Case Study: Oldach

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Oldach accelerates inventory reduction plans to drive savings with EazyStock

We intend to reduce our inventory value by 10-20%. Not only can EazyStock help us achieve this goal, but it will also help us sustain lower inventory investment in the future without sacrificing customer fulfillment.

- Pedro Brito, Materials Manager at Oldach Download Case Study Oldach

Oldach Air Conditioning and Refrigeration is a HVAC parts and equipment distributor. Oldach was using paper inventory reports and had no real insight into their stock profiles. Excess and obsolete stock was piling-up and costing more and more money.

✓ The challenge: Lack of inventory insight over multiple locations

Oldach has multiple store locations to manage. Products at each site have different demand profiles, so a SKU that is fast moving in one store can be obsolete in another. Oldach was using their Microsoft Dynamics GP ERP to manage their inventory, but excess and obsolete stock was piling up across all locations.

✓ The solution: Adding EazyStock to Microsoft Dynamics GP

With EazyStock, Oldach now has full insight into their inventory including: what inventory they currently have and where, the demand trends for each SKU at each different location and recommendations for replenishment to eliminate stockouts.

✓ The impact: Complete inventory overview fueling inventory reduction

EazyStock is now automatically assigning one of nine different demand types to each item in Oldach’s inventory and analysing where SKUs are bringing the most value. When Oldach faced heightened sales throughout 2020, EazyStock was able to recommend accurate purchase orders to optimise replenishment for each location.

“Since we’ve been following EazyStock’s recommended orders, we’re not getting any complaints from our (very vocal) stores. Now our replenishment is accurate for each location.” – Pedro Brito

Additionally, EazyStock has determined that 10-15% of Oldach’s inventory was obsolete and 40% was non-moving in certain locations. Oldach is now able to get rid of obsolete stock and re-distribute the non-moving items to free up capital and space.

Read the case study to find out more!