Supply chain leaders are under frequent pressure to contribute to cash flow by reducing inventory. This research provides a set of sequenced actions for a comprehensive approach that will increase cash flow while protecting service levels, profitability and growth.
- No. 1 Reduce Order Quantities for Lower Cycle Stock
- No. 2 Identify and Address Chronic Drivers of Oversupply
- No. 3 Consolidate Finished Goods Stocking Locations
- No. 4 Optimize Pull-Based Replenishment to Finished Goods Warehouses
- No. 5 Implement MRP-Based Flow of Inbound Parts and Raw Materials
- No. 6 Reduce Structural Inventory by Mitigating Critical Network Constraints
- No. 7 Align Supply Planning With Inventory Targets
- No. 8 Consolidate Product Designs, Obsolete Products and Common Items
- No. 9 Design and Implement Postponed Processing
- No. 10 Implement Advanced Buffering Analytics
- No. 11 Develop Advanced Demand Sensing and Modeling Analytics
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