I am a supply chain management consultant and help companies that wish to make a step change improvement in their e2e SC/Operations performance. I do so by helping them to adopt Demand Driven SCM in place of their ineffective legacy 'forecast push MRP/DRP/APS' or 'optimisation' process
Demand Driven SCM is:
"a segmented SC execution process featuring multiple positioned & planned, but independent / decoupled, inventory locations that are each replenished, in an efficient & stable sequence, to a calculated & maintained stock target, in line with demand – not the forecast (which is used for S&OP, Event Management & buffer sizing)"
The Demand Driven SCM approach treats supply chains as what they really are: flows of materials to customers through conversion processes that inevitably create unplanned cost generating buffers (Q time, inventory, use of unplanned capacity) in response to variability at these 'constraints'.
Demand Driven SCM significantly improves Flow by eliminating MRP's forecast error induced variability (all that service saving expediting & firefighting) &, through the de-coupled inventory positions, preventing process variability being propagated through the MRP network. In consequence, Demand Driven Supply Chains autonomously respond to demand with a minimum of aggregate unplanned buffer enabling......
>> achievement of planned service levels while
>> reducing average inventories by 30% - 50% &
>> reducing costs by c20% (through using less capacity) &
>> reducing planning lead-times by upto 85%
in MTS, ATO or MTO, whether demand is stable, has trend, seasonality or high volatility, across inbound supply, manufacturing, distribution, retail and the extended supply chain / network.
Implementation of DDSCM requires focus upon 5 key areas - Process Design, Change Management, Organisational refinements, SmartMetrics & simple / quick to implement / low cost 'Software as a Service'.
I can be contacted at seag@camelot-mc.com