At a glance
A logistics company operating worldwide was struggling to get to grips with their demand forecasting and supply planning, keen to harness the power of artificial intelligence (AI) to improve both their planning processes and maintenance schedule.
The situation
Logistics requires significant planning and coordination: of suppliers, customers and different units within the company - unfortunately LogisticsCo* were struggling to meet these needs and forecast demand as their business was growing.
Forecasting error rates meanwhile were significantly higher than LogisticsCo* had hoped for, leading to low staff morale and a challenging economic situation. Resource allocation was high, leading to a decrease in customer satisfaction and a decline in maintenance scheduling.
Recommendations
- Use AI to analyse demand in real-time
- Use AI-powered forecasting methods
- Use predicative maintenance
How we helped
- Forecasting improved demand prediction by 32.6%
- Improved customer satisfaction by 27%
- Reduced machine downtime by 8%
Outcome
Harnessing the power of AI, ROCK empowered LogisticsCo* with the ability to analyse demand in real-time, allowing them to update their supply planning parameters dynamically and optimise supply chain flow and minimise waste.
Via forecasting LogisticsCo* were also able to reduce their error rates, achieving 32.6% improved accuracy in their demand prediction, empowering them to optimise manpower planning, reduce holding and operational costs and improve customer satisfaction by 27%.
Predictive maintenance meanwhile ensured machine failure was kept to a minimum, ensuring technicians were able to act before any serious failures occurred, reducing downtime by 8%.
*We value our clients and their right to confidentiality. While the name has been altered, the results are real.
