Case Study: Mahindra & Mahindra Ltd cuts inventory by 10% and lowers costs with Blue Yonder

Mahindra & Mahindra Drives Profitability via Dynamic Segmentation

Mahindra & Mahindra’s Spares Business Unit, part of the $20 billion Mahindra Group and the world’s leading tractor maker by volume, needed to improve spare‑parts availability while cutting excess stock. Manual segmentation and planning processes led to inefficient allocations, high safety inventory and inconsistent service levels, so the SBU sought a scalable, data‑driven solution.

By adopting Blue Yonder’s Luminate Platform for dynamic, ML‑driven segmentation and location‑based planning, M&M automated demand clustering, optimized service‑level tradeoffs and added new demand attributes (e.g., average quantity per order). The initiative drove roughly a 10% reduction in inventory quantity overall, delivered up to a 6% reduction in inventory value (and a 4% reduction in quantity from overall segmentation), and improved allocation efficiency, responsiveness and profitability.

Mahindra & Mahindra Ltd