Introducing
Your new presentation assistant.
Refine, enhance, and tailor your content, source relevant images, and edit visuals quicker than ever before.
Trending searches
Wolfhound Simulation Exercise
285
Accenture
Wolfhound Simulation Exercise
ZHANG HELI 1861097
YAO PEIWEN 1839389
SHEN QIAO 1839409
WANG DEFU 1839396
HU HUI 1839466
ZHOU QI 1839347
Objectives & Strategy
Objectives
Objectives
-Financial focused:
purchase within £700,000 weekly; avoid penalties; lower inventory holding cost
- Customer focused:
desired customer service level above 95%
Strategy
Strategy
- Initial strategy:
safety stock(CSF x MAD x Sq Rt(LT)) needs to be secured to meet demands from customers and replenish inventory on a weekly base.
- Improve: lean supply
make new forecast every week and decide final order quantities upon everyone's consent.
Team Roles & Responsibilities
- Rhea & Dave are responsible for forecasting calculation, demand analysis.
- Alice is involved in recording and updating decision sheets on a weekly basis.
- Judy & Shirley takes charge of procurement.
- Amber acts as a coordinator between purchase team and forecast team, monitors stock levels.
Performance Measures
Performance
Measures
3 criteria
1. Availability ( Customer service level %)
2. Inventory level ( The inventory cost in each week $)
3. Total profit ( Financial measurement $ )
1. Availability
2. Inventory
3. Profit
Pareto
Analysis
Objective
The objective of Pareto Analysis:
1. Reduce the high stock value
2. Maintain stock at the lowest appropriate level
Graph
Pareto Analysis
HOW
HOW TO Apply ABC Analysis tool in forecasting
3 Key Learning Points
Time Management
Time Management
Issue:
Transfer all central stocks to customer stocks.
Reason: We paid much attention on sources of procurement management, which caused less time to decide transfer quantity.
Solutions:
- Prioritise Tasks
- Divide up the work
Order Quantity
Order Quantity
Advantages:
- Realize a balance between a low inventory level and good availability
- Close observation on all of the parts
New Order at the end of Period N=Actual Demand of Period (N) + New Forecast of Period (N+1)-Stock-Stock in Transit+ Safety Stock
Disadvantages:
- Workload is heavy
- No direct outcome and need extra analysis about reallocation and flange
Demand & Forecast Overview
Issue:
Central store: forecast < actual demand;
Reason:
underestimated the value of safety stock
Some parts have demand in week 1, but we work out the safety stock based on the data of previous 20 periods.
Solution:
Keep an eye on irregular data.
Reallocation
Reallocation
Issue:
From week 2, we made reallocation decisions almost every week.
Reasons:
- Inaccurate forecast for flange demand: demand of the 12 weeks increases;
- Inappropriate transfer: transfer too many stocks from central store to customer store.
Solutions:
- Close monitor of fluctuation in demand, keep forecast data updated
- Transfer stock according to the forecasted demand from customer store