Frejborg Distribution AB, Sweden’s largest wholesaler of health and wellness products, has started a roll-out of RELEX’s solution to control and optimize replenishment of its central warehouse. Frejborg Distribution AB is a subsidiary of Life Europe and supplies Life’s own, franchise, and member stores in Sweden, Norway and Finland with well-known brand products as well as Life’s own private label products.
Frejborg Distribution’s starting point for the partnership with RELEX was a clearly identified need for increased accuracy and efficiency in replenishment: “We used to maintain the replenishment parameters in our ERP system Dynamics NAV, but it was clear that this would not do in the long run. When the assortment is as wide and varied as ours, you really need a working forecasting and replenishment solution to manage all the different material flows. We also wanted to increase our ordering efficiency to be able to spend more time on dealing with exceptions and less time on routine replenishment” CEO Bengt Svensson explains.
There are several reasons why Frejborg Distribution chose RELEX’s solution. Bengt stresses two factors: ”RELEX’s deep understanding and vast experience of both wholesale and retail operations makes the company an ideal partner for us. Their solution also provides much better support for promotion management than any of the other systems that we evaluated, and promotions are, of course, very important in our line of business.”
The co-operation between Frejborg Distribution and RELEX started out with a pilot phase, during which RELEX’s solution was integrated with Frejborg’s ERP system and used in replenishment from selected suppliers.
Lena Scott, Supply Chain Planning Manager at Frejborg Distribution, summarizes her observations from the pilot phase: “RELEX’s system is easy to learn and easy to use. In addition, already in the pilot phase, it became clear that the new system provided us with much more accurate control parameters and better replenishment suggestions. A great advantage in my day-to-day work is that the system takes into account how much we need to order from each supplier to attain free freight deliveries and automatically forms its order suggestions accordingly. It is also easy to get exactly the performance reports that we need and the system even enables us to send out reports to suppliers, automatically.”