From manual processes to data-driven decisions with Organic Basics

With its intense focus on eco-friendly materials and ethical practices, Organic Basics stands out in an industry not exactly known for being sustainable. Their main purpose, from the very start, has been to help the fashion industry reinvent itself, by making long-lasting and comfortable basics available to everyone.

2023 was a transformative year for Organic Basics, as they expanded their global partnerships and renewed their look. However, it also meant that their production calendar suffered leading to stockouts in their permanent collections. At the beginning of 2024, a decision was made to partner with Hakio and invest in a data-driven forecasting tool to optimize the replenishment process and improve their inventory management. Six months later, they have seen more value in Hakio than expected. It’s not just a forecasting tool, but also a tool that helps them maintain a healthy stock. Striking the perfect balance between avoiding stockouts (and thereby lost sales) and decreasing inventory costs by not being overstocked.

Results

The collaboration with Hakio transformed Organic Basics' approach to forecasting and inventory management.

Watch the interview with Michel Blancke, Head of Operations at Organic Basics:

Challenges with manual work & stockouts

Before integrating Hakio, Organic Basics relied heavily on manual processes for forecasting and demand planning. Mads Fibiger Rasmussen, CEO of Organic Basics, highlighted the inefficiencies: "Our decisions were often based on heavy Excel sheets and tons of manual work, which led to inconsistent methods, frequent stockouts, and lost sales." This manual approach was not only time-consuming but also prone to errors in the data, causing doubts and operational bottlenecks.

“There is always the fear that with manual work, I might be making mistakes or there might be issues with the data. It now gives me piece of mind to be able to trust in Hakio, instead of having to wreck my brain for mistakes I might have made. In addition, Hakio saved our team 8 hours per week since we no longer have to build heavy Excel reports.”

Maeve MacLeod, Production team - Organic Basics

Supporting sustainable goals

Organic Basics is committed to sustainability, aiming to reduce transport emissions by 50% in 2024. The improved inventory management and forecasting capabilities provided by Hakio support this goal by optimizing stock levels and reducing the need for emergency shipments, which are often less sustainable.

Before there were many questions raised on the logistics side on whether to ship products by sea or air, and answering them was always a manual process based on gut feelings. Basically, a mini version of a forecast and upcoming deliveries had to be created for each purchase order, to determine the right shipment method. The visibility Hakio has given into the incoming orders eliminates that entire process and allows the production team to quickly make decisions on shipment modes.

The ability to see product availability directly in Hakio is something Organic Basics uses every week to determine where the gaps are highest in lost sales and thereby where the highest value and impact lies in terms of replenishment. It is their holy bible for anything that relates to product availability. It is also extremely useful for their sales and marketing teams, so they can ensure that they only push the styles that are high in stock.

Intuitive design and a smooth onboarding

One of the deciding factors for partnering with Hakio was the intuitive interface and design. A lot of forecasting systems are very data-heavy and don’t necessarily always have the user experience top of mind. Having a tool that looks user-friendly, modern, and easy to navigate meant that even team members who had no previous experience navigating forecasting systems beforehand could quickly understand how it works.

Another benefit to partnering with Hakio was the fact that it’s a relatively new company. This meant that there was a lot of room for Organic Basics to provide inputs, customizations, and adjustments. “Working and collaborating with Hakio to build the tool we need could have been very painful, but it was very fun and easy and we both learned a lot along the way. Now we have a super cool tool to use, so I’m really happy with the outcome,” says Maeve.

”During the onboarding process, we had weekly check-in calls, which made us feel very supported since we didn’t need to push for anything or chase anyone down to get support. It all felt very natural and without much effort on our part in planning it. That made the whole process very streamlined. Hakio was very open and responsive to our feedback and suggestions. A lot of them were implemented quickly and if it wasn’t possible to implement them at the time, the response was still very open so that you still felt your idea had been heard.” she adds.

Mads Fibiger Rasmussen also praised the collaboration, stating, "Hakio has completely changed the game for us and the Hakio team has been fantastic throughout the onboarding process, ensuring a smooth transition and offering ongoing, personalized support. I would highly recommend them to any online fashion brand looking to improve their inventory management and demand forecasting.”

Technology as part of a sustainable future

The partnership between Organic Basics and Hakio exemplifies how innovative technology can enhance operational efficiency and support sustainability goals shared by both companies. By addressing critical challenges in demand planning and inventory management, Hakio has empowered Organic Basics to continue its mission of providing sustainable, inclusive, and comfortable basics for all. This successful collaboration highlights the potential for tech-driven solutions to transform business operations, drive positive environmental impact, and transform the fashion industry.