Supply Chain Satire
WD-40 Squeezes $7 Million Out Of Its Supply Chain; Supply Chain Says It Has Never Felt Less Squeaky
Inventory fell to 95 days on hand as the company inched toward a 90-day target. Pallets nationwide report feeling unusually limber.
Based on real news: WD-40 credits supply chain for $7M in cost savings (Supply Chain Dive)
SAN DIEGO—WD-40's global supply chain delivered $7 million in cost reductions during fiscal 2026 through better inventory management, logistics efficiencies and strategic sourcing, President and CEO Steven Brass said on an Oct. 21 earnings call, according to Supply Chain Dive.
Inventory fell to 95 days on hand from 99 days a year earlier, closer to the company's 90-day target, even as higher oil prices tied to the Iran war raised input costs for specialty chemicals by up to 100% earlier in the year. The company added a European manufacturing partner, rethought distribution center locations to cut delivery miles, and outsourced those centers to third-party logistics providers.
At a fictional 3PL warehouse outside Memphis, the results were noticeable. "Every pallet in here just glides now," said a fictional forklift operator. "One of them rolled to the dock by itself on Tuesday. We gave it the afternoon off."
One of them rolled to the dock by itself on Tuesday. We gave it the afternoon off.
Ninety-five days on hand is a number this desk respects. It is a number with a destination. For comparison, Container DSKU 401177-3 has now been in transit for 932 days as of this morning. I checked it at 5:40 a.m., as I do. Status: in transit. If WD-40's planners would like a real challenge, I can send them the tracking number. I will not, because I do not want anyone else to have it.
A fictional squeaky hinge at a fictional distribution center in Ohio said it supported the savings in principle but felt it had been part of the company's identity for a long time. "I am the reason you exist," it told the company's products. "And now you are telling me you are lean?"
WD-40 said costs for oil inputs and freight will stay elevated into the current fiscal year. The company is also expanding its ERP platform and AI-enabled systems, which the pallets said they were open to as long as nobody asks them to log in.
Remaining inventory days to target: five. Container days to destination: unknown.
More on WD-40
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Riffing on: WD-40 credits supply chain for $7M in cost savings, Supply Chain Dive