Wildkamp, a technical wholesaler with 45 locations in the Netherlands, places extreme value on their customer service. Because of that, they take utmost care of an optimal availability and the reliability of the unique, extensive range. In phase 1 of the implementation process of Slim4, they got complete control of their distribution centre. This resulted in an increase of the service levels from 96% to more than 98.5%; in the same period, the stock value dropped by no less than 15%. From now on, the focus is on the integral management of the inventories of all locations.
- ACHIEVEMENTSBuild a solid foundation on which to support further growth
Strong supply chain provides basis
for growth for Wildkamp
Wildkamp offers a very varied range: from colossal drums and pipes of more than six meters long, to screws and rings of only a few millimetres. All locations are supplied from the central distribution centre. “In the past few years, the total range has grown considerably to 60,000 SKUs,” says René Makkinga, Head of Logistics. “Together, with the growing number of locations, this led to several challenges: increasing obsolescent inventories, problems with seasonal and assortment changes, and too much stock at wrong locations. Also, because it was laborious to phase articles in and out, we started to search for a structural solution for inventory optimisation.
Foundations for inventory optimisation
Wildkamp decided to supplement Microsoft Dynamics NAV with Slim4. In three months’time, the foundations were set for integral inventory management; a choice that not only had a positive impact, but a large positive impact. “The quality of the inventory has improved a lot. Our service levels increased considerably whilst stock value dropped by 15%. Previously, they didn’t rise above 96%, they are now almost continuously above 98.5%”, says Makkinga. “We are now better able to serve our customers”.
Higher service results in lower costs
The phasing in and phasing out of products is also going considerably better. Makkinga: “Our planners have significantly improved their forecasting; both in the high and low season. In high season we are better able to meet demand and the likelihood of stock outs is kept at a minimum, whilst in low season, we have less inventory lying around. It is more relaxed now; less urgent orders, unplanned tasks, and ‘broken lots’ lead to direct cost savings.
Integrated store replenishment
“By also managing the inventory in all 45 locations with Slim4, we can lower the inventory level by another 2 to 3 million Euros”, Makkinga states. All local establishments are centrally planned and can when desired, simply make adjustments themselves. “Thanks to Slim4, we work more efficiently and thus have more time for our customers. Since the availability and reliability continuously increase, we are making big steps in the area of customer satisfaction. That’s our main aim” says a satisfied Makkinga.
“By also managing the inventory in all 45 locations with Slim4, we can lower the inventory level by another 2 to 3 million Euros”