Case Study: Invacare reduces inventory investment and boosts service levels with GAINSSystems

How Invacare Cut Inventory by 55% and Boosted Service Levels to 97%

Invacare, a healthcare manufacturer and distributor of medical equipment, needed to improve service levels and product availability without continually increasing inventory. To avoid stockouts, the company had built up inventory, which hurt cash flow, raised storage costs, and increased obsolescence. GAINSystems provided its supply chain performance optimization platform to help address these challenges.

Using GAINSystems’ Demand and Inventory Planning solution, Invacare optimized forecasting, synchronized supply and demand, and used multi-echelon inventory optimization and production planning to reduce costs while improving service. The results included a 55% reduction in inventory investment, customer service levels rising from 60% to 97%, and an 8% increase in overall profit margin, along with lower handling costs and near-zero expediting costs.

Invacare