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Case Pentik

Better inventory turn with Logisticar operating model.

Project numbers

Decreased purchase lots by 30%

Service level improved by 5%


“With the help of Logisticar operating model we are maintaining a correct product range in our stores. We have managed to improve inventory turn and lower capital invested in inventories.”
- Päivi Yli-Juutti, Supply Chain Coordinator

Starting Point

Pektik stores controlled orders and stocks independently and there was no clear overall idea how many items were sold in each store unit. As an unfortunate result, Pektik stores had problems with product availability and at the same time some of the stores had overcapacity. Store managers also used extra time to order a wide range of products and check balances.

Problem Solving

As Pentik started using Logisticar operating model, a new product policy was created for each store, according to e.g. store size. Using ABC-logic they were able to determine which items were important. ABC-logic was then utilized in everyday work. Results started showing quickly and now stores have correct item policy, created by demand.

With the help of better item range and automated orders Pentik has been able to enhance inventory turn, service level and lowered the inventory value. Products no longer sit in warehouses, but are directed to those stores that have higher demand. This also helps the stores to get rid of items that are no longer in selection and direct them to outlet-stores. Logisticar program also calculates automated purchase suggestions for each store which in turn helps stores to lower the amount of work and gives a better idea of selection, inventory and sales.

During two years store inventory values went down 1,5 million euros, purchase lots decreased by 30% and service level went up from 93% to 98,5%.

Customer

Pentik is an international interior design retailer, who wants to bring northern beauty and coziness to homes. In our opinion, an inspiring home can be created by combining Finnish handicrafts and the most beautiful discoveries from all around the world.

The company was founded in 1971 and since then has already brought classic ceramics, dishware and textiles into Finnish everyday life and celebration. Pentk employs 320 people and its ceramic factory is located in Posio near the Arctic Circle.

Read more on Pentik's own site

More information?

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Contact information

Logisticar Oy

+358 50 318 2000
info@logisticar.fi
www.logisticar.fi

Niittytie 13 A
01300 Vantaa, Finland

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