optimized Inventory

Real-time and transparent inventory projections

-37%

Reduced Working Capital – Days of Inventory over 8 Months

Business Plan Alignment

Alignment across global regions and business functions

Optimized Inventory

Real-time and transparent inventory projections

Challenges

Through a modern supply chain, Bondi Sands mission is to bring confidence and the iconic Australian lifestyle to their worldwide community all year round. As manufacturers of the world’s leading self-tanning brand, owned and made in Australia, Bondi Sands, distributes to over 45,000 stores worldwide. Their current physical retailer footprint crosses 14 countries and expands to 95 countries online – bringing Australia to the rest of the world. This footprint is expected to grow over the next few years at a rapid pace.

Bondi Sands set out on a supply chain transformation as a key business enabler to support their significant business growth. With an increased product mix, new operating model, and constant supply chain industry challenges, Bondi Sands needed a robust solution.

As part of their technology transformation, Bondi Sands evaluated their current business structure to identify the following challenges in their current practices.

Inventory planning: reactive and manual, lack of control, led to stock outs.
Manual / Excel driven reporting: low visibility of service levels, lagging reaction, prone to errors.
Data integrity: highly compromised, leading to errors.
Unstructured demand forecast: leading to high inaccuracy.
Highly manual order management: overburnt and inadequate ERP system.

These challenges lead to missed opportunities and impacted the speed of their business growth.

Inventory Planning

Bondi Sands wanted to increase inventory forecasting accuracy.

Increase Agility

Bondi Sands needed to improve their response time to supply chain disruption.

Forecasting Accuracy

Bondi Sands wanted improved data integrity to develop more accuract forecasting plans.

Bondi Sands – Leveraging Logility for Inventory Optimization

Solutions

Bondi sands selected the Logility Digital Supply Chain Platform as their end-to-end supply chain planning system.

“The implementation team transformed the end-to-end supply chain planning system, rendering it not just efficient but also readily deployable, scalable, transferable, and adaptable within the framework of Bondi Sands.” – Stefano Gambarotto, Bondi Sands Head of Operations

They leveraged Demand Optimization, Inventory Optimization, and Supply Optimization solutions to achieve:

Dynamic optimisation and auto-updating based on service target and margin contribution.
Clear set of visual, effective & real-time KPIs systemically generated.
One source of truth and full alignment of data set across the business.
Data driven and smart algorithm-based sales forecast, integrating multiple data sources from internal and external environments.
Optimised supply chain flows in both upstream & downstream.
Fully integrated ICT ecosystem, with both upstream and downstream external business partners outperform business expectations.

Demand Planning and Optimization

Inventory Planning and Optimization

Supply Planning and Optimization

Results

By implementing an end-to-end supply chain planning system, they achieved transparent & real-time inventory projection, optimized their inventory policy, made smart supply decisions based on business profitability, and have alignment of their business plan across regions & functions.

Key wins realized:

Transparent & real-time inventory projection
Optimized inventory policy
Smart supply decisions based on business profitability
Alignment of business plan across regions & functions
Voted a top three vendor for stock on shelf by large retail client

Technology Transformation 2.0

Bondi Sands is just getting started with their business growth and advancement. With their new technology ecosystem in place, they are moving forward with phase two of implementing Logility to enable even greater insights. During this phase Bondi Sands will use Logility to:

Elevate system automation.
Integrate external environment data into planning ecosystem.
Complete supply chain integration with upstream vendors.
Increased real-time visibility with Tier-2 suppliers and upstream strategic partnerships.

Ultimately, Bondi Sands will achieve their business growth goals of further market penetration, a larger portfolio, and entry into new countries.

Logility gives us the visibility we need across our entire supply chain. It allows us to better manage our business based on true demand and place inventory when and where it is needed to support our customers’ requirements.

iNova Pharmaceuticals breaks free from the constraints of spreadsheet-based planning.

Logility helped pharmaceutical company iNova consolidate knowledge and processes across geographies and systems, improve productivity through automation and support rapid growth.

50%

Improved forecast accuracy

-40%

Reduced manual PO creation through automation

Significant improvements

Safety stock modeling

50%

Improved forecast accuracy

-40%

Reduced manual PO creation through automation

Significant improvements

Safety stock modeling

Challenges

iNova Pharmaceuticals develops, markets and sells a wide range of prescription medicines and non-prescription consumer health products to over 20 countries and distributors across Asia, Australia, New Zealand and South Africa.

Its 500+ employees deliver a product portfolio spanning weight management, cough, cold and flu, pain management, health supplements, dermatology, sun care and female health products. Since 2017, under new ownership iNova has focused on expanding its product offerings.

iNova knew that achieving its growth goals meant unifying and synchronizing its approach to supply and demand planning, sales and operations planning, and inventory management. Excel-based planning created a planning process which differs across each geography, with compromised sustainability.

“Our business is complex. In addition to accounting for widely dispersed geographies, our planning processes have to reflect and synthesize different market dynamics. For example, consumer products are promotion-sensitive and, where ranged in pharmacy, products are also driven by ranging and grading. The prescription product portfolio relies heavily on statistical forecasting – a limitation for us in the Excel environment. The different planning processes hosted in Excel was a real impediment to growth, and that problem would only have grown worse. Planning in Excel is not sustainable due to the personalized nature of the tools used,” says Rowan Seccombe, iNova’s Sales & Operations Planning Manager.

Implementing Logility’s digital supply chain platform in 2019 was an important component of the company’s growth strategy, providing a future-proof and flexible technology to underpin its expansion plans.

Problems using Excel for demand and supply planning

The company is exposed should owners of key spreadsheets depart. Inconsistent use of spreadsheets across the team inhibited adoption of best practice.

Different processes

iNova’s planning process differed based on region-specific data. No ‘one source of truth’ across planning process/systems.

Inefficient data management

Time was wasted on loading data into, and analyzing information from, disconnected solutions that existed only to compensate for functional gaps in spreadsheets.

Cumbersome safety stock management

Safety stock scenario planning was cumbersome, difficult to implement and only able to change periodically (2x per annum), leaving the business exposed to stock-outs or over-supply. Aged inventory presented challenges in terms of visibility across supply planning, also presenting risk of a stock-out.

Solutions

Before implementing the Logility platform, iNova relied on spreadsheets, integrated ERP and data warehousing, and a third-party analytics tool to plan and measure its business. All patchwork solutions are inefficient to manage, but iNova’s situation was particularly challenging given its large geographical footprint, multiple business units and rapid growth.

iNova implemented Logility’s integrated solutions for data management, demand and supply planning, replenishment planning and analytics. What was once a very fragmented and time-consuming operating framework became greatly streamlined, with cohesive planning across the business and process automation that saves planners time. Allowing the statistical forecast to operate greatly freed resource to concentrate on high-volume and volatile A-class SKUs.

“We benefited from the industry expertise at Logility, and their local partner Demand Management Systems, as well as the platform. Our implementation consultants constantly challenged us to justify and reconsider current processes, and that was healthy in the end. The implementation went quickly and wasn’t without some challenges, but we’re committed to a journey of incremental improvement and are well supported by Logility to do so,” remarks Seccombe.

Demand Planning and Optimization

Supply Planning and Optimization

Data Management

Results

iNova has benefited across the organization following the implementation of the Logility® Digital Supply Chain Platform, and now enjoys consistency in planning and reporting across all regions. This collaboration has reduced “misfires” and enhanced communication and decision-making across the entire enterprise.

Logility has also supported iNova to move away from manual processes and toward greater automation, bringing real efficiency gains to the business. For example, automating purchase order (PO) creation between the Logility platform and the ERP system resulted in a 40% decrease in manual PO creation, making PO data maintenance far more efficient.

In addition, the Logility platform offers user-defined multi-level forecasting, a critical technique for iNova in supporting their S&OP processes as well as where the business fits within the FMCG sector. This forecasting capability saves times by automatically updating group-level forecasts when changes are made to individual SKUs, and vice versa. The ‘pyramid’ approach also aggregates demand history into logical groupings, resulting in more stable and accurate statistical forecasts. The results can then be pushed down the pyramid via a ‘fair share’ method to the item level if needed.

Using statistical models for forecasting iNova’s more stable SKUs has essentially freed up planner time to think creatively about managing more volatile SKUs. The models for the more stable SKUs reduced demand error by more than 50% and provided better methods for optimizing safety stocks.

Finally, the Logility suite of integrated solutions contains much of the functionality that previously resided in disparate tools, so time and effort spent on the disparate processes in those tools is greatly reduced.

“The flexible and configurable design of the Logility platform has greatly reduced our reliance on legacy systems and has established a trustworthy source of truth,” Seccombe states. “What’s more, the platform supports our need to manage forecasts across regions and at different hierarchical levels, such as supermarket and pharmacy distribution centers.”

The flexible and configurable design of the Logility platform has greatly reduced our reliance on legacy systems and has established a trustworthy source of truth.

Berry Global packs more value with an integrated business planning process.

Logility provided a unified planning approach to help Berry generate a better demand signal, increase visibility, synchronize inventory, and optimize supply and production.

Challenges

Berry Global’s products are integral to the success of many of the world’s best-known brands. The Fortune 500 company supplies packaging and materials used for finished products in three major markets: engineered materials (stretch wrap, trash bags, duct tape, etc.); consumer packaging (containers, tube, bottles, drink cups, etc.); and health and hygiene products (baby wipes, diaper materials, dryer sheets, etc.). These products are produced in manufacturing facilities across the globe, serving more than 19,000 customers from sole proprietorships to the largest global brands. The company produces over 91,000 SKUs, but the list is ever-changing.

With over 40 acquisitions in 30 years and constantly changing customer requirements, Berry needed an integrated business planning process and platform to keep its supply chain running smoothly and stay ahead of its competition.

Wide assortments and markets

Berry Global’s wide range of products is matched by a diverse set of customers, from global powerhouse brands, to a single farm buying agricultural film.

Rapid and frequent acquisition

Over 40 acquisitions in 30 years meant a mix of people, process and existing solutions which was difficult to standardize on.

Inventory and replenishment

Plants and divisions had very specific needs, and planning processes needed to be validated across locations.

Solutions

“Logility has helped us develop a consistent integrated business planning process so we can focus on growing without having to reinvent the wheel every time we have a new acquisition, business challenge, or new customer mandate,” says Mike Reibsamen, director, integrated supply chain for Berry.

Because of the synergy that demand planning brings across the organization, the integrated planning transformation effort started with demand planning and forecasting. Logility Demand Planning™ helped Berry break down silos and achieve demand planning collaboration across its many divisions. “One benefit of having a smart, scalable solution like Logility is automatically planning smaller items and freeing our planning team to focus on larger, more complex scenarios.”

Next came inventory and replenishment planning. Plants and divisions can be very specific in their needs, so the transformation team selected two pilot plants: one from their engineered materials division and one from their consumer packaging division. Because both plants were already performing well, these two would serve as ideal resources to validate planning processes using Logility and create a playbook for other plants to follow.

Integrated Business Planning

Supply Planning and Optimization

Inventory Planning and Optimization

“A playbook is like an instruction manual: ‘Here is how you implement an integrated supply chain and gear it up for a faster deployment’,” explains Reibsamen. His team also developed a master data scorecard for plants that included seven key data elements that formed the base requirements for inventory and replenishment planning. A plant must achieve a 98% rating before it can go live with the new planning process. Using this approach, more than 40 Berry plants went live in an 18-month period.

For master scheduling and demand-driven procurement, the integrated planning transformation team worked closely with purchasing to make sure the new processes coincided with the inventory and replenishment planning deployment schedule, ensuring cross-departmental actions were in sync.

Results

In addition to hard dollar impact, Berry’s deliberate approach to transformation has produced other long-term benefits. Consistent processes mean the company is no longer doing things differently in different areas. Collaboration and continuous learning are part of the company’s culture, so good ideas get populated across the organization.

Reibsamen is quick to point out that people are a necessary element. “Success requires a combination of things. You have to have the right team in place, committed to defining the right processes, using the right planning platform. For us, that platform is Logility.”

With Logility, Berry Global has achieved hard dollar benefits through operational changes and optimizing production, and created a proven, scalable planning process applicable to all plants, products and customers. It has established a culture of collaboration and continuous improvement and freed planners from routine tasks to focus on customer needs and innovation.

Logility has helped us develop a consistent integrated business planning process so we can focus on growing without having to reinvent the wheel every time we have a new acquisition, business challenge, or new customer request.

Big Lots – where speed equals savings.

With Logility, Big Lots now has access to granular level data from each store to arm its allocation analysts and management team with information to make the most strategic and profitable buys and align inventory levels with sales demand.

Challenges

Big Lots Inc., through its subsidiaries, is a unique, non-traditional, discount retailer operating more than 1,400 stores in 48 states with product assortments in the merchandise categories of food consumables, furniture and home décor, seasonal goods, electronics and accessories.

Big Lots needed a better way to allocate inventory specific to each of its 1,400+ retail locations to further accelerate inventory turns, align inventory levels to sales demand while matching local preferences, and managing thousands of active SKUs across a broad portfolio.

Non-traditional retail operations

Big Lots needed to allocate inventory specific to 1,400+ retail locations.

Improve inventory positions

Big Lots needed to align inventory levels to sales demand while matching local preferences.

Manage thousands of SKUs

Big Lots must act, react and adapt quickly based on customer demand and consumer buying trends.

Solutions

Today, Big Lots runs a complex, high volume supply chain that processes thousands of store/SKU transactions per day. The company needed the ability to act, react and adapt based on actual customer demand and consumer buying trends. Increased ability to sense and respond allows Big Lots to place merchandise at the right location and the right time to improve inventory positions, and increase customer satisfaction and sell-through.

Advanced Allocation improves Big Lots’ performance by tightly aligning and balancing store sales volume and inventory levels. With Logility Allocation™, Big Lots is able to quickly and accurately plan and allocate at the subclass level, or lower.

“Logility Allocation uses complex logic in a simple to use solution. We have seen improvement in planning and our ability to adjust to the customer’s behaviors. This helps us stay ahead and strategically plan our allocation needs,” says Lisa Bachmann, executive vice president and chief operating officer of Big Lots.

Since implementing Logility, Big Lots has realized several benefits including improved inventory turnover along with deeper insights and understanding of customer behavior. Big Lots has access to advanced analytics, KPIs and reporting which has led to developments such as lost sales analysis, helping the retailer better plan for the next season.

Inventory Planning and Optimization

Allocation

For retailers, selecting the right location can make or break a business. Big Lots sees store location as an opportunity to make strategic buys that will provide inventory specific to each market. With the increased sales data available to the team, the company is able to determine buying patterns as well as preferences for each store location and feed this information back through the supply chain. This unique capability allows Big Lots’ allocation analysts to place inventory in markets where it will best sell.

Results

Logility’s allocation solution allows Big Lots to integrate allocation and fashion replenishment options to dynamically react, adapt, and take action based on customer demand and sales trends.

With Logility, Big Lots was able to achieve significant and quick improvement in inventory turnover and enable processing of 50 million store/SKU transactions per evening. It was able to align inventory investments to sales demand at very low levels of granularity – by store, by merchandise, by product. Logility provided access to advanced analytics, KPIs and reporting, and Big Lots developed lost sales analysis which has helped them better plan for the next season.

Logility embeds complex logic in a simple-to-use solution. We have seen improvement in planning and our ability to adjust to our customers' behaviors. This helps us stay ahead and strategically plan our allocation needs.

Ashley Furniture designs the perfect order with inventory optimization.

Logility has helped Ashley Furniture right-size inventory across its global supply chain network and reduce safety stock.

36%

Improved inventory turns

30%

Reduced lead time, driving
improved customer service levels

Saftey Stock Improvement

Right-sized safety stock
across network

36%

Improved inventory turns

30%

Reduced lead time, driving
improved customer service levels

Saftey Stock Improvement

Right-sized safety stock
across network

Challenges

Ashley Furniture is the third largest home furniture manufacturing company providing case goods, mattresses, upholstered goods and home accessories that are sold by more than 6,000 retail partners.

Customer expectations to get what they want, when they want it, have never been higher – and that extends to the furniture industry. To fuel continued growth, Ashley Furniture needed to increase its already high customer service levels by ensuring rapid delivery of perfect orders – complete and defect-free.

However, reaching the new goal with the existing planning model would require increasing safety stock levels, thereby driving up inventory, storage and transportation costs. Ashley Furniture knew it needed a more efficient way to optimize its inventory across its entire supply chain network.

Ensuring profitable growth

Ashley Furniture needed to increase customer service levels by ensuring perfect order delivery.

Overcoming industry obstacles

Fluctuating demand and supply uncertainty required more precise inventory rules.

Managing planning models

Ashley Furniture needed to manage safety stock without driving up cost.

Ashley Furniture – The Business Case for Inventory Optimization

Solutions

Ashley Furniture has used the Logility digital supply chain platform since 1998 to manage its strategic business initiatives involving demand, inventory and replenishment planning. Turning to Logility for inventory optimization was a natural extension to help achieve its new customer service and inventory goals.

In addition to fluctuating customer demand patterns, supply uncertainty needed to be taken into consideration when applying more precise inventory rules. For instance, some suppliers manufacture and ship weekly, while others do so monthly and have varied shipping times. In the past, inventory rules were applied uniformly across the supply chain, without consideration for varying SKU patterns by region.

“As our business continued to grow in larger product portfolio and customer locations, the number of inventory rules grew along with the potential for error and became harder to manage,” said Maegan Huber, forecasting and inventory optimization supervisor at Ashley Furniture. “After implementing Logility Inventory Optimization™, we immediately saw a significant reduction in effort to leverage a wide variety of inventory rules.”

Demand Planning and Optimization

Inventory Planning and Optimization

Supply Planning and Optimization

Ashley Furniture took an incremental approach to rollout, starting with low-dollar goods such as lamps and picture frames. After all imported items were optimized in Logility Inventory Optimization™, the team moved on to domestically manufactured goods before finishing with upholstery, kits, components and purchased parts.

The new inventory optimization strategy is delivering benefits across Ashley Furniture’s global supply chain network. “With Logility we are right-sizing our inventory,” Huber says. “We’re getting the inventory to the right locations, reducing it where possible and increasing it where needed. We are also seeing some unplanned benefits of finding additional opportunities to reduce forecast error, saving the company money by not buying inventory or transferring it from incorrect locations.”

Ashley Furniture now optimizes inventory at an item level, with rules tailored to a specific item and region. The solution helps analysts have a greater and more efficient impact on business. By instituting a management by exception process, the scenarios with the biggest impact to the business receive the analyst’s attention first.

Results

Logility has supported Ashley Furniture to balance inventory with service level goals. Ashley Furniture has improved customer satisfaction, expanded visibility and planning throughout the global supply chain, reduced safety stock and optimized inventory at the item level. It has activated management by exception so the biggest issues get first attention, and avoided the need for additional distribution center space.

Tillamook County Creamery Association achieves growth with strategic supply chain planning.

Logility helped Tillamook gain visibility and optimize its digital supply chain planning to support aggressive expansion goals.

25%

Improved forecast accuracy

75%

Decreased finished goods inventory

98%

Increased fill rates

$4.2 million

Saved in spoilage and obsolescence

25%

Improved forecast accuracy

75%

Decreased finished goods inventory

98%

Increased fill rates

$4.2 million

Saved in spoilage and obsolescence

Challenges

Tillamook County Creamery Association (Tillamook) manufactures and sells high-quality dairy products including cheese, yogurt, ice cream, sour cream and butter.

Tillamook needed a planning system with the capacity to scale with the company’s strategic growth ambitions. With an expanding product portfolio that must be aged up to eight years ahead, a rapidly expanding customer base and a goal of hitting a 99% company-wide fill rate, Tillamook needed a more sophisticated planning approach to replace its Excel-based efforts.

Rapid growth

Growth across locations and channels revealed ineffective systems and processes not equipped to scale accordingly.

Siloed departments

Tillamook needed to break down siloes among planning, finance and sales and offer better ways to improve cross-functional information-sharing and collaboration.

Meeting demand for slowly-aging product

Nearly two-thirds of cheese products must be aged between nine months and eight years before going to market.

Growth in products and customers

Visibility into demand, supply, inventory and production are critical for Tillamook’s success.

Tillamook Achieves Growth with Strategic Supply Chain

Solutions

As Tillamook’s business grew more complex, the company transitioned from forecasting at an item level to an item-location level in order to get the best possible signals about demand. The team also integrated the sales and statistical forecasts so planners can quickly compare their system-generated numbers to those provided by the sales team.

Demand Planning and Optimization

Inventory Planning and Optimization

Supply Planning and Optimization

“Building more accurate and more granular forecasts has allowed the supply chain team to have more credible conversations, drive consensus forecasting and have a seat at the executive table,” says Brad Blasi, demand planning manager. As a result, Tillamook increased its forecast accuracy from 70-80% to 85% with Logility. This significantly more reliable demand plan enables the company to synchronize inventory investments, production and distribution to serve a growing customer base while reducing inventory and obsolescence.

Tillamook plans its finished goods inventory based on days of supply and perishability. For example, the seasonality capabilities in Logility Inventory Planning and its seasonality intelligence help the company pre-build inventory to meet summer ice cream demand spikes. The co-op also uses Logility to optimize conversion locations, expiration dates and co-manufacturers.

Results

With comprehensive supply chain planning, Tillamook decreased its finished goods inventory by 50-75%, decreased swings in short- and long-term cheese to age needs and met inventory targets.

Logility enabled Tillamook to migrate away from planning replenishment orders in error-prone Excel spreadsheets and a manual, labor-intensive procurement process. With the visibility and automation from Logility, the planning team can focus on exceptions and value-adding activities while allowing the Logility solution to automatically release orders into its ERP system. This new automated and streamlined procurement method reduces errors and accelerates processing time.

Tillamook leverages Logility Manufacturing Planning for capacity planning and “what-if” scenario analysis to enable capital expense improvements. The supply chain planning group also handles company-wide, long-range budget planning.

Our strategic growth plans require greater visibility and a flexible platform for both digital and operational supply chain success. Logility has been a key partner in support of our long-term goals and we look forward to new opportunities in the future.

The Carlstar Group becomes a truly data-driven business.

Logility provided The Carlstar Group with instant visibility into sales and operational performance, enabling business leaders to spot trends earlier and make coordinated decisions supported by a single version of the truth.

$10 million

Saved $10 million in obsolete inventory

$11.5 million

Reduced past-due orders by $11.5 million

$10 million

Saved $10 million in obsolete inventory

$11.5 million

Reduced past-due orders by $11.5 million

Challenges

The Carlstar Group manufactures specialty tires and wheels for agriculture, construction, high-speed trailer and power sports markets.

A reliance on ERP-generated data, spreadsheets and anecdotal narrative meant an unreliable stream of company information was prevalent across the sales, operations and IT departments.

Untrustworthy data

The Carlstar Group manufactures specialty tires and wheels for agriculture, construction, high-speed trailer and power sports markets.

Disparate systems

The Carlstar Group relied on a fluid mix of ERP system-generated data, error-prone spreadsheets and rumor to operate the business.

Lack of timely, actionable insight

Outdated information created operational problems related to inventory planning and back-order tracking.

Solutions

With Logility in place, Carlstar achieved a new level of sales performance. As soon as the data was visible, shared and trusted, an important cultural change took place. Healthy competition emerged as sales executives gained confidence and became self-sufficient through the use of graphical dashboards.

Furthermore, a deeper understanding of buying habits led to more collaboration between the sales executives and the customers. Suddenly customers were held accountable for plans they agreed to. In Operations, improved business visibility allowed leadership to spot trends earlier and make more considered decisions. It was able to stand up a fully functioning platform in just six weeks, consolidating data across three disparate systems.

Inventory Planning and Optimization

Advanced Analytics

Data Management

Results

Carlstar executives say that Logility now permeates their daily operations and planning functions. As a result, the company has reduced inventory, lowered customer “cost-to-serve”, improved visibility of past-due orders and improved adherence to customer-level forecasts. The gains are impressive, but the company espouses the long view. As one executive put it, “It’s likely that much of the low-hanging fruit has been picked; while that’s a cause for celebration, it is not a reason to slow down. We will continue to expand our Logility footprint with new views and new features, tackling each operational constraint we encounter. Our goal is to continue to refine our reporting discipline. We want our employees to move from reactive responses to proactive decisions based on accurate information.”

With Logility, The Carlstar Group has saved $10 million in obsolete inventory with better visibility, enabled better, faster data-driven decision-making and enhanced customer service through improved fulfillment performance as well as reducing past-due orders by $11.5 million.

It has boosted profits through a reduction in cost-to-serve based on a granular view of individual customer interactions over time.

Additional benefits include the power of mobile views to deliver actionable data in the field and the ability to deliver real-time alerts based on deviations from the supply and demand plans.

Our inventory value has dropped $10 million due to better visibility of obsolete inventory thanks to Logility’s pre-built supply chain solutions.

MilliporeSigma discovers the cure for successful replenishment planning.

Logility helped MilliporeSigma optimize inventory via alternate sourcing and utilization of excess stock, resulting in increased fill rate and improved customer service levels.

Challenges

MilliporeSigma is a leading life science and technology company that manufactures biochemical and organic chemical products and kits that are used in scientific research, biotechnology, pharmaceutical development and disease diagnosis. Its customers include life science companies, university and government institutions, hospitals and commercial labs. In the industrial area, MilliporeSigma markets stains, dyes, fragrances and flavors.

With a large product portfolio, MilliporeSigma needed better global visibility in order to improve customer service levels, increase forecast accuracy and optimize inventory through a centrally controlled replenishment plan.

Managing an extensive portfolio

MilliporeSigma sells around 100,000 chemicals worldwide, equating to 300,000 SKUs stocked at 20 global locations.

Forecasting and inventory management complexities

MilliporeSigma forecasts more than 7 million items for 80,000 customers with multiple ship-to locations, often as very small volumes.

Global growth

Efficient demand and replenishment planning processes are imperative and need to support roughly 100 people all over the world.

MilliporeSigma Manages Complexity

Solutions

MilliporeSigma’s growth is mostly due to acquisitions in the fine chemicals, biologicals and antibodies areas, and through expansion into new markets. Its central planning team works with any new locations to immediately deploy Logility in order to ensure a standard set of capabilities across the company.

MilliporeSigma replenishes globally on a daily basis, and runs over eight million items through Logility overnight. “Logility keeps up with the pace of our business,” said Jeff Killion, director of global planning at MilliporeSigma. “The ability to get orders in the same day gives us a huge competitive advantage. Our cycle time to our customers, particularly customers in Asia, is as good as, if not better, than any of our competitors.”

Demand Planning and Optimization

Inventory Planning and Optimization

MilliporeSigma forecasts products by region, and at the customer level for bulk business. Approximately seven million items are managed through Logility at a very high accuracy level without any manual intervention. Other core items are “A” items that the planning team has the ability to tune. “The flexibility to forecast at the customer level for some items, and forecast the bulk of the others systematically, was a huge advantage for us,” explained Killion.

Logility’s simulation capabilities have led to increased service levels for MilliporeSigma. The company uses cost analysis to determine the potential dollar value of increasing the service level, by 10 percentage points, for example. MilliporeSigma is now better informed when making decisions and is able to not only improve service levels, but also meet budgets easily.

Initially, the flexibility and speed allowed by Logility to immediately optimize the entire supply chain by looking at factors such as ocean freight and lot sizes, and forecast accuracy was the biggest focus for MilliporeSigma. Soon after, the company was looking for additional opportunities through Logility to take its supply chain to the next level. The company continues to increase customer service levels, optimize inventory and collapse cash-to-cash cycles. “Logility combines supply chain expertise with technology innovation and really fits the unique demands of our specialized business. There is no ‘silver bullet,’ but Logility comes close, giving us tremendous flexibility and tangible payback,” said Killion.

Results

With Logility, MilliporeSigma was able to improve forecast accuracy for A, B and C items as well as customer bulk items, and leverage time-phased inventory policies to achieve desired service levels. It has reduced inventory via alternate sourcing and excess stock utilization, improved customer service levels, decreases cash-to-cash cycles and successfully optimized the entire supply chain.

Logility keeps up with the pace of our business. The ability to get orders in the same day gives us a huge competitive advantage. Our cycle time to our customers, particularly customers in Asia, is as good as, if not better than, any of our competitors.

Haggar manages omni-channel complexity.

Logility helped Haggar reduce complexity and gain visibility throughout its supply chain by optimizing forecast accuracy, managing segmentation strategies and gaining inventory visibility to improve service and margins.

-70%

Slashed excess inventory

3%

Increased fill rate

-10%

Reduced SG&A expenses

-70%

Slashed excess inventory

3%

Increased fill rate

-10%

Reduced SG&A expenses

Challenges

One of the most recognized apparel brands, Haggar has sold comfortable, high-quality men’s clothing since 1926. Haggar is a top US manufacturer of dress pants, suit separates, casual pants and shorts.

Haggar’s biggest challenges include market segmentation for an increasingly complicated omni-channel network and sourcing products and materials across a global outsourced environment. This growing complexity has sparked the need for new market insights and better decision making across the business. Haggar needed a digital supply chain platform to help increase free cash flow by maximizing fill rates using an optimized inventory strategy to boost service and delight customers.

Move to omni-channel

Servicing evolving channels from brick-and-mortar to globally based retailers, e-tailers, owned stores and direct-to-consumer requires a segmentation strategy.

Outsourced production

Lead times have been significantly impacted through the supply chain complexity that comes with outsourcing production.

Vast amounts of data

With e-commerce and direct-to-consumer, Haggar supports a much broader SKU assortment at any given time, with huge amounts of data to process and analyze.

Product complexity

A familiar challenge in the apparel space – countless variables including style, fit, color and size.

Solutions

“Today, with e-commerce and direct-to-consumer, we must support a much broader SKU assortment at any given time. Fortunately, we realized that our Logility framework for demand planning and inventory replenishment was the right platform to meet these new challenges. We had already built the customer and product-location hierarchies as part of the demand and inventory planning processes, so we simply extended them to support the direct-to-consumer and vendor-managed inventory channels,” explained Pravin Rangachari, senior vice president of planning and analytics at Haggar.

Demand Planning and Optimization

Vendor Management

Inventory Planning and Optimization

Data Management

Advanced Analytics

Product complexity in the apparel space is a given with countless variables including style, fit, color and size. For example, Haggar’s pants are offered in a classic fit, straight fit, slim fit and skinny fit, and in a variety of colors and styles. Accounting for all the possible combinations, the point of sale data runs into hundreds of millions of combinations.

At Haggar, size proliferation was an ongoing issue. Account managers allowed customers to drive the size mix ordered, resulting in inconsistent sizing across channels. Because the company didn’t have a regular process to evaluate sizing based on performance history, Haggar implemented sizing criteria based on product category, fit and channel, plus a combination of point of sale and actual demand history tracked in Logility. Haggar now reviews its sizing every season, and with this data in hand, it is able to make proactive buying recommendations to customers: a win win for both parties.

Haggar was also able to simplify size-level data for its e-commerce and direct-to-consumer channels resulting in more consistent forecasts and better supply chain plans focused on higher-margin SKUs. Additionally, these changes have enabled the company to achieve greater planner efficiency, especially for new items.

Results

With the Logility® Digital Supply Chain Platform, Haggar enjoys one solution to plan its entire omni-channel network with a single version of the truth which has enabled it to simplify data management, increase planner efficiency and deliver more consistent forecasts. For the direct-to-consumer channel, Logility helped reduce significant manual work by providing forecast and inventory visibility across the business. For the vendor managed inventory (VMI) channel, Logility helped Haggar better control shipments by enabling them to get the right SKUs at the right time to the right stores.

We’ve automated a lot of processes with Logility, so our planners can focus on things that make a difference. We’re also positioned to grow revenue as our business continues to evolve.

Groupe Dynamite fashions
an in-stock edge.

Groupe Dynamite now develops forecasts down to the store level accounting for consumer variances including climate, culture, economy, and fashion trends.

80%

Increased auto replenishment

-20%

Decreased initial merchandise distribution from 70% to 50%

-3%

Reduced size variance at the store level

80%

Increased auto replenishment

-20%

Decreased initial merchandise distribution from 70% to 50%

-3%

Reduced size variance at the store level

Challenges

Groupe Dynamite is a Montréal-based fast-fashion retailer with two brands at the heart of its success, Garage and Dynamite. It operates more than 380 stores employing more than 5,500 people in Canada, the United States and the Middle East, plus an e-commerce site.

Groupe Dynamite needed to transform its manual processes for forecasting, allocation, and replenishment to meet growing business needs and support rapid growth as the brands expanded in American and international markets.

Unique challenges of fast fashion

Frequent seasons, localized assortments and regional size preferences meant Groupe Dynamite needed a solution that could support specific locational requirements.

Tremendous growth

Manual forecasting, allocation and replenishment processes could not scale
to align with business growth.

Rapidly changing trends

Groupe Dynamite established goals to to sell through its inventory in six to eight weeks, boost inventory flexibility, improve service levels, and automate processes where possible to free its internal resources to be more strategic.

Groupe Dynamite’s Retail Optimization Journey

Solutions

Logility Allocation™ and Logility Merchandise Planning™ enable Groupe Dynamite to see the seasonality of each store in advance, predict trends, replenish inventory ahead of sales, and improve the size curves and efficiencies all during a time of rapid growth. “Our implementation of the Logility Retail Optimization solutions has enabled us to improve our sell through, reduce our markdowns and increase profitability as we position merchandise in the optimal location to delight our customers. We have become a more sophisticated organization and have automated nearly 80% of our store replenishments to meet our growing business needs,” says Isabelle Rousseau, allocation director of Groupe Dynamite. In addition to automating 80% of store replenishment, Groupe Dynamite has decreased initial merchandise distribution across its network of stores from 70% to 50%, giving the business greater flexibility and better margins.

Merchandise and Assortment Planning

Allocation

Allocation and merchandise planning have helped Groupe Dynamite transform its forecasting and replenishment process. The company is now able to proactively plan based on a combination of historic data and real-time sales input to strategically place the right inventory in the right location at the right time.

With Logility, Groupe Dynamite is accelerating growth by maximizing sell through, boosting retail service levels and automating retail allocation and replenishment.

Results

With Logility, Groupe Dynamite has increased auto-replenishment to 80% and decreased initial merchandise distribution from 70% to 50%, giving the business greater flexibility and better margins. It has also reduced size variance by at least 3% at the store level. As a more proactive versus reactive organization, it is now better able to predict trends and take advantage of replenishing inventory priorities based on individual store need.

Our implementation of Logility has enabled us to improve our sell through, reduce our markdowns and increase profitability as we position merchandise in the optimal location to delight our customers.

Success story

Bondi Sands Embraces Supply Chain Technology Transformation to Support Exponential Business Growth

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Business Plan Alignment

Optimized Inventory

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Business Plan Alignment

Optimized Inventory

Challenges

Inventory Planning

Increase Agility

Forecasting Accuracy

Bondi Sands – Leveraging Logility for Inventory Optimization

Solutions

Demand Planning and Optimization

Inventory Planning and Optimization

Supply Planning and Optimization

Results

Other success stories

Ashley Furniture

The Carlstar Group

Fender

Success story

iNova Pharmaceuticals breaks free from the constraints of spreadsheet-based planning.

50% <img width="36" height="36" decoding="async" class="icon-market-up" src="https://www.logility.com/wp-content/themes/logility-theme/assets/img/icons/arrow-up.svg" alt="Icon arrow up">

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Significant improvements

50% <img width="36" height="36" decoding="async" class="icon-market-up" src="https://www.logility.com/wp-content/themes/logility-theme/assets/img/icons/arrow-up.svg" alt="Icon arrow up">

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Significant improvements

Challenges

Problems using Excel for demand and supply planning

Different processes

Inefficient data management

Cumbersome safety stock management

Solutions

Demand Planning and Optimization

Supply Planning and Optimization

Data Management

Results

Other success stories

MilliporeSigma

Success story

Berry Global packs more value with an integrated business planning process.

Challenges

Wide assortments and markets

Rapid and frequent acquisition

Inventory and replenishment

Solutions

Integrated Business Planning

Supply Planning and Optimization

Inventory Planning and Optimization

Results

Other success stories

Glen Raven

Intertape Polymer Group

Success story

Big Lots – where speed equals savings.

Challenges

Non-traditional retail operations

Improve inventory positions

Manage thousands of SKUs

Solutions

Inventory Planning and Optimization

Allocation

Results

Other success stories

Mitre 10

Success story

Ashley Furniture designs the perfect order with inventory optimization.

36% <img width="36" height="36" decoding="async" class="icon-market-up" src="https://www.logility.com/wp-content/themes/logility-theme/assets/img/icons/arrow-up.svg" alt="Icon arrow up">

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Saftey Stock Improvement

36% <img width="36" height="36" decoding="async" class="icon-market-up" src="https://www.logility.com/wp-content/themes/logility-theme/assets/img/icons/arrow-up.svg" alt="Icon arrow up">

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Saftey Stock Improvement

Challenges

Ensuring profitable growth

Overcoming industry obstacles

Managing planning models

-37%

-37%

50%

-40%

50%

-40%

36%

30%

36%

30%

25%

75%

98%

25%

75%

98%