How Streamline optimized inventory for food production company
About the company
KGG Corporation is a public company based in Thailand, specializing in the production and distribution of consumer products, with a focus on dairy and gourmet food products. Established in 1958, the company has built a reputation as a leading importer of butter, cheese, and raw materials for bakery and Western food from globally renowned brands. With over 2,000 employees and a sales turnover exceeding 7,000 MB in 2023, KGG Corporation is a critical player in the FMCG industry in Thailand.
Challenge
KGG Corporation faced several challenges in the FMCG sector, particularly in demand forecasting, manufacturing capacity planning, inventory management, and the S&OP process. The company needed a comprehensive solution to streamline its end-to-end supply chain management processes, aiming to increase profitability, productivity, efficiency, and cost-effectiveness.
Project
In search of a solution, KGG Corporation initiated a selection process aligned with its organizational requirements and business goals for long-term sustainable growth. The company was looking for the solution that could:- enhance demand forecasting process
- provide AI-driven insights for improved forecast accuracy
- integrate seamlessly with its ERP system for order and inventory planning
The implementation process lasted three months, during which there was integrated demand forecasting, inventory management for both imported and manufactured goods, as well as supply planning from manufacturing to main DCs and regional DCs.
Outcomes
Since implementing Streamline, KGG Corporation has experienced significant improvements in sales forecast accuracy and inventory turnover. The AI-powered demand forecasting model integrated with the ERP system has positively impacted stock turnover and reduced slow-moving and obsolete (SLOB) stocks. The solution has successfully addressed challenges across all related departments and teams, enhancing overall integrated business planning processes.
“After implementing Streamline, we saw a remarkable improvement in our sales forecast accuracy across all channels. We would definitely recommend this solution to other companies,” – said Vice President of Demand and Supply Planning Department at KGG Corporation.
Do you want to test Streamline on your company’s data?
Further Reading:
- How to deal with supply chain processes during the Coronavirus outbreak
- Why switch from Excel to inventory planning software
- Must-read: Smart Supply Chain Management solutions for business processes optimization
- Cross-Functional Alignment in Supply Chain Planning: A Case Study of Sales and Operations Planning [PDF]
- Demand & Supply Management: Collaborative Planning, Forecasting & Replenishment
Still relining on manual work in Excel for sales and operations planning (S&OP)?
See what Streamline can do for you
- Achieve optimal 95-99% inventory availability, ensuring you can meet customer demand consistently.
- Attain up to 99% forecast accuracy, getting more reliable planning and decision-making.
- Experience up to a 98% reduction in stockouts, minimizing missed sales opportunities and customer dissatisfaction.
- Cut excess inventory by up to 50%, freeing up valuable capital and storage space.
- Increase margins by 1-5 percentage points, boosting overall profitability.
- Enjoy up to 56 times ROI within one year, with a 100% ROI achievable in the first three months.
- Reduce the time spent on forecasting, planning, and ordering by up to 90%, allowing your team to focus on strategic activities.
