Collateral:House Foods Corporation Reduces Costs and Optimizes Inventory Levels with JDA Software and a New Centralized Supply Chain Management Division

Brief Overview

House Foods Corporation, a leading food products manufacturer based in Japan, established a centralized supply chain management division supported by JDA Demand and Fulfillment solutions to address its business challenges. The company is now realizing benefits that include a 39-percent reduction in inventory levels, a 48-percent decrease in warehouse maintenance costs, as well as a 40-percent reduction in product disposal costs.

Benefits include:

Increased forecast accuracy

Improved data for decision making, as well as inventory and manufacturing

planning

Increased brand loyalty

Improved supply chain visibility

Reduced stock-outs and better inventory turns and product sell-through,yielding higher margins

Ability to create an optimized, multi-level replenishment plan

Reduced overall inventory levels by 39 percent

Lowered average days in inventory from 36 to 22

Increased order-fill rates to more than 99 percent

Lowered warehouse maintenance costs by 48 percent

Decreased unnecessary bargain-sales costs by 50 percent

Reduced product-disposal costs by 40 percent

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