Computer Vision Retail Distribution Center Case Study

From 94% to 99.7% Accuracy: How AI Ended a Retailer's Inventory Nightmare

A major retail distribution center was battling a chronic inventory problem. With an accuracy rate of only 94%, the facility was constantly plagued by costly stockouts and inefficient overstocking. To combat this, a team of 40 people was required to perform disruptive, time-consuming quarterly cycle counts, a manual process that only provided a temporary snapshot of inventory levels. The operational cost was immense, and the inaccuracy directly impacted the company's ability to fulfill orders and satisfy customers.

The system’s key functions include:

Providing real-time inventory visibility by automatically tracking the movement and location of stock throughout the facility.

Leveraging existing security cameras to minimize initial hardware costs and accelerate deployment time.

Eliminating the need for manual counting by providing a persistent, highly accurate inventory count 24/7.

Integrating with mobile scanning stations to ensure every corner of the warehouse is covered, from receiving docks to picking aisles.

The deployment of the computer vision system delivered a dramatic and immediate return on investment, solving the core accuracy issues while significantly reducing operational overhead.

99.7% Inventory Accuracy:

The system provided a near-perfect, real-time view of all stock, eliminating the guesswork that led to stockouts and overstocking.

Eliminated Quarterly Cycle Counts:

The always-on, automated system completely removed the need for manual, facility-wide inventory counts.

60% Reduction in Inventory Team:

The efficiency gains allowed the company to reduce its inventory team by 60%.