Case Study: Lusiaves Group Recovers 2 Million Euros with BRAINR's New Physical Inventory Counting Module
Overview
The Lusiaves Group, the leader in the agri-food sector in Portugal, sought to optimize inventory management in its warehouses. With large scale operations, maintaining strict control over stock levels was essential to avoid unnecessary operating costs and ensure efficient customer service. To solve this challenge, the Lusiaves Group implemented the BRAINR's new Physical Inventory Counting module, created to digitize and automate the complete flow of physical inventory counting, from start to finish.
The Challenge
Before the implementation of this module, the Lusiaves Group faced several difficulties in managing the inventory:
- Manual Errors: The manual counting process was time-consuming and error-prone, impacting the accuracy of the recorded stock levels.
- Operational Delays: Inventory discrepancies led to production and distribution delays.
- Financial Impact: The lack of real-time visibility resulted in unaccounted inventory and unforeseen financial losses.
Given its large operational dimension, the Lusiaves Group needed a solution that would integrate an accurate, fast inventory system with real-time data, which was made possible by BRAINR's Physical Inventory Counting module.
The Solution: BRAINR Physical Inventory Counting Module
BRAINR's Physical Inventory Counting module transformed the Lusiaves Group's inventory counting process by:
- Centralized Workflow Orchestration: The module allows the warehouse manager to control the entire counting process from a central panel. In this way, managers can initiate and monitor inventory counts in an integrated way.
- Mobile Application for Operators: Warehouse operators use the BRAINR mobile application to record counts directly on site, without the use of paper documents, ensuring that the data is captured in real time and with greater accuracy.
- Discrepancy Resolution and Stock Adjustments: After the counts are completed, the module automatically identifies discrepancies between expected and actual stock values. The warehouse manager can review these differences and authorize adjustments directly in the system.
This integrated and automated workflow allowed Grupo Lusiaves to perform more frequent and accurate physical counts, freeing up resources and reducing the margin of human error.
Achieved Results
Recovery of 2 Million Euros in StockIn the first month of using the module, the Lusiaves Group identified €2 million in stock that had not previously been accounted for. By automating and digitizing inventory counting, BRAINR's new module revealed discrepancies and “hidden” inventory that previously went unnoticed.
Operational Improvements
- Higher Accuracy: Digital flow and real-time data capture reduced manual errors and significantly improved the accuracy of inventory counts in all warehouses.
- Faster Counting Cycles: The possibility of orchestrating the complete counting process allowed Grupo Lusiaves to reduce the time required for each inventory cycle, allowing for more frequent and reliable counts.
- Simplified Settings: With immediately visible discrepancies, the warehouse manager was able to authorize stock adjustments quickly, minimizing interruptions in the workflow.
Financial Benefits
- With accurate inventory, Grupo Lusiaves improved its financial planning and production forecasting. The €2 million recovered represented not only a direct gain, but also freed up capital to reduce the need for excessive security stocks and avoid unnecessary reordering costs.
Conclusion
The implementation of BRAINR's Physical Inventory Counting module allowed Grupo Lusiaves to transform inventory management and achieve concrete operational and financial results. The centralized management of workflows, the mobile application for operators and the automated resolution of discrepancies gave Grupo Lusiaves the ability to maintain an accurate and reliable inventory, effectively supporting its growth strategy.
Main Results
- Recovery of 2 Million Euros: In just one month, the Lusiaves Group identified €2 million in unaccounted stock, demonstrating the value of the module.
- Real-Time Data and Higher Accuracy: The digitized workflow and real-time data guaranteed a more accurate and updated view of stock levels.
- Improved Operational Efficiency: The solution reduced the time and resources dedicated to counting, allowing the Lusiaves Group to focus on growth strategies and operational efficiency.
This case exemplifies how the right digital tools can reveal hidden value and drive operational transformation in a large organization.
