Industry-specific enterprise software provider Epicor has acquired cloud-based AI-driven inventory planning and optimisation applications maker Smart Software which was already an ISV partner.
A statement from Epicor said the acquisition would speed up Epicor's delivery of best-in-class enterprise resource planning solutions that solutions that provide practical application of AI across the spectrum of business operations for the make, move, and sell industries.
The amount paid for the acquisition was not disclosed.
Epicor chief executive Steve Murphy said: “In today’s fast-paced and constantly evolving supply chain landscape, effective inventory management is critical for success.
{loadposition sam08}“The Smart Software acquisition further accelerates our focus in transforming traditional ERP from a system of record to a system of action, giving Epicor customers AI-powered capabilities to turn inventory into a competitive asset that helps drive up customer service levels and drive down costs.”
The Epicor statement described Smart Software’s Smart IP&O platform as an "intuitive, cloud-based portfolio of technologies that leverages patented, probabilistic AI and machine learning models to deliver superior forecasting and 'what if' analysis".
"These models run thousands of simulations of outcomes to deliver precise predictions and avoid unrealistic assumptions, enabling users to better predict demand, stockout risks, and costs," the statement said.
"This improves forecasting accuracy, helps users quickly identify and correct inventory imbalances, predict future operational performance, and track actuals. Customers also can use 'what if' analysis to test and risk-adjust stocking policies to ensure alignment with their strategic objectives, as well as leverage the platform’s AI to prescribe optimal policies that will yield the highest financial return."
Smart Software solutions are already integrated with some of Epicor's ERP platforms. Additional benefits include:
"AI-driven operational efficiency: With this acquisition, Epicor customers can strengthen and streamline inventory management processes, ensuring optimal stock levels. By eliminating manual data entry/data prep and automating demand forecasting while accounting for trends, seasonality, and intermittency, businesses can optimise cost savings, improve resource utilisation, and run smoother operations.
"Improved customer satisfaction and lifetime value: Leveraging Smart Software and AI technology, Epicor’s solutions can minimise stockout situations so that products are available when customers need them, enhancing the customer experience and boosting customer loyalty and lifetime value.
Best-in-class inventory optimisation and cash flow: With Smart Software, Epicor customers can strengthen their ability to balance inventory levels and optimise working capital. By preventing excess stock and minimising the creation of obsolete or slow-moving inventory, businesses can free up funds that would otherwise be tied to inventory. Additionally, Smart Software contributes to efficient cash flow management, promoting overall financial health and viability."
Smart Software president Greg Hartunian commented: “As a long-time Epicor ISV partner, we’re closely aligned in delivering customers the AI-powered technologies they need to improve forecast accuracy and optimise inventory levels.
“We’re excited to join Epicor and continue our journey in driving innovation across the supply chain industries.”