Case Study Detail
Language: English


 Selco S.p.A
Inventory Optimization Inventory Management Materials Management

Founded in 1979, Selco Group S.p.A. manufactures arc welding systems and power sources for aluminum, steel and stainless steel. Located in Padova, Italy, the company has a second plant in Onara and employs more than 200 people in 10 locations.

Business need:
What do manufacturers today have to lose if they can’t track surplus materials in their inventory? Profits, for one thing. With an accurate picture of what’s left over at the end of the day, companies can accurately predict what other materials are needed to turn that surplus into finished products. Lack of information about inventory can also lead to lost sales. Selco was losing sales due to incomplete knowledge about inventory and inefficiencies that prevented it from meeting tight delivery deadlines. It needed a way to anticipate surplus materials to more efficiently run production.

Selco used smart optimization software to find parts, assess their value, and figure out what other materials were needed to turn those parts into more products. The company gained insight into inventory usage and availability that enabled it to reduce leftover stock and also more predict how many materials and finished products it would need in the future. Without surplus stock and missing information, the manufacturing process is more efficient and Selco has been able to reduce the number of sales lost due to incorrect inventory information and inability to meet tight delivery deadlines.

Reduced inventory by 15 percent by eliminating surplus parts Reduced the number of lost sales opportunities by 70 percent with the ability to produce more products and deliver them in less time Improved efficiency of the production process with automation and more accurate information, and gained a more accurate picture of inventory usage and availability, enabling management to define more realistic company goals

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