Britannia maintains customer service levels through optimized inventory
The inventory optimization project with NTT DATA helped us take a segmented approach that looked at multidimensional levels of variability, gross margin, and our core and non-core portfolio. This helped us simultaneously optimize inventory and improve service levels.
As one of India’s oldest companies, Britannia wanted to maintain its hard-earned market position during frequent COVID-related lockdowns. But a complicated manufacturing and distribution network spread across a large and varied landscape made it difficult to plan for uncertainties. Fluctuations affected recently collected historical inventory numbers. The company also needed to identify, isolate and benchmark an ideal market state.
Variations in inventory performance across SKUs caused overstock and stock-outs. Brittania leveraged qualitative input from managers to understand common demand patterns, define actionable trends and extrapolate ideal inventory requirements from its data. NTT DATA’s proven inventory planning methodologies and product segmentation framework helped optimize the company’s inventory targets across different product segments and channels, meeting customers’ needs and identifying recoverable value.
Case study | Britannia Industries Limited | India | Retail and CPG
Abhishek Gaurav, Head of Planning, Britannia
Britannia engaged NTT DATA’s Integrated Demand and Supply practice to strengthen inventory numbers without compromising customer trust and loyalty. The company can now identify segments of its portfolio with high velocity and profitability, so it can focus investments and maintain lower overall inventory levels.
Focuses investment on segments with high velocity and profitability
Reduces need for excessive levels of working capital
Enables lower overall inventory levels
Establishes strict inventory norms at all warehouses
Improves inventory performance
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