Polish supermarket chain Auchan Retail Polska is improving operational efficiency and ensuring high service levels through AI-based optimisation across the supply chain.

The grocery retailer, has selected Finland-based Relex, a provider of unified supply chain and retail planning, to provide demand and forecasting capabilities.

Auchan is using the Relex supply chain and retail planning platform as part of its omnichannel sales strategy. Based on the technologies such as artificial intelligence (AI), this allows for comprehensive and integrated supply chain management for all distribution channels in which the chain operates. The Relex platform optimises both Auchan’s internal processes as well as collaboration with suppliers in key areas such as demand planning, availability and resource planning.

Auchan has already implemented Relex in all the chain’s stores in Poland. The second phase of the implementation will envisage using the system to support all Auchan warehouses and distribution systems including the latest fully automated e-grocery fulfilment centre built in collaboration with Ocado (ocadogroup.com/our-business/osp-partners/auchan-retail-poland). This phase is scheduled for completion in the first quarter of 2025.

“A key element of our omnichannel strategy is operational agility and efficiency, enabling us to offer our customers a wide range of services while maintaining the high service level and competitive prices that are the hallmark of our network,” said Piotr Dopierała, logistics director at Auchan (www.auchan-retail.com). “To reach this ambitious goal, we need advanced integrated supply chain planning capabilities, from demand planning up to replenishment process and resource planning in warehouses and stores. With the scale, complexity and customer centricity of our business, it becomes nowadays absolutely necessary to use modern technologies based on machine learning and artificial intelligence to be able to maintain competitive advantage. That is why we are continuously investing in the digitalisation of our supply chain and, very importantly, in the competences of our team, thanks to which we can fully exploit the possibilities of these technologies, including, of course, such advanced tools as Relex.”

Using machine-learning algorithms, the system provides supply chain optimisation, accurate forecasting and replenishment, considering various variable factors such as seasonality or promotional campaigns. The system ensures product availability in each of Auchan’s sales channels, optimising promotions, deliveries and order picking at suppliers. In addition, it gives shop staff transparent visibility and control of the replenishment process, improving collaboration and efficiency, resulting in increased customer satisfaction.

“Thanks to the partnership approach and close cooperation with the Relex team, the first implementation results fully confirm our assumptions and, what’s more, we are already working jointly on further opportunities to exploit the potential of the system,” said Dopierała. “As a result, we are convinced that the decision to work with such a renowned partner as Relex was the right one. It gives us the much-needed ability to scale our business and, most importantly, we can see that it translates into increased shopping convenience and satisfaction of our customers.”

Henrik Salzmann, vice president at Relex (www.relexsolutions.com), added: “Consumers expect convenient, fast and efficient shopping, regardless of the sales channel, and sourcing, competitive prices and short delivery times are key. For retail chains, the issues of efficiency and effectiveness of the logistics and planning management infrastructure are therefore becoming extremely important, also in the context of food waste. Our AI-driven platform will allow Auchan to make more accurate forecasts, optimise inventories – all with a precise understanding of the preferences of Polish consumers.”