Magnum ice cream logo on a vibrant purple background.

Optimizing Seasonal Frozen Foods Supply Chain: A Giant’s Success Story

In the fast-moving frozen foods industry, especially where summer demand can skyrocket fivefold, precise timing isnโ€™t just a nice-to-haveโ€”itโ€™s survival. The Magnum Ice Cream Company, operating in a market with a complex distributor network, faced the ultimate challenge: how to replenish over 1,000 SKUs to 130+ distributors daily, serving 200,000+ local customers, while keeping products cold, customers satisfied, and logistics costs under control.

With sales volumes surging dramatically between May and September and a product line that includes some of the most beloved frozen treats in the region, this company needed more than guesswork or gut feel. It required a synchronized planning engine that could outsmart the heat, the volatility, and the complexity, without missing a beat (or a scoop).

3 DCsโ€‹
200K+ Customers
130+ Distributors
1,000+ SKUs

The Planning Puzzle

  • The company needed more than just daily replenishment decisions or vehicle routing. They required a synchronized, intelligent planning system that could: Anticipate future demand and pre-ship accordingly
  • Reduce the number of mixed pallets that include different SKUs to make picking and packing easier and faster in the warehouse
  • Ensure balanced inventory distribution while honoring distributor capacity constraints

To tackle this complexity, they partnered with Solvoyo for an end-to-end planning transformation.

The Solvoyo Solution: Optimization in Action

Solvoyoโ€™s platform integrated seamlessly with the manufacturerโ€™s SAP and other execution systems, incorporating real-time operational data along with planning constraints captured via Solvoyoโ€™s user interface.

Key planning inputs included:

  • Distributor inventory snapshots
  • Daily demand forecasts
  • Target days of cover provided by the planning team

Minimum and maximum cover levels are generated using Solvoyoโ€™s Distribution Requirements Planning (DRP) solution, which simulates annual transportation flows to account for distributor capacities, overflow warehouse needs, and warehouse in/out operations. These simulations dynamically update weekly inventory targets per distributor-product pair, aiming to identify pre-shipment opportunities, improve truck utilization, and reduce mixed pallet ratios.

Once replenishment quantities are calculated, Solvoyoโ€™s vehicle routing module kicks in. Pre-defined route logic, mixed pallet ratio targets (6โ€“8% during peak), and cold-chain constraints are all factored in to produce optimized, feasible transportation plansโ€”without sacrificing cost or service levels.

Notably, during peak periods, pallet quantities are rounded to full layers, reducing handling time at warehouses nearly tenfold.

Tangible Results

With Solvoyoโ€™s synchronized replenishment and transportation planning:

Time Spent Planning Was Cut to One-Third: Service and logistics teams reported a 3x reduction in planning time in 2024 compared to earlier years.

Higher Product Availability: Target inventory levels were consistently achieved without overloading the network.

Lean and Efficient Transportation: Vehicle utilization improved, mixed pallet ratios declined, and loading time dropped significantly.

All this while enabling user overrides and seamless pushback into SAP through Solvoyoโ€™s Transport User Interface (TUI)โ€”empowering planners without compromising automation.

Final Scoop

Whether youโ€™re managing ice cream or inventory, planning in seasonal environments isnโ€™t for the faint of heart. But with the right optimization tools, even the most temperature-sensitive supply chains can operate like clockwork.

Solvoyoโ€™s platform helped this frozen foods leader turn their planning into a synchronized symphony, melting away inefficiencies, one truckload at a time.


See it run on your own data

See how Solvoyo turns your supply chain plans into decisions that run on their own.

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