Case Study: a tier-1 automotive company improves forecasting accuracy by 56% with Indicio Technologies

How a company in the tier-1 automotive sector improved their forecasting process and accuracy by 56%

A tier-1 automotive company partnered with Indicio Technologies to solve its difficulty in accurately forecasting market demand. The company was using a simple, bottom-up univariate approach, which provided little clarity over market shifts driven by macroeconomic factors and prevented efficient resource allocation, leading to unnecessary costs and potential lost revenue.

Indicio implemented a sophisticated forecasting solution that involved identifying seasonal patterns and key leading indicators. They then built and weighted a large number of multivariate econometric models into one optimal forecast. This process provided the automotive company with clear visibility into market drivers. As a result, Indicio delivered an 18-56% improvement in forecast accuracy and enabled the client to track market shifts at a much higher frequency.