Parts supplier Brezan is launching a new logistics system this month that updates stock at wholesalers every week. The system, called Blue Eagle, allows stock to be refreshed weekly based on order history.
Stock per branch
The supply chain project began this year as a pilot scheme. As a result, parts availability rose from 73 to 87 per cent. Brezan has now rolled out the system across all its branches. “In parts logistics, stock levels are often determined at head office level by the distributor,” logistics director Peter Meyer told Automotive. “As a result, stock levels per branch are not always optimal.” That is why stock is now being managed on a branch-by-branch basis.
Stock entitlement
The system works as follows: once an item has been sold a certain number of times, the retail outlet is entitled to stock the item. If sales are lower than this, the retail outlet loses this entitlement. The item is then returned to a depot, from where it is dispatched to a point where there is sufficient demand. If demand does not exceed a certain minimum, the item is held in stock at the central distribution centre.
Editorial LogistiekProfs
