Their head office and factory are situated on the main street in Åhus and there’s no possibility for extention to make room for a buffer warehouse. There is only space for half a day stock of bulky cartons. That means tight communication is needed between The Absolut Company and their different suppliers so that material availability and production coincides as far as possible.
”Demand has increased every year and we cannot afford either the the time or the money to have any bottlenecks in raw material supply to production or distribution”, says Lars Wallin, IT Project Manager at The Absolut Company in Åhus. ”We therefore looked for a system that could improve delivery precision to our customers in the wholesale and import chain throughout the world”.
”Implementing PipeChain at The Absolut Company has led to a number of changes. One can say that we have now handed over responsibility to our suppliers”, says Dan Andersson, Material Planning Manager. “Munksjö, our supplier of card board boxes, no longer has to wait for us, they find out how much they need to deliver via our system. Previously it took around half a working day a week to input the coming week’s purchase order. With PipeChain we communicate via Internet for just a short time every day.”
“Today, service level is close to 100 percent and we have a better material availability and increased flexibility. After these results we will also use PipeChain with other suppliers” says Lars Wallin.
Lars Wallin, IT Project Manager
The Absolut Company in Åhus, Sweden
The Absolut Company is a part of Pernod Ricard Holding Company. The Absolut Company is responsible for production, marketing and distribution of ABSOLUT VODKA, the world’s third largest international spirit brand.