More than ten years ago, Orkla began a journey to simplify and strengthen their supply chain planning. What started as a technical challenge soon became a story of close collaboration. Today, Orkla’s planning process runs smoother than ever – supported by smart technology, strong teamwork, and a shared drive to keep improving.

Optilon & Orkla

About Orkla

Orkla is a leading industrial investment company with brands and consumer-focused businesses in over 100 markets worldwide. Orkla Health offers branded health products across Europe. Orkla Home & Personal Care develops cleaning and hygiene products, backed by strong brands and an integrated regional value chain.

CHALLENGE

A supply chain split across systems

The collaboration between Optilon and Orkla (Orkla Health and Orkla Home & Personal Care) goes back more than a decade. It all began when Cederroth – later acquired by Orkla – first started working with Optilon.

After the acquisition in 2017, however, Orkla found itself juggling several ERP systems (including SAP ECC and SAP S/4). As a result, processes became fragmented, costs were duplicated, and there was no clear overview of the business. Information was scattered across systems, making collaboration tricky and decision-making slow.

Therefore, Orkla knew they needed a way to connect the dots, and they turned to Optilon.

SOLUTION

Connecting systems, creating supply chain clarity

Optilon provided Orkla with a solution that could weave together their different ERP environments – creating a central hub for forecasting and planning. This way, Orkla gained full visibility of inventory, availability, and flows across companies, markets, and warehouses.

By integrating all systems into one solution, Orkla established a single source of truth and a unified way of working across departments.

Consequently, planning and forecasting became faster, more accurate, and less dependent on manual work – leading to improved collaboration, lower costs, and a stronger foundation for data-driven decisions and future growth.

Since then, Optilon has continued to be a trusted partner. Together, they’ve focused on making planning, logistics, and inventory management smarter and more efficient – not through big revolutions, but through continuous improvement.

Optilon feels like an extension of our own team. They’re attentive, proactive, and easy to reach. They have a customer-centric way of working, and together we’ve been on a shared journey of improvement.

Anne Stenberg, Forecast Developer at Orkla Health

In fact, that steady, step-by-step approach is what’s shaped the successful supply chain planning process Orkla relies on today.

The reason our partnership continues to thrive is the combination of having the right system and the right partner. We feel strong support from Optilon and can clearly see the progress over time.

Anne Stenberg, Forecast Developer at Orkla Health

RESULT

Long-term results built on trust and teamwork

When Orkla introduced Optilon’s supply chain planning solution, they quickly reduced inventory levels by around 20% – without compromising service levels. A clear sign that combining smart technology with the right way of working delivers real impact.

Even more impressive, however, is that those results have lasted. Orkla’s inventory levels have remained stable over time, proving that this isn’t about quick wins, but about building long-term sustainability.

Over the years, Optilon and Orkla have developed a close partnership grounded in transparency and continuous dialogue. The teams share insights openly and work toward the same goals.

Equally important is the way of working. Optilon and Orkla meet monthly to review progress, adjust priorities, and plan for upcoming changes in Orkla’s supply chain. These regular check-ins keep everyone aligned, creating both clarity and progress.

At the same time, the dialogue plays a central role. Optilon doesn’t just deliver what’s asked for. They challenge, recommend, and share knowledge.

Our main contact at Optilon, Erik Westlund, knows our business well and doesn’t just say “yes”. He asks why, suggests better alternatives, or advises us to wait when it’s in our best interest.

Anne Stenberg, Forecast Developer at Orkla Health

Ultimately, behind it all lies Orkla’s own strength in driving change. Their ability to embrace new ways of working has turned ideas into lasting results.

We’re committed to continuous improvement and open to change. Optilon consistently shows that they want what’s best for us. We feel valued and receive honest, constructive challenges.

Anne Stenberg, Forecast Developer at Orkla Health

MAIN BENEFITS

  • 20% lower inventory levels – without lowering service levels
  • Long-term stability and sustainability in supply chain performance
  • Continuous improvements through structured follow-up and dialogue
  • A trusted partnership driving smarter, more efficient planning

Looking to make your supply chain smarter? Let's talk.

With 30 years of experience and more than 1,000 successful projects, Optilon helps companies design supply chains that work – and keep improving.

Book a meeting with us to discover how we can support your goals.

What happens when a world-leading metal powder manufacturer realizes its forecasting system is more of
a patchwork than a precision tool?

Höganäs, a leader in the industry, faced this exact challenge. Recognizing the need for a cohesive, efficient system, they embarked on a journey to revolutionize their forecasting and inventory planning processes.

About Höganäs

Höganäs is a world-leading producer of iron and metal powders, and partners with customers to create solutions for automotive, brazing, electric motors, additive manufacturing, and water treatment.

With a commitment to innovation and sustainability, the company continues to push the boundaries of material science, creating solutions for a resource-efficient future.

CHALLENGE

A supply chain out of control

Without a centralized forecasting system, Höganäs struggled to maintain control over its global supply chain. Economic shifts, evolving regulations, and varying demands across markets made accurate planning difficult.

Operating in 85 countries, their forecasting process depended on over 50 people using a patchwork of manual tools, leading to high error rates, excessive stock levels, and sluggish reporting cycles. Instead of guiding operations, forecasting had become a time-consuming challenge—one that slowed responsiveness and increased costs.

It was clear: Höganäs needed a more integrated, automated approach to regain control.

SOLUTION

A connected approach to forecasting

Having a clear view of demand across a global network was nearly impossible for Höganäs. The complexity of managing forecasts across multiple regions left gaps in visibility, making it difficult to respond to shifting market conditions. It was at this point that Ralf Carlström, Sales Director at Höganäs, turned to Optilon.

After evaluating several options, including major vendors, Carlström and his team decided to partner with Optilon. Their previous experience with Optilon during an ERP implementation had been positive, making the choice feel natural.

To handle the challenges, Optilon recommended an automated solution, integrating advanced analytics and a user-friendly collaboration tool. This new system allowed multiple sales teams across countries to contribute seamlessly to a unified forecast.

Höganäs citat 2

RESULT

Results and benefits of Optilon’s supply chain planning solution

The partnership between Höganäs and Optilon was a huge success and resulted in the following results:

MAIN BENEFITS

  • Reduced forecast errors by 50%, improving demand accuracy and minimizing excess inventory.
  • Cut reporting time in half, enabling faster decision-making and quicker responses to market changes.
  • Implemented an automated forecasting solution, streamlining supply chain planning and reducing manual work.
  • Optimized inventory and warehouse management, aiming for a 10% inventory reduction.

By embracing an automated and collaborative forecasting approach, Höganäs has turned its supply chain into a more agile and resilient system, positioning itself for long-term growth in an ever-changing market.

Struggling with supply chain complexity? Let’s talk.

With a track record of over 1,000 successfully completed projects and 20+ years’ experience, Optilon is your trusted supply chain optimization partner. Book a meeting with us to discuss how we can help you create a solution that aligns with your specific needs and future business goals.

In Part 1, we uncovered a €23 billion inventory challenge holding Nordic companies back. In Part 2, we explored how smarter inventory strategies can help turn that waste into wins. But short-term gains aren’t enough. The real question is: How do you make those wins last? That’s where sustainability and resilience come into play — not as buzzwords, but as must-haves for any supply chain that wants to survive and thrive in a fast-changing world.

Why are sustainability and resilience the future of supply chains?

Sustainability is no longer optional. Regulations are getting stricter, consumers are demanding more transparency, and investors are looking for climate accountability. 

Meanwhile, businesses are facing geopolitical uncertainty, inflation, and raw material volatility — all of which threaten supply chain stability.

The companies that will lead in the coming decade are the ones who treat inventory as a strategic lever — not just for efficiency, but for climate action, risk mitigation, and long-term growth.

How does optimized inventory drive sustainability and resilience?

A streamlined, data-driven inventory strategy doesn’t just make your operations more efficient — it sets the stage for meaningful change across your entire supply chain.

It allows you to cut emissions by reducing overproduction, unnecessary storage, and transportation waste. At the same time, it frees up capital that can be reinvested in renewable materials, green technologies, and more sustainable logistics.

You also gain greater flexibility to respond to disruptions without relying on oversized safety stock. And by planning ahead and aligning your goals with key partners, you’ll be in a stronger position to build supplier relationships rooted in shared sustainability and ESG (Environmental, Social, and Governance) priorities.

The potential scale of impact? It’s enormous:

  • €23 billion could be unlocked across Nordic companies — ready to reinvest in innovation, sustainability, and growth.
  • Up to 390,000 new jobs could be created across the region.
  • Carbon emissions could be significantly lowered by optimizing production, distribution, and storage practices.

Efficient inventory management isn’t just an operational win — it’s a climate win, an economic win – and a strategic must.

Inventory management insights from supply chain experts

As Nathalie Johansson, Senior Supply Chain Specialist at Optilon, puts it:

“Efficient inventory management isn’t just an operational tweak – it’s a strategic necessity. Companies that optimize their supply chains gain a competitive edge, enhance profitability, and contribute to a more sustainable future.”

Franz Rothschild, Senior Supply Chain & Sustainability Specialist, adds:

“Companies that integrate sustainability into inventory management gain a competitive edge. A leaner supply chain is not just cost-effective — it’s a business imperative for long-term resilience.”

Together, their message is clear: sustainability and resilience aren’t competing priorities — they’re two sides of the same coin.



Future-proofing your supply chain starts now

Inventory optimization isn’t just a financial decision – it’s a sustainability strategy too.

Every unsold product represents wasted resources: materials, energy, transportation, storage space, and eventually, disposal costs. Not to mention the environmental impact.

As customer expectations rise and regulations tighten, your supply chain needs to do more than deliver — it needs to deliver responsibly.

Here’s how you can align efficiency with sustainability:

  • Cut emissions by reducing overproduction.
  • Optimize transportation and storage to reduce environmental impact.
  • Invest in green transport, circular processes, and smarter production cycles.

In short, efficiency and sustainability no longer compete — they complement each other. And when you build a supply chain that supports both, you don’t just meet expectations — you lead the market.

Ready to unlock your supply chain’s hidden power?

The €23 billion problem we exposed in Part 1 is also a €23 billion opportunity — if you act on it. By combining smarter forecasting, leaner stock strategies, and sustainability integration, you can build a supply chain that’s leaner today, greener tomorrow – and ready for the future.

Ready to turn your supply chain into a strategic advantage? Let’s get started. Contact Optilon today to start optimizing your inventory and building a sustainable future.

Haven’t read Part 1 or Part 2 yet? Check them out!

Want to read the full Unnecessary Report?

Download it here!

In our previous article, The €23 billion inventory trap – how did we get here? (Part 1), we exposed a hidden challenge costing Nordic companies a staggering €23 billion. This is unnecessary inventory that’s weighing down operations, tying up capital, and inflating environmental footprints. The good news? Problems create opportunities — and in this case, the opportunity is massive. So, how exactly do you turn €23 billion worth of “waste” into a competitive advantage? Let’s dive in.

3 inventory optimization strategies for smarter supply chains

If you’re looking to take control of your supply chain, cut down on waste, and free up valuable capital, it starts with rethinking how you manage inventory. We’ve seen it firsthand — when companies start treating inventory as a strategic asset (not just stuff in storage), everything changes. Here are three strategies that can help you turn excess stock into a real competitive advantage. Let’s explore them together.

1. AI-driven forecasting: Predict demand with precision

Let’s be honest: guessing isn’t a strategy anymore. If you’re still relying on outdated forecasting models, chances are you’re either drowning in stock or scrambling to meet demand — and both are costing you more than they should.

But it doesn’t have to be that way. When you put AI to work in your forecasting, you can:

  • Analyze real-time data from multiple sources.
  • Accurately predict demand patterns.
  • Fine-tune replenishment cycles and production schedules.

In other words, you stop reacting — and start anticipating. That means no more stockouts. No more overstocking. Just the right products, in the right place, at the right time.

The result? Less capital tied up, better product availability, and a more agile supply chain – ready for whatever comes next.

2. Lean inventory strategies: Finding the right balance

Keeping extra inventory “just in case” might feel like a safe move — but in reality, it’s silently draining your resources and slowing you down.

A smarter approach? Shift your mindset from “just-in-case” to “just-in-time”. That doesn’t mean cutting to the bone. It means being more strategic with what you stock, and where.

Here’s how you can get started:

  • Segment your inventory based on demand patterns and product importance.
  • Prioritize fast-moving items while minimizing slow-movers.
  • Use modern warehouse systems to streamline processes and optimize space.

With lean inventory strategies, you’ll boost service levels while lowering inventory costs — giving your business more flexibility and a healthier bottom line.

Curious about what this could mean for your business?

Book a meeting today!

3. Sustainable supply chains: Reducing waste and emissions

Inventory optimization isn’t just a financial decision – it’s a sustainability strategy too.

Every unsold product represents wasted resources: materials, energy, transportation, storage space, and eventually, disposal costs. Not to mention the environmental impact.

As customer expectations rise and regulations tighten, your supply chain needs to do more than deliver — it needs to deliver responsibly.

Here’s how you can align efficiency with sustainability:

  • Cut emissions by reducing overproduction.
  • Optimize transportation and storage to reduce environmental impact.
  • Invest in green transport, circular processes, and smarter production cycles.

In short, efficiency and sustainability no longer compete — they complement each other. And when you build a supply chain that supports both, you don’t just meet expectations — you lead the market.

Ready to unlock your supply chain’s hidden power?

Inventory isn’t just stuff sitting on a shelf. It’s a powerful lever — if you know how to pull it. Mastering inventory optimization means more liquidity, greater resilience, stronger sustainability performance, and a sharper competitive edge.

Next up in The Future of Inventory Optimization – Sustainability and Resilience (Part 3), we’ll show you how to make these wins stick – and how your supply chain can drive lasting success. Don’t miss it – click through and see what’s next!

Haven’t read Part 1 yet? You’ll find it here.

Want to read the full Unnecessary Report?

Download it here!

What happens when a fast-growing global company is held back by an outdated supply chain? And how do you forecast demand and plan efficiently when your data is scattered, and processes don’t align?

That was the challenge Franke faced, managing 17 different ERP systems across a global network that made forecasting and planning a struggle. Determined to turn obstacles into opportunities, Franke teamed up with Optilon for an efficient solution.

About Franke

Franke, a global leader in solutions and equipment for residential kitchens and bathrooms, recognized the need to enhance its supply chain operations to support its expansive growth.

What began in 1911 in a small Swiss town, founded by Hermann Franke, has since evolved into a company with around 9,000 employees across 40 different countries

CHALLENGE

A supply chain network too complex to handle

As Franke expanded, so did the complexity of its supply chain. The Kitchen Systems and Water Systems divisions operated across 42 locations, including 12 production sites, serving 146 markets with more than 125,000 SKUs. With fragmented data and 17 ERP systems in play, forecasting and planning lacked structure, leading to inconsistent data structures and unstructured planning processes.

To address this, Franke implemented SAP as a master database for locations where SAP was the ERP system. While this improved data management, it didn’t solve the fundamental issue: a lack of integration in demand forecasting and planning. Franke needed a smarter, more unified approach.

SOLUTION

A strategic approach to supply chain optimization

With Optilon as a partner, Franke shifted to a smarter, data-driven planning approach. This transformation eliminated unnecessary complexity, improved decision-making, and ensured that demand forecasting aligned seamlessly with business objectives, helping Franke move from complexity to clarity, with a supply chain that drives growth.

Franke quote 1

RESULT

Results and benefits of Optilon’s supply chain planning solution

Franke’s partnership with Optilon didn’t just optimize processes, it transformed the way they operate. The results speak for themselves:

MAIN BENEFITS

  • Stronger forecasting process stability.
  • 50% reduction in time spent on forecasting and demand planning, allowing teams to focus on strategic decisions rather than manual adjustments.
  • Increased forecast accuracy (with an 8 MAPE point improvement at the material level, providing greater reliability in decision-making).
  • Reduces seasonal inventory peaks and minimized bullwhip effects.

By partnering with Optilon, Franke didn’t just optimize its supply chain—it completely transformed the way it operates. With streamlined processes, greater accuracy, and a supply chain designed for the future, Franke is now stronger and better equipped to navigate an increasingly competitive global market.

Franke quote 2

Struggling with supply chain complexity? Let’s talk.

With a track record of over 1,000 successfully completed projects and 20+ years’ experience, Optilon is your trusted supply chain optimization partner. Book a meeting with us to discuss how we can help you create a solution that aligns with your specific needs and future business goals.

Imagine having €23 billion tied up — not in innovation, talent, or expansion — but in inventory you don’t really need. Sounds crazy, right? Well, that’s exactly what’s happening across the 400 largest companies in the Nordics. Optilon’s latest Unnecessary Report reveals a hard truth: despite best efforts, businesses are still sitting on mountains of unnecessary inventory. And it’s getting worse — up 16% since 2021. So, the big question is: How did we end up here? And more importantly — how do we fix it?

What’s driving the excess inventory problem?

It all started with good intentions. After all, when the world shut down during the COVID-19 pandemic, many companies did the logical thing — they stocked up.

But the “safety stock” strategy stuck around longer than it should have. Now, demand patterns have changed, customer expectations have shifted, and those warehouses are packed tighter than ever.

Add to that old-school forecasting tools that can’t keep up with today’s fast-moving markets, supply chain disruptions triggered by geopolitical uncertainty, and outdated inventory systems that make agility almost impossible.

The result? Businesses are now paying the price for being “too prepared.”

The real cost of holding excess inventory

It’s not just warehouse space that’s being wasted. When inventory piles up, so does the pressure — on your finances, your operations, and even your environmental footprint.

Think about it:

  • Capital that could fund your next big innovation, talent, or expansion is sitting idle on dusty shelves.
  • Too much stock means more admin work and less room to move, which can slow down your entire supply chain and make it harder to stay competitive.
  • Unused stock becomes waste, not only costing you money but also sabotaging your sustainability goals.

In short? Excess inventory is the silent killer of business agility and growth.

Curious about what this could mean for your business?

Book a meeting today!

Turning inventory waste into competitive advantage

Here’s the good news: This isn’t just a €23 billion problem — it’s a €23 billion opportunity.

The companies that get smart about inventory now — using better forecasting, real-time analytics, and sustainable practices — won’t just save money. They’ll outpace the competition, attract new customers, and strengthen their supply chains for whatever comes next.

Want to know how? Stay tuned for Part 2: How to master inventory optimization, where we’ll dive into exactly how you can turn today’s waste into tomorrow’s wins.

Let’s master inventory efficiency – and unlock massive hidden value!

Want to read the full Unnecessary Report?

Download it here!

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