Sappi Europe

In a shifting market driven by digitalisation, the paper industry has faced significant pressure in recent years. This development prompted a change in strategy for Sappi Europe, a leading paper manufacturer. To overcome these challenges, the company decided to partner with Slimstock. As one of Europe’s leading producers of specialty coated graphic papers and packaging materials, Sappi has customised Slimstock’s award-winning platform to suit its needs, resulting in numerous advantages.

Every month, Sappi ships 7,000 tonnes of coated graphic paper, specialty paper, and packaging materials to the United States alone. “We’re talking about tonnes of paper moving daily—these are massive quantities,” says Wesley Patteet, Inventory & Service Analyst at Sappi, responsible for managing the company’s stock. “We actively manage our stock and assess how to approach this strategically. Availability is key for us. We hold our own stock but also offer services to proactively manage our customers’ inventories. Ensuring daily availability requires a lot from our systems—the puzzle must fit perfectly.”

High Availability and Turnover

With over 3,000 SKUs, Sappi’s stock range is extensive. Customers demand various specifications, and some have unique requests. “Our forecasts are based on historical data. However, for specialty papers, customers have many specific requirements, which means we cannot rely solely on historical data. It’s much more complex.” Having the right paper in stock is essential for quick delivery. Declining demand for paper has added pressure to stock management. While paper doesn’t have a strict expiration date, it is still prone to spoilage.

Paper left in stock for too long yellows and is no longer sellable as ‘prime quality paper.’ This drives the need for higher turnover rates, placing additional demands on the supply chain department. Sappi itself also sets strict standards for product availability. “We aim to remain a major player, so availability is critical. In many cases, customers expect delivery within 48 hours of placing an order,” notes Patteet. Slim4 has become nearly indispensable for Sappi. “Ensuring the right paper is in stock at the right time requires excellent planning, and Slim4 helps us tremendously with this.”#

Best Lead Times Ever

In addition to managing stock at the seven paper mills, Sappi also operates around 20 external warehouses worldwide. “Shipments to the US and China often take weeks. That’s why we have external warehouses that already hold stock. But this requires a lot of forward planning to ensure the right paper types are available at the right locations on time,” explains Patteet.

Slimstock’s award-winning supply chain platform has supported Sappi for years, enabling effective responses to disruptions and ensuring availability. “Since we started using Slim4, our lead times have never been more accurate. Previously, lead times were a manual calculation involving numerous factors, which often resulted in errors. Slim4 prevents these mistakes by accounting for exceptions and calculating their impact automatically. We now have far fewer fire-fighting situations, which makes everything much more efficient.”

Service Levels Close to Maximum

While Slim4 supports efficient operations, it has also changed the mindset of Sappi’s supply chain team. A dedicated training on forecasting encouraged new ways of thinking. “A few colleagues and I attended a Slimstock training session, which provided us with valuable insights. We realised we were overcomplicating things—simple calculations delivered significant results. That was a game-changer for us,” recalls Patteet. These insights have since proven effective in practice. “Thanks to our calculations and Slim4, we now achieve a service level of at least 98%.”

‘One Source of Truth’

Patteet began his career at Sappi as a planner and soon transitioned to his current role as Inventory & Service Analyst. Over the years, he has witnessed stock management reach new heights. “From day one, my task was to optimise our use of Slim4. Slim4 had to become the ‘one source of truth’ for our planned inventory.” Patteet notes a shift in organisational thinking: “In the past, our vision was driven by sellable stock. That’s no longer the case. We now base decisions on patterns and accurate forecasts.” Sappi is also advancing in Sales & Operations Planning (S&OP).

Patteet is continuously seeking opportunities for improvement. For instance, Sappi is exploring how Slim4’s data could support raw materials replenishment forecasting. Unsellable paper is repurposed internally. “Since we are also manufacturers, we’re investigating whether Slim4’s data could enhance our raw materials replenishment process.” Through ongoing adjustments and improvements, Slim4 has become a truly bespoke solution for Sappi. Patteet concludes: “We’ve adapted Slim4 and aligned our processes accordingly. This unique approach leads to better results, benefiting the entire organisation.”