Background
Mid-market CPG contract manufacturer with ever changing demand and completely manual demand planning processes often suffered from RM stockouts and consequently, delayed finished goods production.
Approach
We uncovered the inefficiencies in demand planning and implemented a “lock-in” period of four weeks of unchanged demand. We also implemented ETL for accepting incoming demand. The lock-in period ensured timely material ordering and streamlined production planning. There was significant improvement in yield and. WMS system was integrated with the planning tool to provide inventory visibility.
Results
Our approach significantly reduced stockouts, increased sales and profits, and improved planning and production processes holistically.