Managing Inventory of Slow-Moving Items

This case study describes how General Air, a gas and welding supplies distributor, improved its inventory management for slow-moving items through the implementation of Thermostock. The initial challenge involved a large number of stocked SKUs, with 97.8% of these selling 10 or fewer times in the last 12 months, which complicated inventory analysis across eight locations. General Air's fill rate target was set at 80%, but the company consistently fell short of this goal. By integrating Thermostock, General Air automated the process of non-stocking SKUs with no sales in the past year, effectively reducing its stocked items to 50.6% of the total SKU count. The solution provided greater visibility for salespeople and branch managers regarding stocking decisions and inventory levels, ultimately increasing the fill rate to 88%. The company aimed to further optimize inventory management to reduce dead stock and prevent lost sales.