Manufacturing Leader Reduces Inventory Losses by 3% and Improves Working Capital by 2%

Industry: Manufacturing
Services: Automation, Digital Engineering Services, Enterprise Packaged Applications, eSeal®

Client Overview

The client is a global manufacturing company with a widespread network of warehouses serving both industrial and retail customers. To maintain operational efficiency across its expanding supply chain, the organization sought to digitize its warehouse management processes and gain real-time visibility into inventory, movement, and stock age.

The Challenge

The client’s warehouse operations relied heavily on manual processes, resulting in limited visibility into product expiration, stock locations, and real-time inventory levels. The lack of automation resulted in stock obsolescence, inefficient replenishment cycles, and frequent human errors during put-away and order picking.

During high-demand periods, manual handling led to order delays, inaccuracies, and increased operational costs. Without a digital tracking mechanism or integration with enterprise systems, managing stock across multiple warehouses was slow and error-prone. The organization needed an intelligent, automated WMS solution to improve accuracy, optimize space utilization, and enable real-time decision-making.

Sutherland Solution

Sutherland implemented its proprietary eSeal® Warehouse Management System (WMS) to automate and integrate warehouse operations with the client’s ERP. The digital solution introduced robotics integration for optimized put-away and pick-list recommendations, improving warehouse throughput and efficiency.

The system applied FIFO/FMFO (First In, First Out/First Manufactured, First Out) logic to minimize stock aging and wastage. Automated workflows were deployed for physical inventory adjustments, bin-level tracking, and expiry-based visibility. The eSeal® WMS platform also generated ageing and obsolescence reports to enable proactive replenishment planning.

By connecting warehouse operations with ERP data in real-time, Sutherland empowered the client to monitor and control warehouse performance, eliminating the need for manual tracking and enhancing decision-making accuracy.

The Outcome

The digital transformation significantly enhanced operational accuracy, efficiency, and financial performance. With automated FIFO/FMFO inventory management, the client achieved a 3% reduction in inventory losses, while warehouse automation and optimization delivered 2% working capital savings.

Human error in order fulfillment and put-away processes was drastically reduced, and warehouse teams benefited from improved transparency. Inventory visibility across racks, bins, and warehouse zones ensured optimal utilization and reduced overstocking.

The automated reporting and reconciliation capabilities provided actionable insights for forecasting and replenishment, resulting in improved cash flow and more reliable delivery performance. This digital WMS transformation positioned the client for scalable, intelligent supply chain operations across its global footprint.