Right-Sizing Your Safety Stock
It's incredible the number of companies today that simply have the wrong products in their warehouses. Imagine having capital tied up in stock that no customers intend to buy!
You know how dangerous stock misallocation truly is. You think of your safety stock as an insurance policy: it buffers service success from the dangers of forecast variance and supplier error.
What your company needs is to calibrate safety stock targets and reorder points with forecast error and lead times.
Imagine feeling confident in knowing:
- That you have the perfect level of safety stock required to achieve your customer service targets;
- You understand the consequential service impact of reducing your stock;
- That your demand planning process is adding value to your replenishment strategy;
- Your team's reorder points are compatible with your business;
- You understand the impact/value of altering your lead-times
I can help you with this.
The Program
After spending time on the ground with your team, I will analyze your forecasts, actual sales and supply planning master-data and derive conclusions. I will provide an extensive deck of recommendations with insight covering your sku portfolio, forecasting accuracy and supply planning savings opportunities.
Return on Investment
Companies that embark on this type of initiative commonly see drastic inventory reductions along with moderate to high levels of service improvements. Imagine being able to satisfy your customers' demands more economically!
Give us a call today and we will discuss cost and timelines.
