Go-Tan

Asian food products specialist Go-Tan needed a solution to help advance its forecasting and supply chain processes. After launching a supply chain optimisation project with Slimstock, Go-Tan’s supply chain manager, Daphne Bouman, is enthusiastic about the future, “We have become much more efficient, and I am sure we can increase sales with the same investment in stock.”

Family-owned Go-Tan anticipates significant growth this year. According to Manager Bouman, guaranteeing availability is its main priority for retail, catering, and food service partners. “Our customers value our honesty and transparency, and we go to great lengths to keep our promises,” says Bouman.

Go-Tan specialises in supplying wok sauces and other Oriental food products, producing many items at its facility in Kesteren. However, products, including coconut milk, noodles, prawn crackers, and fried onions, are sourced from international suppliers. Go-Tan sells directly to Dutch retailers, caterers, and food service companies while collaborating with local distributors in other countries.

Bouman heads up a supply chain department that has recently adopted proactive demand forecasting. “At Go-Tan, we used to base our production and purchase orders solely on past sales. But that approach is inappropriate when you’re growing as fast as we are. We must base our planning on projected future sales.”

Bouman set up an effective forecasting process using home-grown systems and a good dose of common sense. Although this approach worked well, it required a significant investment of time and effort from the planning team.

“Previously, we had to review the entire product range weekly, even for items that didn’t warrant much attention. We, therefore, needed a tool to automate order calculations for predictable items and free up our team’s time to prioritise more pressing issues,” adds Bouman.

Slimstock’s supply chain software proved to be the best choice for Go-Tan. Bouman: “The other solutions we considered weren’t much of an improvement over our homemade spreadsheet-based system. Slimstock enhances our supply chain planning capabilities significantly. It calculates orders more intelligently than we could manage on our own and supports an exception-based management approach. This saves us a tremendous amount of time. Another factor in our decision was Slimstock’s training offerings. After attending the Slimstock Academy, new employees can hit the ground running, which I value as a manager.”

The food specialist initially utilised Slimstock’s supply chain planning platform to improve demand forecasting. Now that the initial rollout phase is a success, Go-Tan has started to optimise its production and purchasing process.

Bouman shares the impact this has had on the business, “We have already become much more efficient. Planners no longer do the same calculations every week. As a result, they now have time for more important tasks. I also see that our stock position is improving. We are already increasing sales with the same investment in stock. We also have the data to determine whether the stock is too high or too low. And we can make more strategic decisions around service levels.”

Because of the international nature of its supply chain, Go-Tan is highly exposed to market disruption. Bouman: “If there is a delay in delivery times, you can immediately see the consequences of this in Slim4. Previously, we only found this when we couldn’t meet customer demand.”

Furthermore, her team can now react faster to sales outliers. “If a customer places an unexpected order, Slimstock’s platform immediately raises the alarm: What’s going on? Did we miss a promotion? Is there a new customer? We can now take immediate action on that.”

Slimstock’s platform will soon fully integrate the purchasing and production process, automatically calculating the optimal order size and production runs based on sales forecasts.

“One major advantage is that Slimstock can consolidate orders, allowing us to leverage economies of scale fully. Currently, we manage this manually, which involves hours of detailed analysis. However, Slimstock will enhance efficiency at our production site. We aim to establish a stable six-week planning horizon, reducing the need for frequent adjustments to our filling and packaging lines. Currently, rush orders disrupt our schedule, but with Slimstock, we can mitigate these disruptions. The further we plan ahead, the fewer unexpected challenges we’ll face.”

Bouman is pleased with the partnership with Slimstock and how well the implementation went. She wasn’t surprised, she admits. “Slimstock is highly respected in the food sector. When we mention our partnership with customers, they respond positively. It shows them we’re committed to supply chain management and willing to invest in a better customer experience.”

Thanks to Slimstock’s deep industry experience, the implementation process was smooth. “Slimstock has a specialised division for the food sector, so we’re dealing with experts who understand our business inside out. They ask the right questions and bring valuable insights from working with other food companies. At Go-Tan, we aim for excellence, which means partnering with companies that share our high standards.”