AkzoNobel Selects Terra Technology to Cut Inventory in Europe and Africa
AkzoNobel, the largest global paints and coatings company and a major producer of specialty chemicals, has purchased Terra Technology’s Demand Sensing and Multi-Enterprise Inventory Optimization solutions to improve demand predictability and reduce...
“AkzoNobel chose Demand Sensing and Multi-Enterprise Inventory Optimization after a successful pilot in Europe demonstrated a 29 percent reduction in forecast error and the opportunity to reduce several days of inventory,” said Alain Crottaz, EMEA Planning Director, AkzoNobel. “Better forecast accuracy and an optimized safety stock engine provided by Multi-Enterprise Inventory Optimization will help us achieve our key goals of lowering stock while improving customer service.”
The chemical industry is capital intensive, so managing working capital and cash flow is particularly important, especially during times of economic volatility. Chemical companies are increasingly interested in becoming demand driven to improve supply chain efficiency and gain a competitive advantage. Demand Sensing and Multi-Enterprise Inventory Optimization will help AkzoNobel capture current information from across the supply chain to better predict demand and drive down inventory.
“We are delighted to have AkzoNobel as a customer,” said Robert F. Byrne, CEO of Terra Technology. “Balancing inventory investments with demand is challenging in today’s volatile markets. Terra’s solutions can help AkzoNobel improve operational efficiency to streamline its supply chain and assist in its goal of building lasting and profitable customer relationships.”