Case Study: Aptiv achieves lower inventory and fewer expedites with Algo's Intuiflow

Aptiv cuts inventory 30% and rolls out Algo Intuiflow across 100+ plants

Aptiv, a global automotive technology company, faced significant supply chain challenges due to volatile OEM demand signals and high inventory levels. Their plants routinely carried double the target inventory yet still battled constant variability and expedites. To modernize its planning, Aptiv partnered with vendor Algo to pilot its Intuiflow (DDMRP) software, seeking a method to smooth supply signals and unlock working capital without adding complexity.

Algo's Intuiflow solution was implemented to create buffers on key components, which decoupled lead times and smoothed the supply signal. Following successful pilots, Aptiv committed to a global rollout across over 100 plants. The results included a 30% inventory reduction at the pilot plant, a significant drop in expedites and premium freight, and reduced planner workload from less firefighting. During the COVID-19 shock, plants using Intuiflow experienced fewer disruptions. Algo's solution provided the stability and working-capital gains that enabled Aptiv's aggressive global expansion.

Aptiv