Haarlem, The Netherlands (January 15, 2014) – Praxis is the leading Do-It-Yourself brand in the Netherlands. The hardware store chain offers the best products and prices to DIY enthusiasts across the country, boasting a total of 140 stores and 1 webshop with an assortment of over 20.000 SKU’s. Twenty-nine of these stores fall into the mega store category, with a surface of 5.000 – 8.000 m². Praxis has garden centers in 11 of its mega stores and was in need of a solution that could help them optimize the distribution of seasonal plants for all their stores. To address this, business and software solutions provider Ab Ovo, developed an AIMMS-based application that will allow Praxis to optimize distribution in accordance with seasonal change, while bringing more transparency and reliability to its planning process.
Inbound plant logistics at Praxis
Praxis works with numerous plant growers which deliver their products in roll cages to a central distribution supplier. Roll cages are then combined and dispatched to Praxis’ stores from this supplier. Praxis needed a solution that could help them establish a cost-efficient merchandizing and logistics procedure for their stores based on seasonal sales volumes.
Ab Ovo’s solution to this problem is two-fold. It consists of a forecasting & merchandizing module, and a logistics planning module. Both modules aim to optimize the overall contribution margin to Praxis. The Praxis’ supply chain team is now able to evaluate different delivery methods in order to arrive at the best possible outcome. The implemented solution also facilitates discussions with the supplier in order to assess which plant combinations can be best picked up at the supplier for direct delivery to each store, thereby reducing shrinkage, handling and transportation costs.
Both Willem Jan Groenewoud, chairman of Ab Ovo and Christophe Frere, VP EMEA of AIMMS are proud to bring the value of optimization to industry leaders like Praxis. Working with the Praxis distribution team to solve the plant puzzle was characterized by words like pragmatic, professional, timely and ambitious. Using prototyping during on-site sessions, a solution was created quickly, which delivered the result Praxis was looking for.
“We are experiencing the benefits of the AIMMS-based solution on a weekly basis. The close cooperation with the Ab Ovo team and their understanding of our needs resulted in one of the fastest ICT projects we have encountered so far. Within 2 months the AIMMS tool was operational and we could start the implementation of the new plant planning process,” states John ter Horst, Supply Chain Demand Planner at Praxis.
About Ab Ovo
Ab Ovo is an innovative and independent business & software solutions provider. We provide business consultancy and interim management as well as highly specialized software solutions. Ab Ovo is a key player in the field of European logistics with extensive experience and expertise in supply chain management, logistic processes and advanced planning, scheduling & optimization solutions. We deliver unique software solutions based on in-house software development and specialist third-party software from a select number of highly innovative partners. Offices are located in the Netherlands (Rotterdam and Amsterdam), Germany (Düsseldorf) and Sweden (Stockholm).
Please visit www.ab-ovo.com for more information about our activities and relevant references.
AIMMS is an innovative technology company with offices in The Netherlands, Seattle (US), Singapore and Shanghai. For over 20 years, the company has been developing and selling a unique mathematical optimization platform. AIMMS customers can create high business impact with optimization engines and solutions that enable optimal decision making on complex strategic, tactical or operational problems.
Visit www.aimms.com for more info.