Tag: demand planning

Construction equipment

Infiniti’s Demand Planning Solution Helped a Construction Equipment Company to Achieve Average Savings of $3.28 Million

Business Challenge

The construction equipment sector in Europe is undergoing a major transformation with the advent of new regulations, requiring construction equipment manufacturers to invest heavily in innovative technologies. Meanwhile, the industry is also experiencing low sales volumes and increasing pressure on suppliers. These factors, as well as others, are making Europe’s construction equipment market highly challenging.

Our client, a leading Europe based heavy construction equipment supplier, was struggling to manage and allocate capacity to meet their end-users’ increased demand. Also, inconsistency in the demand, owing to fluctuations in the market made capacity planning challenging for the client. Due to such challenges, the client found themselves trapped between shrinking profit margins and stagnant productivity. They were also unable to generate the profits necessary to invest in critical technologies. This necessitated the need to reinvest in new technology and better business practices. To better manage such challenges, the company approached Infiniti Research for a solution.

Accurate demand forecasting in manufacturing is critical and can sometimes be tricky. The information gained from demand planning can be used in all aspects of a manufacturer’s business, including manufacturing schedules, inventory management, product positioning, and production planning. Request a FREE brochure to gain more insights into the benefits of our demand planning solutions for construction equipment manufacturing companies.

Solutions Offered 

By examining challenges faced by the client, the experts at Infiniti Research recommended a demand planning solution. By partnering with the client, the experts at Infiniti Research conducted a detailed analysis of factors such as the number of consumers in the target market, demand for building tools, proportion expected to buy the construction equipment, anticipated timing of their purchase, and patterns of repeat purchases. The experts also examined the historical sales data, past sales trends of the company and offered powerful insights on how much, when, and which products should be stocked in inventory.

Such insights would help them formulate effective strategies for making smart decisions about inventory and production levels. This subsequently reduced the risk of stock-outs, resulting in lower holding costs and increased turnover rates. Simultaneously, Infiniti’s demand planning solution also allowed operational alignment in logistics and workforce. This further lowered logistic costs, maximized asset efficiencies, and guaranteed the desired service level.

Infiniti’s demand planning solution helped the construction equipment industry client improve under-forecasting by nearly 1.5%, representing average savings of $3.28 million in a year.

Today, the construction equipment market is at a crossroad. Companies that fail to take the challenges seriously, will face an uphill battle for viability. Infiniti’s solutions can help you survive this stiff competition. Request a FREE proposal to know how.

Global Construction Equipment Market Outlook 

The growth in consumer spending and exports of goods in Europe has increased capacity utilization and profitability of major corporates in Europe; thereby, increasing investments in commercial and industrial construction equipment market by public and private sectors in Europe. The global construction equipment industry is witnessing significant changes. The demand has been highly unpredictable and is currently weak, the prospects of manufacturers and suppliers are changing, new revolutionary technologies are booming, and competitors from heavy equipment dealers are becoming stronger.


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Realizing Savings of 27% in Year for a CPG Company with the Help of Demand and Supply Analysis

Business Challenge 

The client, a leading CPG company in South America, was facing predicaments in effective supply and demand planning. With retailers increasingly producing and selling private label products and major competitors moving towards direct-to-consumer (D2C) models, the client, who continued to sell through distributors and retailers, faced challenges in creating best possible customer experience for end users. Also, complexities in their supply-demand planning, product development, sourcing, and production pressurized them to better manage inventory. With an appropriate demand and supply analysis, the client wanted to accurately manage product demands and fulfill customers’ demands seamlessly.

Is your inability to meet customers’ orders resulting in revenue losses for the company? Demand and supply analysis helps companies to thrive in today’s competitive market by identifying target stock levels to meet the rising market demands. Request a FREE Brochure to learn more about our demand and supply analysis solutions.

Solutions Offered and Value Delivered 

By examining historical sales data, product orders, shipments, and current sales, the experts at Infiniti Research helped the client to make smart decisions about inventory and production levels. Infiniti’s demand and supply analysis also helped the client to respond to dynamic market demand and focus on customer-centric metrics. By focussing on consumer-centric metrics, the client was able to increase adaptability to demand volatility. Our demand and supply analysis solution subsequently helped them plan inventory supply against demand and helped them to reduce the company’s inventory levels. Infiniti’s demand and supply analysis solution the client was able to improve return on inventory assets, reduce excess inventory, and meet customers’ delivery requirements.

With Infiniti’s demand and supply analysis, the client was able to achieve a 13% reduction on unfilled orders and increase demand forecast accuracy. This helped the company to realize savings of over 27% in a year.

Mismatch in demand and supply planning can result in excessive inventory costs. Is your company facing the same challenge? Our demand and supply analysis solutions have helped various companies reduce excess inventory and meet delivery requirements. Request a FREE proposal to know how our solution can help your business.

What is Supply and Demand Analysis? 

Demand and supply analysis is a type of supply chain management process that analyzes customers’ needs to determine the capabilities of the supply chain. With the right process in place, management can match supply with demand proactively and execute the plan with minimal disruptions. The demand and supply analysis process is not limited to forecasting. It includes synchronizing supply and demand, increasing flexibility, and reducing variability. If the demand outstrips resources, businesses can improve production or alert consumers about the revised shipment times. If demand seems low, the sales and marketing team might develop promotions or push for a product launch.

CONTACT US to know more about our demand and supply analysis solutions.