Case Study: Lubinski Group achieves 25% lower stock and 95%+ service levels with ToolsGroup

Lubinski Group cuts inventory 25% with ToolsGroup

The Lubinski Group, a major Israeli automotive importer and distributor, faced significant challenges in managing its large inventory of over 20,000 slow-moving spare parts SKUs. Using manual, fixed planning methods led to increasing stock levels, costly write-offs from obsolete items, and expensive rush air shipments. The implementation of a new ERP system further contributed to supply chain instability. To address this, Lubinski partnered with vendor ToolsGroup to implement its demand planning and replenishment solutions.

ToolsGroup's solution provided a fully automated, self-learning planning system that optimized replenishment policies for all SKUs. This allowed Lubinski to move from two full-time planners to just one part-time planner while drastically improving outcomes. The results included a 25% decrease in stock, a stable service level of over 95%, a one-third reduction in air shipments, and first-year savings of €1.5 million from inventory reductions alone. ToolsGroup enabled a highly efficient operation that became a competitive advantage for the company.

Lubinski Group