123 Sourcing Cuts Load Planning with System That Eliminated Overstocking and Waste

Yalantis helped this Mexican 4PL provider automate delivery management, optimize container calculations, and reduce human errors – enabling them to retain clients and attract new ones.

Hours→Secs

Recalculation time

Overstocking

Development cycle

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“In logistics, every change cascades. A production schedule shifts, and suddenly you need to recalculate material availability, container requirements, delivery timing – everything. 123 Sourcing was doing this manually, in spreadsheets, for hours at a time. We built a system that does it in seconds.”

– Mykhailo Maidan, CTO at Yalantis

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Manual load planning couldn’t keep up with urgent changes

Client:

123 Sourcing

Headquarters:

Mexico

Industry:

Logistics (4PL)

Services:

Software development, Business Analysis, Quality Assurance, Product Design

Partnership:

January – December 2021

Team:

5 specialists

123 Sourcing is a fourth-party logistics (4PL) company that supplies manufacturing plants with raw materials and components from multiple suppliers. Their job is to ensure uninterrupted production – get the right parts to the right place at the right time.

The reality was messier. Urgent changes came constantly – from both manufacturers and suppliers. Production plans shifted. Delivery schedules moved. And every change triggered a cascade of recalculations that had to be done manually.

The manual process was killing them:

Recalculating production plan feasibility took hours
Human errors led to improper delivery planning and unoptimized container filling
Overstocking increased storage costs and frustrated clients
Critical phone calls were sometimes forgotten entirely
Shipping costs ballooned from poor container planning

To reduce lead time, avoid errors, and retain clients, 123 Sourcing decided to automate their delivery management. They needed a load planning system that could calculate material availability, compare scenarios with changing parameters, plan container requirements, and update production plans dynamically.

They partnered with Yalantis to build it.

Client:

123 Sourcing

Headquarters:

Mexico

Industry:

Logistics (4PL)

Services:

Software development, Business Analysis, Quality Assurance, Product Design

Partnership:

January – December 2021

Team:

5 specialists

Semi-automated load planning system with optimized container calculations and dynamic recalculation

Load planning calculator

The calculator takes production plan data and component arrival dates into account. Schedulers define implementation dates, products to produce, bills of materials, and lead times – then ask the system if delivery is feasible.

Production plan feasibility assessment

The system determines if parts can be delivered to the consolidation center in time to implement the production plan. Schedulers make informed decisions based on context the calculator provides – no more guessing.

Optimized container calculations with Google OR-Tools

The system estimates the minimum number of containers required to allocate all components based on weight and volume. Google OR-Tools powers fast, cost-efficient optimization that maximizes container utilization.

Automatic recalculation on data changes

All data is uploaded via JSON files. When users change source data – container type, production week, anything – results recalculate automatically. No manual re-entry, no missed updates.

Container booking data for consolidation centers

The system provides consolidation centers with data on containers to book or cancel. Decisions that used to require back-and-forth phone calls are now automated and documented.

Multi-tenant ready architecture

We built interoperable architectural components with multi-tenant foundations. The system can scale to serve multiple clients after moderate modifications – supporting 123 Sourcing’s growth plans.

How Yalantis delivered a cost-effective proof of concept that became the foundation for future growth

Discover the key milestones of our partnership ↓

Step 1

Phase 1. Defining "As Is" and "To Be" processes

Before building anything, we analyzed the current state of 123 Sourcing’s business processes and outcomes. We quantified and documented every bottleneck – making the cost of the status quo concrete and measurable.

We defined the future state based on the client’s requirements and KPIs. We also researched similar ready-made solutions – none fully covered 123 Sourcing’s needs, but they provided useful ideas. The phase concluded with documented value stream, development roadmap, activity diagram, and feature map.

Step 2

Phase 2. Load planning system concept design

We designed a load planning calculator that integrates production plan data with component arrival dates. The concept addressed every capability 123 Sourcing needed: production plan definition, feasibility assessment, informed decision-making context, container booking data, and minimum container estimation.

Step 3

Phase 3. Cost-effective PoC development

Using the design concept, we built a proof of concept that would lay the foundation for future integrations and add-ons. We chose Google OR-Tools for container optimization – ensuring fast, cost-efficient development. JSON-based data management enabled automatic recalculation when parameters changed.

The architecture was designed for growth: interoperable components and multi-tenant foundations that can scale after moderate modifications.

The load planning system optimized 123 Sourcing’s operational processes:

Recalculations now take seconds instead of hours

Every production plan change triggers instant updates.

No manual feasibility calculations

The system tells schedulers what’s possible and what isn’t.

Zero overstocking

Reduced storage costs and improved customer loyalty.

Human errors minimized

No more improper delivery planning, unoptimized containers, or forgotten calls.

Optimized shipping costs

Proper container planning means fewer containers and lower freight bills.

Client retention and acquisition improved

Reliable service delivery attracts new business.

Key milestones of our R&D collaboration.

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