The important role of inventory

Your supply chains have become more complex, markets are increasingly volatile, and manufacturing output remains variable. Inventories are an inevitability in the mitigation of supply and demand uncertainties. Reduce your exposure to risk, improve your organization’s responsiveness and flexibility.

There is room for improvement!

Within most organizations, there is plenty of room for simultaneously lowering inventory levels and increasing customer service. Is this true for your company too? Joining our customer journey will provide you with these answers and more. We deliver the level of support that you need:

The customer inventory menu card

Stock right-sizing analysis

Your stock levels (service levels) are too high (low) and you don’t know what are the drivers for right-sizing stock levels.

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Basic stock optimization

You know what drives your stock value but want to start a data-driven approach to right-size your stock levels.

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Advanced stock optimization

You are using basic models to right-size stock levels but want to go beyond, using state-of-the art modelling.

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E2E-monitoring and control

You have found your way to right-size your inventory, but did not embed and sustain a way of working on a day-to-day basis.

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Stock right-sizing analysis

Identify what drives your stock levels and find room for improvement:

Inventory Insights

Your stock levels are too high and you don’t know what drives your stock value? We break down your stock into different types (safety, cycle, overstock, etc.) and identify room for improvement based on industry benchmarks.

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Forecast vs. stock analysis

Your forecast can be the root cause for high overstock and/or low customer service levels. We help you identify the set of products for which an improved forecast accuracy and bias can help reduce overstock and increase customer service. We can also help setup the business case.

Supply vs. stock analysis

Are external suppliers causing you high overstock and/or low customer service levels? Let us identify the set of products for which more reliable supply can help reduce overstock and increase customer service.

Single-echelon safety stock calculation

Your safety stock levels are based on rules of thumb and you are not sure whether they are too high or too low to reach your customer service targets? We can perform a quick and simple safety stock calculation to identify products for which current safety stock causes overstock or unmet customer service.

Basic stock optimization

Determine, implement, and understand the right-sized stock levels for safety, cycle and transit stock:

Single-echelon safety stock optimization

Are you wondering whether you reach your customer service level targets, and/or whether it is reached in an effective way? Let us determine your current customer service level and identify how customer service level differentiation (by product/customer) can help simultaneously increase customer service and decrease safety stock value.

Lot size optimization

Is your cycle stock is too high and you mainly replenish your stock from external suppliers? We help you identify the set of products for which economical lot sizing (per item and/or supplier) can help improve the balance between inventory holding and replenishment costs.

Lead time optimization

Do you have too much transit stock and you mainly replenish your stock from external suppliers? Let us identify to what extend and for which set of products the resupply process is delayed and what the root causes are.

Advanced stock optimization

Unlock the full potential of inventory right-sizing across the whole supply chain:

Production/rhythm wheel optimization

Is your cycle stock is too high and are your production facilities organized to efficiently run production in a fixed sequence and frequency? Then we can help you identify whether and how a different production sequence and frequency can reduce cycle stock without decrease of your production efficiency.

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Multi-echelon safety stock optimization

The individual parts of your supply chain achieve their internally set service levels targets in a cost effective way. But are the set targets optimal from an end-to-end supply chain perspective? We identify the set of items (final products, intermediates, raw materials) for which the stock balance can be improved to increase customer service and decrease the safety stock value across the entire supply chain.

Scenario driven inventory optimization

Your demand and/or supply are subject to large events, and you don’t know whether, when and how much inventory should be build up to reach your customer service levels in a cost effective way? We can design and build a simulation model and monitoring dashboard that enables to compare multiple scenarios, and select the optimal scenario for execution.

E2E-monitoring and control

Simplify your way of working, keep track of your performance and adapt instantly where needed:

Portfolio analysis using machine learning

ABC/XYZ-segmentation is not always suitable to optimize your safety stock, e.g. when supply constraints (minimum order quantities) are in place. Let us identify the main drivers for safety stocks and customer service, and determine the best segmentation method to differentiate customer service level targets.

Performance dashboard

Is your stock strongly fluctuating over time but you don’t have insight in the stock value changes and their main drivers? We can design and build a diagnostic, actionable inventory dashboard to track your inventory performance including root-cause analysis.

Inventory management by exception

Your supply chain is driven by large day-to-day changes in demand and supply. You want to be supported in operational decision making in a structural way, i.e. without getting lost in the ‘firefighting mode’. Let us design and build an operational inventory dashboard that signals risks and suggests possibilities for timely resupplying and/or rebalancing your stock levels.

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Inventory services

Optimized inventory parameters provided by our experts on a periodic basis “as a service”.

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Inventory Master class

Introduction into the design and implementation of robust inventory management practices that drive your business.

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