MARIETTA, GA, UNITED STATES, July 27, 2022 /EINPresswire.com/ — Harry Cooper Supply Company, a Springfield, Mo.-based wholesale distributor of plumbing, electrical and heating supplies, is the latest company to realize the benefits of leveraging digital supply chain planning technologies alongside its ERP system to better manage inventory. By aligning its inventory strategies with Thrive Technologies and its machine learning technology Thermostock®, the team at Harry Cooper Supply Company has begun the journey to lower dead stock and improved turns.
Thermostock works by analyzing millions of data points from the company’s ERP system to optimize inventory for items with low sales activity—where forecasting is unusable. For a typical wholesaler, low-volume items account for approximately 80 percent of their catalog, but only represent 20 percent of their revenues. Company buyers only have time to focus on the high-volume items that represent 80 percent of revenues. This, in turn, leads to those low volume items becoming “dead stock” with more than a year’s worth of supply accumulated. Studies conducted by Thrive Technologies have revealed that up to 90 percent of a wholesaler’s dead stock is the result of overstock in those low-volume items.
The team at Harry Cooper Supply Company defined initial inventory policies with Thrive to achieve their desired results, with Thermostock generating an initial simulation before going live based on policies that can be adjusted at any time based on their needs. After going live, Thermostock regularly analyzes low volume recent sales activity, inventory on-hand, and incoming inventory to recalibrate stocking levels and move inventory to other locations where it can be sold. This is all achieved without risky software implementation or IT support since Thermostock interfaces with an existing ERP system, requiring only minutes of setup time to start producing critical data.
In the case of Harry Cooper Supply Company, the resulting benefit was identifying 61 percent of the company’s inventory as low volume at specific branches based on lack of recent sales activity, and setting those SKUs to nonstock special-order status. These items represented almost a third of the company’s total inventory investment, creating substantial inventory efficiencies that their ERP system alone could not determine. Implementing Thermostock came at a critical time for the wholesale distributor, as the company CFO and key inventory managers were set to retire. New technology was crucial for continuity of inventory operations in their absence, as they possessed all the foundational knowledge of the company’s inventory operations.
“Thrive’s Thermostock implementation was very simple and didn’t require a big software implementation,” said Harry Cooper Director of IT Wes Parker. “It required very little time or effort from our IT and buying staffs, and we’re excited about the impact it’s having on our inventory. It couldn’t have come at a better time considering the retirement of key inventory managers, allowing us to seamlessly move from their years of buying experience to a system that automated it for us.”
“Harry Cooper’s experience with Thermostock is a testament to the value it brings to any wholesaler with large volumes of low-selling items that can’t possibly be managed by buyers alone,” said Thrive Technologies CEO Rick Morris. “They’ve experienced incredible results in a relatively short time, and we’re excited to see the full value this innovative machine learning technology brings to their inventory management and business.”
To learn more about Harry Cooper Supply Company, visit them online at https://www.harrycooper.com. Additional information about Thrive Technologies and its proven supply chain technologies, including Thermostock, can be found online at https://www.thrivetech.com.
About Harry Cooper Supply Company, Inc.
Springfield, Mo.-based Harry Cooper Supply Company, Inc. is a wholesale distributor of plumbing, electrical, waterworks and HVAC supplies from a variety of leading manufacturers. The company prides itself on the quality and variety of supplies it offers customers, which includes contractors, designers, builders and DIY enthusiasts. The company values the importance of staying ahead of the curve and promoting innovative products to create new opportunities for its loyal customers, as well as staying true to the traditions that have earned them a national reputation as the definitive resource for excellence in construction. https://www.harrycooper.com
About Thrive Technologies
Thrive Technologies is committed to solving supply chain planning issues for inventory intensive companies without requiring expensive risky software implementations. Thrive has developed patent pending digital inventory technologies that reduce lost sales by at least 50 percent and prevent up to 90% of the accumulation of dead stock. Thrive’s digital technologies integrate closely with clients’ ERP systems to monitor transactional demand to provide more agility in managing unpredictability and change in demand and supply chains. For more information, please visit Thrive Technologies at www.thrivetech.com or follow them on LinkedIn, Facebook or Twitter.