STOCKHOLM and BOSTON, November 20, 2014 – Supply chain planning and optimization partners Optilon and ToolsGroup are experiencing a record sales year in the Nordic region as more manufacturers and retailers prepare to defy the fragile macroeconomy by boosting their supply chain competitiveness. “Optimizing supply chains” has become the mantra for the pair’s customers, who are focused on achieving stronger operational performance despite challenging market fundamentals.
Popular food and beverage brands, such as Findus and The Absolut Company, are part of the trend. Retail customers, like Kronen (drug store chain) and Design Torget (internet retailers), are also seeking to profit from better forecasting and supply chain planning.
Competing in the Nordic region is increasingly tough. The International Monetary Fund just downgraded its growth forecasts for the region’s chief export blocs, the Eurozone and BRIC countries. Given that Nordic companies pay relatively high average salaries, many are exploring ways to release value in their supply chains to avoid being squeezed financially and without sacrificing quality. Optilon is implementing ToolsGroup’s software to help Nordic companies make the best planning decisions in the midst of these competing forces. For example:
- Findus – service levels improved 3 points to 98% and inventory reduced by 10% through new automated processes
- Thule – service levels improved more than 20 points, from 75 to 95+%; inventory reduced by 10%; workload reduced by more than 75%
- Bostik – service levels improved 5+ points to 98%; inventory reduced by 50%; obsolete inventory reduced by more than 75%
- Höganäs – forecast errors reduced by 50%; planning time reduced by 50%
- Nederman – improved inventory turns by more than 20% by replacing current inventory optimization tool with an automated process
