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๐Ÿ“ฆ AGR Feature overview

This article is meant to give an overview to the various ways you can optimize inventory with AGR


Overview

AGR is a comprehensive inventory optimization platform that automates demand planning, replenishment, and enables supplier collaboration across all items and locations. The system combines advanced forecasting, multi-echelon logic, and configurable business rules to drive optimal stock levels and operational efficiency.


Demand Planning & Forecasting

๐Ÿ”ฎ Demand Forecasting - Inventory IQ

  • Automatic 14-month forecast for every item-location combination

  • Daily calculations with best-fit model selection /by applying 5 statistical models, measuring & selecting the one with the lowest forecast error)

  • Supports diverse demand patterns (seasonal, intermittent, trend-based)

โœ๏ธ Demand Planning Adjustments - Inventory IQ

  • Users can make manual overrides to the forecast for selected time periods

  • Ability to add incremental demand on top of system forecasts

  • Supporting promotions and/or market changes

๐Ÿงฉ Demand Planning Flexibility - Planning Pro

Planning at multiple aggregation levels:

  • ๐Ÿ“ฆ Item

  • ๐Ÿ“ Location

  • ๐Ÿšš Vendor

  • ๐Ÿ—‚๏ธ Item group

๐Ÿ‘ฅ Customer group planning - Planning Pro

  • item-level, channel, forecasting & planning

๐Ÿ”— Multi-Echelon Demand Planning - Inventory IQ

  • Distribution demand for the next 14 months for main warehouse(s)

  • Daily calculations based on internal replenishment needs

  • Considers:

    • ๐Ÿ“ˆ location demand

    • ๐Ÿ“ฆ location based stock

    • โฑ๏ธ warehouse lead times

    • ๐Ÿ“… sub-location order schedules/calendar

๐Ÿญ BOM (Bill of Materials) Demand - Order Pro

  • Forecast driven by sales of finished goods / parent item.

  • Component demand calculated using BOM recipes

  • Considers:

    • โฑ๏ธ Production/assembly lead times

    • ๐Ÿ“Š Safety stock, stock on hand, replenishment period, minimum stock

    • ๐Ÿšš Supplier lead times taken into account on component replenishment needs


Inventory Optimization

๐Ÿ›ก๏ธ Safety Stock Calculations

Automatic demand uncertainty per item - Order Pro

  • Calculated based on forecast variability over:

    • โฑ๏ธ Lead time

    • ๐Ÿ” Replenishment cycle

  • Dynamically scaled in line with service level targets and ABC classification

Additional Safety stock types - Inventory IQ

  • ๐Ÿ“ฆ Safety stock (units)

  • ๐Ÿ“… Safety stock (days)

๐Ÿ”  ABC Classification

Importance classification based on:

  • ๐Ÿ“ฆ Sold quantity

  • ๐Ÿ’ฐ Revenue

  • ๐Ÿงพ Sales lines

  • ๐Ÿ“Š Cost of goods sold

  • ๐Ÿ“ˆ Margin

  • ๐Ÿ’ฒ Cost price


Replenishment & Ordering

โžก๏ธ Orders can be manual during the day or fully automated and transferred overnight to the ERP

๐Ÿงฎ Order Calculations - Inventory IQ

๐Ÿ“ฆ Regular Stock Items:

  • Demand (Lead Time + Replenishment Cycle)

  • Safety Stock

  • Minimum Display

  • Open Sales Orders
    โ€“ Stock on Hand
    โ€“ Incoming Orders

๐Ÿ“„ Special Order Items:

  • Open Sales Orders
    โ€“ Stock on Hand
    โ€“ Incoming Orders

๐Ÿ”„ Allocation & Distribution - Inventory IQ

  • Push stock to internal locations

  • Allocation based on:

    • ๐Ÿ“ฆ Stock levels

    • ๐Ÿ“ˆ Location demand

    • ๐Ÿ”ข Order multiples

๐Ÿ“… Replenishment Automation - Order Pro

  • Scheduled order calendars

  • ๐Ÿ”— Multi-echelon transfer order adjustments based on warehouse stock availability

๐Ÿ“ฆ Order Constraints - Order Pro

Optimization with real-world constraints:

  • ๐Ÿšข Full Container Load (FCL)

  • ๐Ÿ’ฐ Minimum order value

  • ๐Ÿญ Supplier constraints

โš™๏ธ Order Logic Settings - Order Pro

  • ๐Ÿ“† Order period

  • ๐Ÿ“ฅ Sales order inclusion rules

  • ๐Ÿ“‰ Backlog handling during stockouts

  • ๐Ÿ”ข Rounding rules:

    • Order multiples

    • Threshold-based rounding


Supplier Collaboration

๐Ÿ“Š Supplier Management - Insights Pro

  • Lead time analysis & variability tracking

  • Supplier performance dashboards

๐Ÿ“… Purchase Planning - Insights Pro

  • 12-month forward-looking purchase plans

  • Based on:

    • ๐Ÿ“ˆ Forecasted demand

    • ๐Ÿ“ฆ Current stock & incoming orders

    • โฑ๏ธ Lead times & replenishment cycles

    • ๐Ÿ”ข MOQ & order multiples

โžก๏ธ Exportable to Excel for supplier collaboration

The 12-month Purchase Plan horizon is a fixed limit and cannot be extended through settings. The Forecast Horizon setting (which controls how far ahead the statistical forecast is calculated) has no effect on the Purchase Plan horizon. To plan purchases beyond 12 months, use Sales Plans to enter values manually.


๐Ÿ”„Lifecycle Management - Inventory IQ

  • Identification of new and obsolete items

  • Link new items to predecessors

  • ๐Ÿชฆ Dead item logic:

    • No forecast after configurable inactivity period (default 12 months)

  • Control options:

    • ๐Ÿ”“ Open/close items

    • ๐Ÿ“… Set forecast end dates for seasonal products - Planning Pro


Insights, Monitoring & Reporting

๐Ÿšจ Exception Management - Inventory IQ

Alerts for:

  • โš ๏ธ Stockout risks

  • ๐Ÿ“ฆ Overstock situations

  • ๐Ÿ“ˆ Demand changes

  • โ— High uncertainty

  • ๐Ÿšš Undelivered orders

๐Ÿ“Š Operational Dashboards - Inventory IQ

  • Real-time stock health overview

  • Daily exception monitoring

๐Ÿ“ˆ Performance Analytics - Insights Pro

  • Power BI integration for KPI tracking

  • Supports continuous performance management and decision making


Key Benefits

  • โš™๏ธ End-to-end automation of planning and replenishment

  • ๐Ÿ“‰ Reduced stockouts and excess inventory

  • ๐ŸŽฏ Improved forecast accuracy and service levels

  • ๐Ÿ“Š Data-driven supplier and inventory decisions

  • ๐ŸŒ Scalable across multi-location and complex supply chains

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