Managing Inventory When Demand Extremely Fluctuates

4R uses sophisticated algorithms engineered for fluctuations, resulting in highly accurate estimates, which leads to higher service levels and lower inventory costs.

Avoid wide fluctuations of inventory to meet always-available customer demand

Real business results:

Dramatically decrease excess inventory by >60%
Increase sales and annual sales projections
Reduce lost sales across departments and product categories

Successfully manage demand fluctuations to provide a comprehensive range of inventory, at the right prices, in every location.

Successful auto part retailers provide a comprehensive range of tires and automotive parts at competitive prices, enabled by a sustained supply chain and good inventory efficiency. While the market is considered a mature one, many retailers and service centers still operate aging rigid legacy systems. They are vulnerable to disruptions and cause retailers to struggle to adjust to the ever-changing industry drivers. The industry is projected to bounce back and key success factors include:

  • Cost-effective distribution system to keep stores well stocked
  • Control of distribution arrangements
  • A loyal customer base that increases profitability by creating a consistent revenue base
  • Sales staff with thorough automotive knowledge to answer customers’ automotive questions
  • Establishment of brand names to satisfy customers who prefer reliable and well-known brands.

Accurately estimate safety stock, reorder points, and service levels to achieve higher service levels and lower inventory costs.

The 4R suite of Intelligent Inventory Optimization solutions have proven to help retailers meet customer expectations, improve profitability, reduce inventory, and empower employees – some clients realizing $6 million to $265 million in incremental profit. We focus on the high-value processes for optimizing supply chain and inventory management, in these core functions: Demand Planning, Replenishment, Assortment, Allocation, Markdown and Vendor Orders. Our profit-optimized solutions take full advantage of advanced analytics, which leverage these improved predictions and promise to provide stability to avoid wide fluctuations and deliver profit improvements across the supply chain and merchandising decisions.

The 4R experts who built the best-in-class AI-powered solutions provide planning as a service (PaaS) to maximize overall business efficiency and ROI.

Demand Planning

Machine Learning-based forecasting solution identifies true demand that generates more accurate forecasts, driving more accurate upstream and downstream processes that maximize profitability and supply chain efficiency.


Replenishment Planning

Enable multi-echelon inventory management that is guaranteed to maximize profit across all channels, reduce inventory carrying costs and deliver superior customer service.

Allocation Planning

Allocates the right amount of inventory to the most profitable locations at the right time to maximize in-season sales, minimize stranded end-of-season inventory and reduce the need for future markdowns.

Assortment Optimization

Optimize product offerings at each store to meet customer preferences and drive revenue growth through data-driven insights, resulting in improved customer satisfaction.

Vendor Order Optimization

Manage vendor orders seamlessly and easily to increase buyer productivity, reduce excess inventory and improve supply chain efficiency for maximum profit.

Supply Chain PaaS (Planning as a Service)

Establish a true supply chain planning capability by leveraging best-in-class AI-powered tools and industry-leading expertise who provide strategic planning and execution services to help you create a profit-optimized supply chain ecosystem.

Additional Resources

The 4R team of supply chain and inventory planning experts understand the auto parts industry. Our tools and team help you reclaim time to service customers with the right products.

4R Podcast with NHPA and Aubucon

Listen In:
Staying on Top of the Supply Chain

NHPA Podcasts – “Taking Care of Business”

In this episode of the “Taking Care of Business” podcast, guest host and NHPA associate editor Lindsey Thompson sits down with Jared Brown, senior analyst for Aubuchon Hardware, and Mark Garland, President and CEO of 4R Systems. Jared and Mark share the journey the two companies have taken together to improve Aubuchon’s inventory management systems and how fellow retailers can navigate current issues with supply chain and inventory management.

The story is based on a hardware retailer, but the lessons apply to other retailing sectors, of any size.

Assortment Optimization

Hardware retailers carry a broad product portfolio, featuring a wide range of seasonal, evergreen, fast-moving and slow-moving product categories. The vast assortment of products coupled with the complexity of allocating the optimal assortment for every location makes effective inventory forecasting, planning and supply chain productivity even more challenging. Watch how 4R can help.

Webinar OnDemand: Seasonal Allocation Planning Best Practices

See higher levels of revenue and profit on your seasonal items

The purpose of the webinar “The Importance of Read & React in a Seasonal World” is to share allocation planning best practices. The webinar helps retailers reframe how they position seasonal inventory to maximize revenue, and reduce stranded inventory and the need for markdowns.

See how 4R can helps retailers manage inventory as an investment and optimally match products and product mixes with local demand trends.