Supply Chain Diagnostics for a leading Manufacturer
Published Date:
Jun 16, 2011Business challenges
- Inorganic growth across multiple countries and at varying business maturity
- Disconnected and non-standard processes across various locations leading to reduced responsiveness, accuracy and availability of information
- Multiple manual touch points and usage of multiple systems to support same sub-process
Our approach
- Analyzed business processes and applications across multiple countries
- Compared As-Is state with best- in-class benchmarks / best practices
- Provided recommendations on process improvements and effective use of application
- Provided a framework for metrics driven approach for managing /improving processes
- Provided a transformation roadmap
Business areas addressed
- Sales operations
- New product introduction
- Inventory management
- Logistics
- Planning (MRP-MPS-FLP)
- Supplier selection and evaluation
Benefits
- Reduction in working capital due to improved inventory turns ~ 80 M USD At 20% carrying cost this led to a savings of 16 M USD/Yr
- Reduction in logistics cost ~ 22 M USD
- Savings from improved operational efficiency ~ 1,100,000 USD/Yr
- Improved NPI performance and delivery performance
