Rafaella Apparel eliminates inventory levels with Demand Solutions

30 Oct '09

2 min read

Demand Management, Inc., a global resource for managing the supply chain for small and midsized enterprises, announced that Rafaella Apparel Group identified and eliminated a 40 percent excess in inventory with the help of Demand Solutions supply chain management software.

Rafaella Apparel Group, a designer, sourcer and marketer of women's clothing since 1982, is known for providing functional and fashionable clothing for women's work and life wardrobes. In order to propel its profits, the company replaced its time-consuming, manual inventory planning process with Demand Solutions Forecast Management and Requirements Planning software. The demand planning and inventory replenishment software has enabled the apparel company to forecast more accurately, increase efficiency and optimize inventory.

"Three years ago, our company thought that it was effectively managing its inventory, so it was quite a shock when Demand Solutions identified an excess of 40 percent," said Rafaella Apparel Group's director of retail planning and replenishment Sean Carolan. "Though the reality was difficult to digest, Demand Solutions kept our inventory problem from spiraling out of control and helped us take deliberate action in advance of the recession."

"Inventory planning in a recession is like working in fast forward," said Carolan. "By the time the system or anyone can detect a demand trend, it changes. Because the planning methods in Demand Solutions are not solely based on statistical equations, we can incorporate our own intelligence - which has proven to be critical in recent months."

"Inventory planning for apparel companies is especially complex during a recession," said Demand Management president Bill Harrison. "Not only do organizations have to manage the seasonality and long lead times of thousands of SKU combinations, companies must now also consider the financial stability of suppliers and trading partners. These factors among others create an environment that fosters excess inventory. Helping Rafaella Apparel Group address these pain points and eliminate a 40 percent inventory excess before the recession demonstrates our focus to empower a competitive advantage for our customers through effective demand and inventory planning."

Rafaella Apparel Group

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