Specialists and purveyors in process mining, Celonis, announced last month the general availability of its Material Allocation app. The app, a further addition to Celonis’ Inventory Management library, has been designed to improve inventory management by reducing excess stock and preventing stockouts.
Celonis says the creation of the Material Allocation app was a response to the increasing challenge that comes in balancing supply chain objectives, with inflation and supply and demand disruptions making management of material costs more difficult.
Using inventory and supply and demand data, the Material Allocation app can identify inventory excess and shortage situations while making recommendations to rebalance inventory. Users of the app can get a unified view of their materials and optimal stock transfer recommendations. Users of the app can also determine the value opportunity from accepting the recommendations offered and observe how said recommendations could affect upcoming demand.
The Material Allocation app is one of Celonis’ Inventory Management apps which, according to the company, can help organizations adapt to supply chain challenges, like changing consumer expectations, supply and demand disruptions and price increases.
Using data and insights from the Celonis Process Intelligence Graph (PI Graph), the company says its collection of Inventory Management apps, which also include the Control Center app, End-to-End Lead Times app, Master Data Improvement app, lets customers “understand and improve inventory health,” enabling them to improve material availability, reduce operating costs and free up working capital.
“Traditional inventory management and ERP solutions aren’t built to deliver the information and insights material planners need to rebalance inventory effectively,” explains Peter Budweiser, director of product management, Celonis. “The Material Allocation app provides intelligent stock transfer recommendations based on business objectives and constraints, enabling businesses to build more agile and resilient supply chains.”
