76,000+
Retail locations
62
DCs
1,000+
FMCG items
9
Regional warehouses
Duzey, a wholesale FMCG distributor, supplies more than 76,000 retail locations from 62 distribution centers and 9 regional warehouses, carrying over 1,000 FMCG items. Its supply chain functions across marketing, operations, distribution, and finance were operating without a shared, collaborative process. Regional warehouses carried excess inventory while retailers ran into stock-outs and lost sales.
So Duzey partnered with Solvoyo to bring those functions into one collaborative supply chain planning process, while letting each group keep operating in a decentralized way. The unified process reduced overall inventory investment by 10% and improved forecast accuracy by 20%.
Excess Inventory in the Warehouse, Stock-Outs at the Shelf
Duzey’s marketing, operations, distribution, and finance teams were not planning together. The problems were:
- Regional warehouses carrying excess inventory while retailers experienced stock-outs and lost sales
- No visibility across the whole supply chain
- No integrated planning and no collaboration across teams
Excess stock in the warehouses and lost sales at the shelf were a sign that planning was not connected across the supply chain.
Collaborative Supply Chain Planning Without Centralizing the Teams
Solvoyo brought Duzey’s disparate supply chain functions under one collaborative umbrella. Each group could still operate in a decentralized fashion.
Safety and cycle stocks were calculated directly from SKU-level forecasts, integrated with the inventory optimization algorithm. Automated replenishment plans took business and operational constraints into account.
Transaction data was combined across regions, channels, and product lines into a single source of truth.
Inventory Investment Down 10%, Forecast Accuracy Up 20%
The unified process reduced inventory and waste while improving both service and forecast accuracy:
- 10% reduction in overall inventory investment
- 10% reduction in lost sales
- 15% reduction in waste of perishable stock
- 20% improvement in forecast accuracy
What Does This Mean for You?
Excess inventory in the warehouse and stock-outs at the shelf are usually the same problem seen from two ends of a disconnected supply chain. Duzey closed that gap by putting marketing, operations, distribution, and finance on one collaborative planning process, without forcing them into a single centralized structure.
If your warehouses hold excess stock while your retailers run out, look at how your supply chain functions plan together. Duzey combined its transaction data into one source of truth and calculated safety and cycle stocks from SKU-level forecasts.
About Company
Duzey is a wholesale FMCG distributor supplying more than 76,000 retail locations from 62 distribution centers and 9 regional warehouses, carrying over 1,000 FMCG items.
Achievements
10% reduction in inventory investment
10% reduction in lost sales
15% reduction in perishable waste
20% improvement in forecast accuracy
Don’t take our word for it
80% of IT tools investment fails if the partners don’t strive to continuously improve and adapt. That is what sets our partnership with Solvoyo apart.
With Solvoyo, we eliminated spreadsheets from the process and simultaneously increased process speed and planner efficiency across all regions.
Solvoyo’s S&OP platform gives both the regions and the HQ the ability to maintain a supply plan harmonized with demand and inventory investment targets. We now identify supply plan discrepancies proactively. Along the way, we eliminated Excel from the process and simultaneously increased process speed and planner efficiency across the enterprise.
We see rapid changes in demand, and when the inventory is short, we adjust our production plans accordingly. The adjustment requires a lot of manual work, causing suboptimal plans and inefficiencies on the production site. With Solvoyo’s optimized plans, not only do we make easy and smart decisions but also respond to any rapid change at the speed of the market.
Demand planning is both art and science. Until we collaborated with Solvoyo, we managed our demand planning process as a form of art, relying only on individual intuition backed up by the primitive science of spreadsheets. Now, we are finally in a position to make real-time decisions fed by all sorts of data.
