German department store chain Galeria has selected Blue Yonder’s demand and replenishment capabilities to improve supply chain operations and operational efficiency.
This strategic move is aimed at providing a more responsive and unified shopping experience across Galeria’s physical and digital platforms.
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Galeria chief supply chain officer Moritz Winter said: “Galeria’s supply chain management is undergoing a significant transformation, with a primary focus on boosting customer satisfaction.
“To achieve this, it was crucial to enhance both stock availability and allocation accuracy. There was an urgent need to improve the management of allocations and replenishments, streamline business processes, and implement standardisation and automation. Galeria recognised Blue Yonder as the ideal supply chain solutions provider for this transformation.”
Galeria, which operates 83 stores, depended on manual processes for demand forecasting and inventory allocation throughout its stores, prior to integrating Blue Yonder’s capabilities.
Leveraging Blue Yonder’s AI-driven solution, the retailer plans to adopt a fully automated machine learning model, which is expected to boost the agility and strength of its supply chain.
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By GlobalDataMoreover, Galeria anticipates an improvement in customer service levels by synchronising inventory with real consumer demand.
This alignment is projected to mitigate the risk of product shortages, curb the incidence of excess stock, and consequently diminish waste.
The implementation of Blue Yonder’s solution is also set to refine Galeria’s life cycle management processes and expedite the introduction of new products.
Additionally, it will enhance the management of products reaching the end of their life cycle by minimising markdowns and surplus inventory through detailed analysis of demand patterns.
Galeria inventory management and buying analytics director Alexander Rings said: “Blue Yonder’s demand and replenishment capabilities provide a high level of standardisation, AI-driven forecasting, and process simplification, making them a perfect fit for our needs. The implementation was initially designed to help us transform into a customer- and demand-driven supply chain by leveraging software as an enabler; however, it also reshaped our understanding of central business processes and needs.
“While stock availability increased significantly, we are in parallel working on fundamentally improving data and buying processes.”
In November last year, another German retailer, Alnatura, implemented Blue Yonder’s category management solutions to upgrade its space management capabilities by transitioning to a software-as-a-service model.
