Context: A global e-commerce retailer seeking to improve its inventory management and streamline fulfilment operations.
Challenge: The client struggled with overstock and stockout issues, which affected order fulfilment and customer satisfaction. Manual inventory tracking and forecasting processes were inefficient and led to lost sales opportunities.
Action:
- AI-Powered Demand Forecasting:
- Novacept’s generative AI analyzed historical sales data, seasonal trends, and customer demand to accurately predict future inventory needs.
- The AI system continuously updated forecasts in real-time, allowing the client to adjust stock levels and avoid overstock or stockouts.
- Automated Inventory Replenishment:
- We implemented an AI-based automated inventory replenishment system that ensured stock was replenished at the right time based on demand forecasts.
- The AI also provided insights on which products to prioritize, enabling the client to focus on high-demand items while reducing excess stock.
- Streamlined Fulfillment Process:
- Generative AI helped optimize the fulfillment process by dynamically routing orders to the nearest warehouses with available stock, reducing shipping times and costs.
- The AI-driven system also managed order packing and shipment scheduling, improving operational efficiency.
Result: Novacept deployed a generative AI solution to automate inventory management, ensuring optimal stock levels and reducing fulfilment delays.
- Reduced Stockouts and Overstock: The client saw a 40% reduction in stockout incidents and a 30% decrease in overstock, leading to improved inventory management.
- Faster Order Fulfillment: With optimized inventory and fulfillment processes, the client reduced order delivery times by 20%, enhancing customer satisfaction.
- Increased Revenue: By accurately forecasting demand and optimizing stock levels, the client boosted overall revenue by 15%, as fewer sales were lost due to stock issues.