What is Automated Stock Replenishment?
Automated Stock Replenishment is a concept that leverages integrated demand forecasting, proportional inventory management, and automatic order generation to create automatic replenishment plans and orders.
Why use Automated Stock Replenishment?
The desire to use Automated Stock Replenishment is applied in particular in a Vendor Managed Inventory (VMI) environment, where the vendor is responsible for the availability of the product in storage of the delivery location and the flexibility to determine when to replenish them. The vendor therefore needs accurate demand forecasting and order generation algorithms to ensure customers won't run out of stock.
How does Automated Stock Replenishment optimize your business process?
Advanced algorithms for Automatic Stock Replenishment, based on demand forecasting and order generation.
What are the results of Automated Stock Replenishment?
Automated Stock Replenishment leads to:
More on-time deliveries with fewer stock-outs
Optimal drop sizes
Spreading of risk: avoiding too many critical orders that don't fit the fleet capacity
Less rework on the schedule during execution as orders will now fit in the storages and delivery vehicles, and match the delivery windows
Advanced algorithms are crucial for an optimal calculation of the replenishment orders.
Why contact ORTEC?
ORTEC has a solution foot print for logistic optimization in the downstream of oil, gas and chemicals, including automatic stock replenishment. This is obtained by advanced technology for demand forecasting and order generation. References are in various continents in both gas and fuel delivery optimization, where the integration of demand and transportation planning delivers in general over 10% savings in cost per ton.