Absolute Value Delivers Double Value to The Corix Group

The Corix Group is a $300 million company made up of three entities: Corix Water Products is a large water and wastewater products distributor; Corix Water Systems fabricates water and wastewater treatment plants; and Corix Utilities develops customized water, wastewater and sustainable energy systems and provides field metering services for gas, water and electrical utilities. This privately held company has over 1,200 employees in 60 locations across North America. Implementing Absolute Value has given more than 40 users company-wide greater access to business intelligence and forecasting for planning, purchasing, and managing their inventory of 1.7 million SKUs across 33 branch locations, for thousands of customers.

1.7 million SKUs are a lot to keep up with, and Absolute Value manages each one separately. The system utilizes 18 forecasting formulas, and uses the Best-Fit forecasting method of “reforecasting” the past for each item, and using the most appropriate forecast formula going forward. As trends for a SKU change, the formula used automatically changes to provide the most accurate forecast. “The more you use the tool, the better it gets. We received value from the day we started using it.“ commented Carol Wozney, Director of Infrastructure Services.

As critical as forecasting is, it is only half of the process of managing inventory. The Absolute Value replenishment process compares the forecast to time phased expected inventory to identify an inventory need with laser-like accuracy. This information is then used along with safety stock and economic calculations to determine the quantity to purchase. The result is a suggested order for each vendor.

“We can track how a recommendation was derived in a visual way, and apply human logic to ensure that it makes sense. Few if any other forecasting and replenishment solutions allow you to do this,” said Bill Palmer, Corix Manager of Special Projects.

To learn more about Absolute Value and read additional case studies and white papers, visit the Absolute Value Newsroom.

The Brown Smith Wallace 2014-15 Distribution and Manufacturing Software Guides are currently available for download. Please contact snelson@bswllc.com for more information about these latest editions.

2014-15 Distribution Software Guide: 

http://track.websiteceo.com/r/160948/www.software4distributors.com/downloads/2014_Distribution_Software_Guide_From_Blog.pdf

 

2014-15 Manufacturing Software Guide: 

http://track.websiteceo.com/r/160948/www.software4distributors.com/downloads/2014_Manufacturing_Software_Guide_From_Blog.pdf

 

Additional materials: 

http://www.software4distributors.com/vendor/resources_index.aspx