An automotive parts distributor worked with dozens of suppliers and uneven lead times. Buyers reordered on calendar rhythm; stockouts hit when a single supplier slipped two weeks.
The situation
1,600 SKUs, seasonal demand, and promotion-driven spikes. Safety stock fields were outdated. When a supplier delayed, the team discovered risk only after the bay was empty.
What ERP data showed — but didn't say
PO and goods-received history proved actual lead time distributions — not the one number on the supplier card. The ERP never combined lead time variance with velocity to suggest buffer quantities.
Turning history into an action list
Flowra computed lead-time bands from historical receipts and produced:
- Reorder points adjusted per supplier reliability tier
- A supplier risk panel for the weekly purchasing call
- Expedite flags only where margin and velocity justified air freight
High-variance suppliers got buffer recommendations; stable lines shed excess cover.
Results
- Supplier-related stockouts down 24% in one season
- Excess buffer stock on stable lines reduced by €52,000 at cost
- Buyer-supplier meetings used shared evidence instead of anecdotal delays