Lokad Review: Pricing, Pros, Cons & Alternatives

Overview

Lokad is a supply chain optimisation company that has worked on probabilistic forecasting and ROI-oriented decision-making since 2008^[14]. It uses differentiable programming and a team of supply chain scientists who build and maintain each client’s optimisation logic, rather than selling a configurable planning package. Lokad says it has grown by an average of 50% a year, financed by customer revenue after initial funding from family and a few business angels, without further investors^[14].

Instead of producing a single forecast that planners then adjust, Lokad generates probabilistic forecasts of demand and lead times and converts them directly into prioritised purchase, production or allocation decisions ranked by expected financial return. Its published case studies include work for a US$1 billion retailer on Black Friday planning^[14]. The approach suits aerospace maintenance, spare parts, fashion and retail businesses with uncertain, intermittent demand.

Lokad’s service-heavy model means clients depend on its scientists for model changes, and it does not offer the planner-facing collaboration workflows of mainstream S&OP software. Fees are agreed per engagement.