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Lyreco Accelerates Enterprise Digitalization with “Cloud of Things” IoT Platform

Technology Category
  • Platform as a Service (PaaS) - Device Management Platforms
  • Platform as a Service (PaaS) - Connectivity Platforms
Applicable Industries
  • Retail
Applicable Functions
  • Sales & Marketing
Use Cases
  • Inventory Management
  • Predictive Maintenance
  • Real-Time Location System (RTLS)
Services
  • Cloud Planning, Design & Implementation Services
  • System Integration
The Challenge
Lyreco, a global office supply distributor, was facing challenges in real-time stock and sales insight. The company was in need of improving service assurance and driving operational cost savings from restocking and servicing machines. The lack of real-time data was causing inefficiencies in their operations and was affecting their customer service levels. The company was also looking for ways to innovate and take advantage of a connected, digital future. They wanted to embed IoT technology in their products to redefine their relationship with their partners and customers.
About The Customer
Lyreco is one of the world’s largest office supply distributors. The company has 10,000 employees spread across 45 countries. Every day, Lyreco delivers 235,000 boxes to customers. The company prides itself on operational excellence in its processes, customer satisfaction, and high levels of environmental stewardship. It has obtained both ISO 9001 Quality Assurance and ISO 14001 Environmental Impact Compliance certifications. Lyreco is a key supplier of Nespresso premium coffee and coffee machines for businesses. The company recognizes that more and more of the products its customers desire are becoming connected. This connectivity provides Lyreco’s customers with deeper insights into product usage and often allows customers to decrease operational expenses, increase environmental awareness, and innovate with new service offerings.
The Solution
To address these challenges, Lyreco adopted the Cumulocity VendMe solution for Nespresso coffee and coffee machines. This IoT solution facilitates the collection of data from vending machine and stock and operations management applications, all powered by the Cumulocity IoT platform. The full Cumulocity solution provides Lyreco with real-time stock and sales analysis, a unique configuration of Lyreco machine operations, a set of stock-level business rules, and integration to Lyreco business systems. The solution was set up and available in two weeks. It provided service assurance to maximize customer service levels, stock management analytics, and process support. The solution was fully integrated with Lyreco's SAP® Enterprise Resource Planning (ERP) system and also included an Android® and iPhone® smartphone operator app.
Operational Impact
  • The solution provides considerable improvement in customer service levels, with out-of-order and out-of-stock issues reduced to nearly zero.
  • Management of coffee machines and inventory can be fully automated and based on real-time usage, saving both fuel and money.
  • Adoption of the vending application based on the leading IoT platform ensures Lyreco can meet its future requirements for innovative services.
Quantitative Benefit
  • Reduced out-of-order and out-of-stock situations to a minimum.
  • Reduced costs by improving operational processes.

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