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Right Sized Inventory - v11.2 8.30.16

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Transcript of Right Sized Inventory - v11.2 8.30.16

Low to no impact
Missing capability: inventory analytics
Still, few companies have advanced inventory analytics
Most enterprise systems are missing this capability
Companies get by with home-grown systems and processes
Existing Systems
Heavy Investment by Many Companies in Enterprise Systems
High Tech and Electronics Mfg
Life Sciences:
Med Device and Pharma
and Defense
Industrial Manufacturing
Lighting and
Home Furnishings
Industries Benefitting from RSI
Prevent Shortages and Reduce Excess Inventory
How we do it
Advanced statistical techniques allow auto-fitting to different demand patterns
Better science than standard academic formulas
Tools to Refine the Model
What-If Scenarios
Change of Supplier or Revised Supplier Lead Times
Change of Build or Purchase Frequency (e.g. Weekly vs. Monthly)
Revised Minimum Purchase Quantities
Sensitivity Analyses
Expected On-Hand Inv as Input Values Change
Target Service Level
Optimize Order Fulfillment with Minimum Amount of Required Inventory
Reduce excess inventory
Reduce material shortages
RSI Data Imported Back to Your System
RSI Optimized Target Inventory Levels

Supports any Replenishment Method

Standard MRP
Min / Max
Reorder Point
…and more
Monte Carlo
One Possible Path
All potential paths – as modeled
Sandy's Actual Path
Full transcript