Innovative inventory forecasting at Accsys
A Revolution in Supply Chain Management
Customer: Accsys
Industry: Production
Challenge: Increase supply chain efficiency and save costs.
Issue
Accsys Technologies Accsys Inc. is a leading innovator in the wood production industry, known for its environmentally friendly technologies and sustainable wood products such as Accoya® and Tricoya®. These products are important to a variety of markets, ranging from building materials to design. Recently, Accsys faced a significant challenge: improving the accuracy of their inventory forecasting to increase supply chain efficiency and reduce costs.
Challenge
To address Accsys' challenges, we have developed an advanced Data Science-approach implemented. The project started with analyzing historical data and identifying new suppliers since June 2023. We developed two models: an old method based on 'SupplierCode' and 'ItemCode' with ten months of history, and a new method using more granular data, such as wood type and quality, with only three months of history.
Solution
The implementation of the new Data Science models has delivered significant improvements:
- Reduction of total prediction error: From 1291.06 to 1141.86 (an improvement of 13%).
- Reduction of the squared prediction error: From 569.84 to 463.76 (an improvement of 23%).
- Acceleration of data processing: Daily updates instead of monthly, resulting in more timely and accurate data for decision making.
Benefits
Data Science has not only solved Accsys’ specific challenges by improving the accuracy of their inventory forecasts, but has also led to faster decision-making and reduced operational costs. This approach has also revealed potential for further improvements by using Machine Learning to deliver even more personalised and accurate forecasts.
Contact us!
Are you interested in how Data Science can optimize your supply chain? Contact us via our contact form for a free consultation to discuss how we can transform your business.