A leading PC OEM faced difficulties forecasting demand in a high-volume repair environment causing inventory costs to skyrocket. Additionally, their inadequate demand planning and execution resulted in excess and obsolete inventory and poor utilization of warehouse space. After utilizing ModusLink’s SCP&E service they achieved the following results just months after implementation:

• Immediately improved demand forecast accuracy from 35% to 99%
• Reduced spare parts inventory levels by 52% or $2.3 million in the first year
• Reduced cycle time by 70% from 3.35 to 1.10 days
• Improved on-time, same day ship rates from 84% to 99%
• Reduced obsolescence by 75%
• Improved efficiencies in supply chain related processes by approximately 15%

For more information on this implementation, view the case study.