Manufacturing & Industrial · 2024

Building a resilient supply chain at an industrial manufacturer

We redesigned the global supply network and standing inventory policy to reduce stockouts while freeing working capital.

+6%

Revenue growth

-14%

Cost reduction

+36%

Process efficiency

+11 OTIF

Customer satisfaction

5,800 hrs/yr

Time saved

Client

$4B industrial manufacturer

The challenge

Pandemic-era stockpiles ballooned inventory by 40% without resolving service issues on critical SKUs.

Our approach

  1. Segmentation of 12,000 SKUs and tiered service policies
  2. Multi-echelon inventory optimization
  3. Supplier dual-sourcing program for top 200 parts
  4. S&OP redesign with monthly executive cadence

The outcome

$220M freed from working capital, on-time delivery up 11 points, and stockouts on critical SKUs cut by two-thirds.

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