CASE STUDY:

Inventory Optimisation Program

Client Profile:

Australian Pharmaceutical Industries (API)  ( www.api.net.au ) is a leading Australian Wholesaler of Health and Beauty products (supplying over 5,300 pharmacies and accounting for approx. 35% of the Australian market). In addition, API operate a diverse portfolio of Retail brands with 475 Priceline stores being the most well-known.

Background:

API aimed to relaunch the technology transformation program which included implementation of a new SAP S/4 HANA environment in AWS, SAP Customer Activity Repository, to gain real time transactional information across the Priceline retail network, launched a comprehensively revised loyalty program with their 7 million member Sister Club, transformed API’s Inventory management to be completely automated from AI based forecasting, and optimized replenishment calculation through to automated ordering from suppliers based on SAP’s UDF/DDF/F&R technologies.

Client Objective:

To leverage an integrated suite of SAP products that will deliver data driven forecasting capabilities leading toward automated inventory replenishment across all channels.

Seven Consulting Solution:

Seven Consulting was engaged to take over delivery of API’s Technology Foundation for their Inventory Optimisation Program which leverages an integrated suite of SAP products that will deliver data driven forecasting capabilities leading toward automated inventory replenishment across all channels.

This was achieved by changing the ways of working towards more agile principles whilst strengthening delivery governance, rebuild relationships between the program and key business stakeholders, stabilized the engagement with SAP and reshaping the projects within the program.

The program commenced in March 2019 with a 1.5 years duration with multiple projects ranging $250k – $5m+, 60+ resources from onshore, offshore, and supplier.

Client Outcome:

Among the benefits realised include the following:

• Gained real time transactional information across the Priceline retail network
• Achieved complete automation of inventory management from AI based forecasting, optimized replenishment calculation through to automated ordering from suppliers