Optimizing inventory planning in the automotive supplier industry

In the automotive supplier industry, newly introduced products and the fluctuating ordering behavior of OEMs require an efficient planning method. Discover how an improved planning strategy not only saves time but also increases the accuracy of inventory forecasts and avoids common problems such as excess inventory and supply bottlenecks for our customer.


The customer, who works as an original equipment manufacturer in the automotive industry, also offers automotive parts on the aftermarket. The planning challenges for this customer are complex. On the one hand, incomplete time series due to newly introduced products make forecast accuracy difficult. On the other hand, the highly volatile ordering behavior of OEMs (original equipment manufacturers) leads to further complications. These factors make reliable planning increasingly difficult.

In the customer's previous approach, planning was carried out by regularly, manually importing data into a central Excel spreadsheet. However, this method proved to be time-consuming and inefficient. The forecasts created in Excel were often inaccurate and only available at a very rough level of aggregation. These inaccuracies in turn had negative effects on warehousing. There were often both excess inventory, which caused unnecessary costs, and out-of-stock situations, which led to supply bottlenecks and potentially lost sales.

The need to optimize this planning process is obvious. A more efficient and accurate method could not only save time, but also improve the accuracy of forecasts and optimize inventory levels to minimize both overstocks and shortages.

Lösung mit pacemaker.ai

pacemaker.ai has developed tailor-made forecasts for the customer, which meet the various requirements and range from model series to SKU (stock keeping unit) level. These forecasts are structured through various filter levels, which include plants, production lines and material types.

pacemaker.ai's predictions are configured to be made on a monthly basis. The accuracy of these forecasts varies depending on the level of aggregation, with the prediction accuracy exceeding 85% in some cases and as much as 95% in others. This high level of precision in forecasts enables customers to make more efficient and precise planning and decisions in the production process.

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