Inventory Optimization: Models and Simulations

At SupChains we create customized inventory models for manufacturers, distributors, and retailers. Our models are data-driven and rely on scalable simulations. We don’t trust equations anymore.
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Too much stock of the wrong products, and not enough of the right ones. Recognize this? Excess inventory ties up cash, increases storage costs, and risks obsolescence. Stockouts, on the other hand, lead to missed sales, unhappy customers and lost market opportunities.
Inventory optimization isn’t simple. Unfortunately, most software vendors and consultants are confused on how to set up inventory policies, compute required safety stocks, and how this relates to forecasting.
When inventory planners can’t rely on their planning tool, they have to manually review all supply & purchasing orders. This results in a labor-intensive process where knowledge is scattered, inconsistent and dependent on individual expertise. Such a process cannot be scaled.
At SupChains, we take pride in creating advanced – yet simple – models that we carefully test through simulations. After years of practical and academic work on inventory optimization, we don’t believe that inventory can be optimized by mathematical formulas anymore.
With our solution, you get access to the source code of the model. This makes maintenance easy, and ensures the model can grow with your changing business requirements.
We build our models to last. They process and clean your data, delivering clear inconsistency reports while running hundreds of checks before and after generating inventory targets.
Impact
in m$/year

Nicolas makes sure he understands well the business context, so any solution is properly applied when it makes sense. He focuses on what can make the difference, not wasting time on buzzwords that do not bring any relevant improvement. This has been my experience working with him, where he delivered both a tailored inventory optimization model and a machine-learning-based forecasting model for Bridgestone Europe, which resulted in considerable improvements from our previous projects.
Jon San Andres – Director Center of Excellence Supply Chain Planning, Bridgestone
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