Hornbach has selected AI-supported forecasting and replenishment solutions from Relex. The operator of DIY stores and garden centres is implementing the Finnish software company’s tools in its stores and distribution centres across Europe. With this step, the company expects to improve product availability, increase operational efficiency and further optimise its supply chain.
Hornbach was using SAP’s F&R Engine for automated replenishment. From 2027, SAP will no longer maintain this solution. The DIY company obviously did not want to take the step towards successor software SAP UDF. Edeka Group had already made the same decision in January 2023. The Retail Optimiser reported.
Hornbach offers more than 50,000 items in each of its 171 stores in nine European countries. Online, the range comprises up to 290,000 items. Complexity of the product range and the large number of suppliers require a high degree of automation to organise planning and ordering processes efficiently. The company expects the new platform to better adapt its product range to customer requirements and optimise its stock levels.
AI anticipates fluctuations in demand
The Relex platform uses machine learning to analyse huge amounts of data and create precise forecasts. Hornbach uses the solutions for supply chain diagnostics, weather-based forecasts, scenario planning and collaboration with its suppliers.
To predict customer demand more accurately, the software takes into account a variety of factors such as historical sales data, promotions and weather conditions. The use of weather-based forecasts and scenario planning enables the company to better anticipate fluctuations in demand and flexibly manage seasonal items.
Customisation requires no programming knowledge
The Relex user interface allows users to implement changes quickly and easily, even without programming knowledge. This enables Hornbach to adapt the parameters to changing conditions without having to rely on the software provider or external consultants. This may have played a key role in the decision in favour of Relex. It follows the example of large parts of the German retail sector that have already opted for the Relex platform, including Lidl, Aldi Nord, Rossmann, dm, Douglas and the Rewe supermarkets in addition to Edeka.
