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Fruit Growers Cooperative | Regional Grocery Wholesaler

Fruit Growers Cooperative

Situation
This fruit grower’s cooperative was seeking to reduce inventory levels, increase inventory turns, and minimize out-of-stock situations.
Critical Issue
Inventory levels were higher than needed yet sales were suffering due to out-of-stocks at the retail level.
Reasons
Our client was unable to accurately forecast appropriate inventory levels to meet customer demands on a variety of products. At times, inventories were too high, other times too low. Or even worse, the company had the inventory but had not adequately stocked customer shelves to accommodate changes in demand causing lost sales.
Capabilities Needed
The company needed a way to receive store-level sales information and use it to forecast future demand and order quantities for all of its products for several national grocery retailers.
InfoAccess.net Provided
InfoAccess.net provided the client with our Vendor Managed Inventory application service. This service enabled the client to receive store-level sales information, forecast future demand levels and calculate required order quantities for all of their products.
Results
Our VMI service provided significant inventory and logistical savings for the client. Utilizing our VMI service, the client reduced inventory by over 40%, increased inventory turns from 14 to 35, reduced transportation expenses by 46%, and improved their in-stock service levels from 95% to 99%.
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