Michelin Vendor-Managed Inventory

Shifting towards automatic replenishment of European B2B customers


Michelin wanted better control over their inventory levels and production to be able to fulfil all B2B customer needs. The group wanted to develop a Vendor Inventory Management solution based on the sharing of information on stock levels and demand with their customers, to set up an automatic replenishment system.


The main challenge was to overcome the lack of flexibility of existing IT systems. Kbrw had to create interconnections between the different information systems of all Michelin’s B2B customers to enable the sharing of information required for automatic replenishment.


The solution developed by Kbrw periodically retrieves information directly from the information systems belonging to Michelin’s B2B customers and compares it with the group’s internal information. A complex system of decision rules has been implemented to set replenishment dates for B2B customers and adapt production accordingly.


Reduction of immobilized stock
Increase in stock availability
4 months – time-to-market of the project
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