$1.2M in Materials Nobody Needed. The Answer Was in the Emails.
A packaging manufacturer was sitting on $1.2M in dead inventory while running emergency rush orders monthly. The demand signals existed — in SAP, HubSpot, and sales emails — but nobody was reading them together. We built the system that did.
$1.2M
Dead inventory
→
$340K
72% reduced · 2 quarters
Three-source demand fusion
SAP ERPOrder history
+
HubSpot + EmailQualitative signals
+
Market DataCommodity pricing
→
Forecast Engine
→
✓ Procurement recs
72%
Dead inventory reduction — $1.2M → $340K
84%
Forecast accuracy — was 58%
$0
Lost orders to stockouts — was $600K+/yr
~$200K
Rush order savings projected annually
4 hrs
Forecast time — was 3 days manual
Industry
Packaging Mfg
Revenue
~$45M/yr
Employees
200+ · 2 sites
Customers
~340 active B2B
Engagement
7 weeks
ERP / CRM
SAP B1 · HubSpot
The Problem
Too Much of What They Didn't Need. Not Enough of What They Did.
Two real incidents — same week — that defined the problem
📦
Food Brand Volume Drop
Client ordering 200K units/quarter for 2 years suddenly dropped to 80K. A sales call 3 months earlier mentioned a packaging redesign. Nobody flagged it. Materials were already ordered.
~$180K in stranded materials
⚡
Electronics Stockout
Client doubled order volume with 3 weeks' notice — a product launch. Couldn't fulfill. Order went to competitor. A sales rep email 2 months earlier mentioned "a big Q4 launch."
$340K lost to competitor
🖥️
SAP Business One
4 years order history. Pattern data existed — but procurement read it as "last quarter = next quarter."
✓ used — simplistically
💬
HubSpot CRM + Email
Sales reps heard about launches, redesigns, volume shifts. Completely disconnected from procurement.
✕ never used for procurement
📊
Market Data
Commodity prices and industry indices correlated with volumes. Nobody had connected it to forecasting.
✕ never used for procurement
🔍
"We're spending too much on materials we don't need and not enough on materials we do." — VP of Operations. The data existed. Nobody was reading it together.
$1.2M
Dead inventory
$340K
Single lost order
~$250K
Annual rush costs
3 days
Manual forecast time
The Solution — Architecture
Three Data Sources. One Fusion Engine. Forecasts That Read the Emails.
🖥️
SAP Business One
ERP · 4 years order history
Time-series patterns per customer
Seasonality & ordering cycles
Configuration-level demand curves
💬
HubSpot + Email
CRM notes · sales rep emails
"Launching new SKU in Q3"
"Consolidating suppliers"
"Redesigning their packaging"
📊
Market Data
Commodity prices · industry indices
Containerboard price trends
Industry production indices
Consumer spending seasonality
↓ all three sources feed the fusion engine
⚙️ Demand Intelligence Fusion Engine
Quantitative Baseline
Time-series analysis on 4 years of SAP data. Seasonality, customer cycles, trend direction.
ARIMA · seasonality decomp
Qualitative Signal Extraction
AI reads HubSpot notes and emails. Tags forward-looking signals with confidence levels.
AI email scan · confidence-weighted
Market Correlation
Commodity prices and production indices correlated with historical order patterns.
commodity price correlation
↓ engine produces three outputs procurement can act on
📈
Three-Scenario Forecasts
Base, upside, downside per customer. Procurement hedging logic — not a single number, a strategy.
base · upside · downside
🔔
Real-Time Signal Alerts
When demand signals change, procurement is flagged immediately. Before materials ship.
pre-shipment flags
💬
Conversational Interface
Plain language queries against live forecast data. No dashboards to learn.
natural language · live data
Material-level aggregation — what procurement actually orders
Q2 Raw Material Forecast — 340 Customers
80% confidence intervals
MaterialBase qtyConfidence rangeConfidence
C-flute 32ECT corrugated847 tons
92% · firm rec
B-flute 26ECT corrugated312 tons
76% · order base
Process color inks (CMYK)4,200 kg
81% · firm rec
⚠ Die plates — food segment14 plates
44% · manual review
The Proof — What Procurement Now Sees
Ask in Plain Language. Get a Strategy. The Email That Changed the Q2 Forecast.
Conversational demand interface — VP of Operations
demand-intelligence · procurement-chat⚡ Live data
VP
What's our corrugated board exposure for Q2? Breakdown by grade.
🤖
Here's your Q2 corrugated exposure across all 340 customers:
Q2 Corrugated Board Forecast80% confidence
Base
1,159t
C+B+E flute combined
Upside
+18%
if 3 launches confirm
Downside
−22%
if food drops hold
📋 Order 1,159t base now. Hold upside delta until Jan 12 confirmation window.
VP
If Hartfield drops 30%, what's our waste risk?
🤖
Running scenario — Hartfield Foods −30%:
Hartfield Foods −30% · Material Exposure
C-flute over-committed41t · ~$68K
Custom die plates3 plates · ~$12K
Total exposed~$89K at risk
Cancellable before delivery~$51K if actioned by Nov 22
Signal confidenceMedium · CRM note Nov 8
Recommend escalating to sales rep before Nov 22 cancellation window.
AI signal extraction — the email that changed Q2
📧 Inbound CRM Email — AI Scanned
This email existed. It was never connected to procurement. Until now.
Raw email · HubSpot · flagged for procurement signal
From: Lisa Marsh <l.marsh@hartfieldfoods.com>
To: Tom Reyes (Sales) · Nov 8 · Re: Q1 review call
"...we're going through an internal review of packaging spend. We may be consolidating to fewer vendors. Nothing confirmed yet but wanted to flag it. Volume for Q2 could look different from what we've been running..."
Hartfield Foods · Current Q2: 120 tons C-flute · At risk: up to 30%
Confidence: Medium · 2 forward indicators
→ Forecast adjustment applied
Hartfield Q2: 120t → 84–120t (downside added)
📡 Demand Signal Alerts
3 active
Hartfield Foods — volume review flagged
"consolidating vendors · Q2 could look different" · $68K exposure
⚠ Confirm by Nov 22
2d ago
Vantage Electronics — order frequency below pattern
Expected reorder Nov 10 — not received. 18-day delay.
⚠ Outreach recommended
4d ago
Clearbrook Consumer — launch signal detected
"new product line Q2 · needs heavy-wall triple-wall corrugated"
📈 Upside scenario added
6d ago
Results — First Two Quarters
$860K Dead Inventory Eliminated. Zero Stockout Losses. Procurement Made Proactive.
72%
Dead inventory reduced $1.2M → $340K
84%
Forecast accuracy was 58%
$0
Lost orders to stockouts was $600K+ prior year
Dead Inventory Value
Before
$1.2M
After
$340K · −72%
Forecast Accuracy
Before
58%
After
84%
Rush Orders per Month
Before
2–3/mo
After
1 per 6–8wk
AI Signal ExtractionThree-Scenario ForecastingConversational InterfaceSAP Business OneHubSpot CRMTime-Series AnalysisAlert Trigger EngineConfidence Scoring
Metric
Before
After (2 qtrs)
Dead inventory
$1.2M
$340K (−72%)
Rush orders
2–3/month
1 per 6–8 wks
Rush order cost
~$250K/yr
<$50K projected
Forecast accuracy
~58%
~84%
Lost orders
$600K+/yr
$0 in 2 quarters
Forecast time
3 days manual
4 hours review
The Real Differentiator
Quantitative forecasting on order history was table stakes. The differentiator was reading the emails — extracting qualitative demand signals from CRM notes and sales conversations, and turning them into signed forecast adjustments with confidence scoring. That's what caught the Hartfield drop before materials shipped.