CASE STUDY

Demand Forecasting AI

Optimizing inventory and reducing waste with AI-powered demand forecasting

CLIENT

National Retail Chain

INDUSTRY

Retail & E-commerce

TECHNOLOGIES

Time Series, ML, Big Data

The Challenge

Our client, a national retail chain with over 500 locations, was struggling with inventory management challenges that were impacting both profitability and customer satisfaction:

  • 30% of perishable inventory was being written off due to spoilage
  • Frequent stockouts of popular items led to lost sales
  • Inefficient allocation of inventory across locations
  • Inability to account for external factors like weather and local events
  • Excessive working capital tied up in slow-moving inventory

These issues were resulting in significant revenue loss and reduced customer loyalty.

Our Solution

Advanced Demand Forecasting

We developed a machine learning model that analyzes historical sales data, seasonality, promotions, and external factors (weather, local events, economic indicators) to predict demand with high accuracy. The model continuously learns and adapts to changing patterns.

[Forecasting Dashboard]

Automated Inventory Optimization

The system generates optimized inventory orders and allocation plans for each store, considering shelf life, storage constraints, and supplier lead times. It also provides dynamic pricing recommendations for items approaching their shelf life.

[Inventory Optimization Demo]

Supplier Collaboration Portal

We implemented a supplier portal that shares forecasted demand, enabling suppliers to better plan production and deliveries. The system also provides real-time visibility into inventory levels and movement across the supply chain.

[Supplier Portal Demo]

The Results

30%

Reduction in inventory waste

15%

Increase in sales from better stock availability

25%

Reduction in working capital tied to inventory

95%

Forecast accuracy for key product categories

Client Testimonial

“The demand forecasting solution has been a game-changer for our business. We've significantly reduced waste, improved product availability, and made our supply chain more responsive. The AI's ability to account for external factors like weather and local events has been particularly impressive, helping us stay ahead of demand fluctuations.”

AL
Amanda Lee
Chief Supply Chain Officer, [Client Name]

Ready to Optimize Your Inventory?

Discover how our demand forecasting solutions can reduce waste and increase sales in your business.