Kinaxis enhances customer delivery times for the nationwide furniture company, says Carlos Harper, senior operations manager for Castlery.

Castlery, a “digital-first” furniture retailer selling primarily online, is keenly attuned to everything involved in manufacturing, warehousing and delivery. It was that middle step that was less than satisfactory. With four distribution centers in the U.S. and two more planned for the end of 2024, inventory planning needed a lot of work. The solution came when the direct-to-customer brand teamed with Kinaxis, a supply chain management and sales and operations provider based in Canada.

Inventory management is a common problem, and Castlery’s experience was typical to some extent, Harper says. “I think our challenges are very similar to what others are seeing in this space. One is having the right inventory in the right place at the right time. That’s crucial to getting things to our customers in a timely manner.”

Initially, long lead times were problematic, but eventually they shortened to the point that Castlery was “overrun” with inventory. “We don't want to sit on a lot of extra costs on the inventory,” Harper says. “If we could only time that perfectly for those customers’ needs and the demand.” 

It was paramount to have a truly integrated supply chain. Visibility was key in every node in the journey that a product traveled. “We want to make sure we know exactly what's happening at the supplier and all the way through to the customer.” 

In vetting potential solutions partners, Castlery executives knew supply planning and forecasting had to be improved. But since most orders come from states far from its four DCs, placing inventory in the right center was essential. “It helps us to tie that demand to the specific zones versus taking a guess at the best place to put it.”