Case Studies > Winzer Achieves 1350% ROI with Vanguard Predictive Planning for Inventory Optimization

Winzer Achieves 1350% ROI with Vanguard Predictive Planning for Inventory Optimization

Company Size

1,000+

Region

America

Country

United States

Product

Vanguard Predictive Planning

Tech Stack

Predictive Analytics
Forecasting Software

Implementation Scale

Enterprise-wide Deployment

Impact Metrics

Cost Savings
Customer Satisfaction
Productivity Improvements

Technology Category

Analytics & Modeling - Predictive Analytics
Functional Applications - Inventory Management Systems

Applicable Industries

Consumer Goods
Retail

Applicable Functions

Procurement
Warehouse & Inventory Management

Use Cases

Inventory Management
Predictive Replenishment

Services

Software Design & Engineering Services
System Integration

About The Customer

Winzer is a full-service spare parts distributor that has expanded significantly through a series of acquisitions. The company operates multiple stocking warehouses across various locations and manages over 165,000 SKUs. Winzer aims to maintain a high order-fill-rate of 99 percent while optimizing its inventory levels. The company faced challenges with sporadic demand for its products and needed a reliable solution to forecast demand accurately and reduce inventory carrying costs. Winzer's purchasing managers were spending significant time manually adjusting forecasts due to a lack of trust in the existing system, leading to inefficiencies and inconsistent assumptions.

The Challenge

Through a series of acquisitions, Winzer had multiplied its number of stocking warehouses across multiple locations. The company struggled to reduce safety stock while maintaining its 99 percent order-fill-rate goal. Most of Winzer’s 165,000-plus SKUs experienced sporadic demand that could not be successfully forecast with the company’s in-house purchase recommendation system. To mitigate financial loss due to inaccuracy, Winzer carried $1.08M in inventory with low turn. Lack of trust in the system spurred Winzer’s purchasing managers to review and adjust each forecast, often using assumptions that were inconsistent from manager to manager. Winzer estimated this process cost each manager 2 to 3 days per month. Limited reporting features added to the difficulty of managing inventory. To reduce inventory and associated carrying costs, Winzer began looking for an automated inventory optimization solution that could accurately forecast demand.

The Solution

Winzer conducted a thorough evaluation of four leading forecasting software vendors and selected Vanguard Predictive Planning. The decision was based on Vanguard's high analytic capability, particularly in handling sporadic demand. Vanguard Predictive Planning provided an automated inventory optimization solution that could accurately forecast demand, reducing the need for manual adjustments by purchasing managers. The implementation of Vanguard's software allowed Winzer to streamline its inventory management processes, improve forecast accuracy, and reduce inventory carrying costs. The solution also offered advanced reporting features, enabling better visibility and control over inventory levels.

Operational Impact

Winzer achieved a significant return on investment (ROI) with the implementation of Vanguard Predictive Planning.
The company was able to decrease safety stock while still maintaining a 99 percent order-fill-rate.
Winzer experienced a reduction in inventory levels within the first five months of using the software.
The automated solution reduced the time purchasing managers spent on manual forecast adjustments, leading to increased productivity.
The advanced reporting features provided better visibility and control over inventory management, enhancing overall operational efficiency.

Quantitative Benefit