BMW South Africa’s Parts Distribution Centre in Midrand services the 64 BMW dealerships across the country with parts and accessories and is under pressure to deliver on time and to specification. In 1997, BMW South Africa joined forces with Barloworld Optimus, using our Optimiza software to achieve a 26% reduction in inventory from the offset, while at the same time improving availability from 94% to 95.2%
But our work does not stop when the results come in. During our partnership, we noticed that while BMW PDC may offer high levels of product availability to the dealership, this does not necessarily translate directly into high levels of service offered to the end customer. Our solution was to obtain data from each of the dealer systems and use Optimiza as the central database and repository, creating a Centre of Excellence to provide inventory expertise to each of the dealerships. In just the pilot phase, BMW South Africa benefited from a 13% reduction in inventory and an increase in availability from 96.1 to 98.3%