Gartner Research

The Seven Requirements to Reduce and Sustain Inventory Levels in Consumer Products

Published: 24 June 2013

ID: G00252018

Analyst(s): Jan Kohler, Steven Steutermann

Summary

As companies continue to be pressured to improve cash flow and reduce working capital requirements, supply chains must find ways to effectively reduce and then sustain lower inventory levels. This research identifies seven requirements for inventory reduction in consumer products.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Address Seven Requirements to Effectively Reduce Inventory Across a Network
    • No. 1 — Demand Forecast
    • No. 2 — Demand Visibility and Translation
    • No. 3 — Demand Frequency
    • No. 4 — Supply Reliability
    • No. 5 — Supply Agility
    • No. 6 — Pull-Based Inventory Strategy
    • No. 7 — Inventory Optimization
  • Summary

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