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Following its migration to the parent company’s operating system, the client found that its inventory increased by over £2 million (25%) in 6 months. It urgently needed to gain control over its purchasing and inventory activity, which was dispersed across 31 locations, and reverse the trend in inventory growth. After analysing the inventory profile and purchasing trends on a warehouse-by-warehouse basis our consultants identified the opportunities for inventory reduction. We used a number of different tactics to establish control over the situation and deliver the clients objectives - Inventory Optimisation software was used to determine line item order policy.
- Targets were established and we performance managed each branch to achieve them.
- Excess and obsolete stock was identified and disposed of using an number of channels including our web based auction channel.
- VMI solutions were reviewed and negotiations for removal of non-moving stock were undertaken with suppliers and customers.
We successfully delivered a reduction of £3 million in inventory while improving customer service
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Case Studies 
