Clarins turns to BEVOLTA to optimize its supply chain planning

We know Clarins, an iconic brand present in 130 countries, famous – among others – for its anti-aging skincare products. The group, which claims a pioneering role in natural beauty and sustainable development – it aims for B Corp certification in 2023 – generates a turnover of 1.7 billion euros.

A lesser-known facet of this flagship of the French cosmetics industry is its well-oiled industrial and logistics organization, focused on export – 93% of the brand's products, designed and manufactured in France, are exported. To optimize its supply chain flows, the Group chose an innovative solution inspired by Lean Management, developed by the French startup BEVOLTA.

Meetings with Sébastien Besson, Head of Industrial Logistics and Julien Leclercq, Supply Chain Manager.

- It's been 7 years since Clarins adopted the BEVOLTA " Supply Chain Agility " solution. For you, who operated, like many other companies, with the traditional MRP – Material Requirements Planning – methodology, what was the trigger to adopt this new approach inspired by Lean, more oriented towards real demand ?

Sébastien Besson – There was a real conviction from Clarins' management that the Demand Driven (DDMRP) approach was one of the necessary responses to a period well summarized by the acronym VUCA (Volatile, Uncertain, Complex, Ambiguous), and this conviction has since strengthened. Concretely, on the finished products, we have a lot of variability, and we are now clearly less troubled on the references covered by the buffers – one of the key mechanisms of the Demand Driven methodology, whose goal is to mitigate the consequences of demand variability on the value chain.

Julien Leclercq – With the MRP we were indeed unable to cover demand variability, so we chose a tool that allowed us to adapt to it. In this, we were actively supported by Zahir Bouchaala (the CEO of BEVOLTA), both in discovering the tool and the DDMRP methodology. The trust relationship that was then forged and the support from BEVOLTA greatly contributed to the adoption of this new solution at Clarins.

- What main performance gains do you observe ?

JL – On finished products, the references managed in DDMRP are clearly less strained. The number of references in the green zone, therefore well-managed, is consistently improving while stock levels are decreasing.

SB – There is indeed a performance gain and a gain in confidence. Given that we wanted to be able to deploy BEVOLTA while retaining the possibility of MRP calculation through our historical ERP Infor M3. BEVOLTA had an appropriate connector allowing precisely connectivity between the two systems BEVOLTA and M3.

Concretely, if we decide that an article managed in MRP is calculated by INFOR M3, then BEVOLTA retrieves the result within Infor M3, conversely, if we calculate in DDMRP, it's BEVOLTA that sends the result to M3. In other words, it’s the " master " tool in its methodology that sends its calculation.

Ultimately, the procurers mainly work on BEVOLTA, which consolidates all the data and remains the primary working tool for needs management.

- Did your operators easily take ownership of BEVOLTA ?

SB – Compared to a standard tool like M3, there’s no comparison! Even if the upfront configurations require a certain expertise, I mean that they cannot be performed by the procurers. For this, we could count on BEVOLTA to find the right settings and refine the DDMRP calculations.

JL – We are also attracted by the solution's ergonomics, its ease of use, and the simplifications it has brought us in terms of parameter settings on all references managed in buffer. There is also the flexibility of this solution, which has evolved significantly since we implemented it, to always better meet our specific needs.

- On what scope is the solution currently deployed ?

JL – BEVOLTA is deployed at our sole plant in France; for the distribution part, it is planned to deploy it for our new hub in Italy to manage supplies from the central warehouse. The development plan then foresees deployment of the solution on finished products to all our distribution subsidiaries. We have not yet used the solution to its full potential in this area; we are progressing block by block, but we will reach full potential once it is deployed across the entire distribution network.

- " Clarins, the 100% RSE company " headlined Paris Match in an article published in November 2020. In a recent interview, your CEO Olivier Courtin-Clarins emphasized " in all our discussions, with all our departments, we ask to consider sustainability at the heart of all decisions ". Was the environmental criterion part of the criteria in choosing the BEVOLTA solution ?

JL – Honestly, no. At the time, we were mainly seeking to optimize logistics costs, a better service rate, and stock reduction. Nevertheless, it is evident that the solution also had a positive impact on our carbon footprint, as we face emergencies less often, which are known to have a heavy impact on CO2 emissions. Finally, since BEVOLTA aims for " zero leftover ", there is less wastage. This is a significant benefit.

Interviews conducted by Ghislain Journé.

Main photo: Clarins headquarters in Paris, Porte des Ternes (17th district).