High Volume/High Mix Manufacturing and Distribution
COMPANY OVERVIEW The world’s leading carwash equipment supplier, backed by private equity, experienced rapid growth, quadrupling its revenue from 2019 to surpass $1 billion in 2023. Operating across four manufacturing sites and 25 distribution centers on multiple ERP systems, the company owned $150 million in inventory and faced significant supply chain and operational inefficiencies due to the absence of a cohesive inventory and planning strategy.
BUSINESS CHALLENGES
No Inventory Strategy
Repeat Ordering of Unneeded Parts
Shipping Delays
OBJECTIVES
REVIEW CURRENT STATE Consolidate key part-level data including historical usage, lead time, ERP settings, and on hand cost in centralized database.
MIN/MAX CALCULATOR Standardized min/max calculations company-wide and develop ordering patters and quantities.
INVENTORY HEALTH ACTION PLAN Compared tool-generated recommendations against current on-hand inventory to identify gaps and drive actionable ordering decisions.
RESULTS Increased LISC by 5% and improved inventory turns by 10% (from 10 to 11). Reduced on-hand inventory at pilot site ($40M) by $6M (~25%) within first 6 months Standardized planning/reordering process. Developed 1-year roll out plan for remaining locations
Conclusion
The collaboration between Pines Optimization a PE-backed car was manufacturer overcame critical supply chain inefficiencies through data-driven inventory management. The measurable gains — higher inventory turns, reduced working capital, and broader strategy adoption — demonstrate the value of aligning scalable systems with rapid growth.