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In 2005 Radical was acquired by Barloworld Optimus 05 November 2006

Barloworld Optimus, the specialized inventory management business of diversified industrial company Barloworld Limited, has announced the acquisition of UK-based Radical Limited, a well-established, reputable and international specialist in supply chain network modelling. Radical is best known for their CAST supply chain modelling software, and has a customer base comprising over 200 customers worldwide in 40 countries including well-known brand names such as Sainsbury’s, Tesco’s, Unilever and SAB-Miller.

Both companies are looking to capitalise on synergies between their innovative supply chain software and consulting expertise, and are looking to build on their existing blue-chip client base throughout the world. Both already have a substantial European client base, and joint offerings or offices in the USA, Asia, South Africa and the Middle East.

In discussing the rationale for the acquisition, Richard Forrest, CEO of Barloworld Optimus comments, “network modelling is an increasingly integral part of the optimization of inventory in the modern supply chain. Today’s supply chains need to be agile, flexible and efficient to maintain competitive advantage, and this doesn’t just happen on its own – it must be designed. The addition of Radical’s specialized network modelling software CAST will allow customers to design the optimal supply chain infrastructure while Optimiza will deliver the optimal inventory deployment strategy. Our combined domain experience in both areas makes us and our tools the natural choice for the market”

Ewan French, Radical’s COO, corroborates this view in assessing the benefits of the acquisition for his company: “A key benefit to Radical is access to leading edge inventory software in the form of Barloworld Optimus’s Optimiza software. The use of Optimiza for inventory optimization alongside Radical’s CAST software for supply chain network planning addresses the market requirements for a closer link between inventory and network planning tools when carrying out supply chain optimization projects. In addition, being a part of a larger organization with the financial backing of Barloworld – a major international group operating in 30 countries with over $6 billion in revenues - facilitates Radical’s 10 year strategy for the geographical expansion of our services and investment in our core products. On a personal level it will give employees at Radical significant opportunities for career development and widening of their experience and knowledge going forward, because the compatible values and people focus of the two organisations has been a key factor in allowing the deal to come to fruition.”

In fact, there are working examples of the synergies and complementary nature of the two companies’ offerings already in the market. Both companies are currently working in tandem at Wickes, a leading DIY retailer in the UK, in a joint project to optimize their entire supply chain network.

Forrest concludes that “our companies have two World Class niche products with huge in depth functionality, and they are backed up by robust implementation and a proven track record in delivering strong ROI for some of the world’s largest corporations. The combined approach is exceptionally powerful; it means that clients can unlock maximum value from their supply chain strategies, which will certainly be our approach in the exciting times that lie ahead for us.”