A one day program on Distribution Management & Agile Supply Chain

PROGRAM OVERVIEW

Unless the End customer has bought, no one in the supply chain have really sold

Success of a Supply Chain depends on each link’s ability to cater to market demands in a reliable manner without choking the system with excess inventory.

Traditionally, stocking levels in a distribution network relies heavily on forecasts which in the current demand scenario may lead to either less or excess inventory.

Also ordering polices like Min-Max level, Re-Order Level etc. have their own limitations.

Will you get a competitive advantage if you offer your

“Right Products to the Right Customers at the Right Time in the Right Quantity and optimum Cost”

TOC Replenishment model can help organizations gain the above decisive competitive edge , by the market knowing that the company’s product availability are highly reliable with less inventory being held and the whole supply chain is operating on a much robust ordering / replenishment mechanism thereby responsiveness to market is increased manifolds.

Typical benefits of TOC Replenishment model are

  • Increased parts availability (Over 95%)
  • Increase in Sales increase (Usually 30%
  • Reduction of inventory at all levels in the Supply Chain. (Typically 50%)
  • Increase in inventory turns (usually double)
  • Reduction in obsolescence inventory ( less than half)
  • Reduction of cross shipments ( almost zero)
  • Simple & Powerful priority mechanism for distribution
  • Effective raw material inventory management
  • Reduction in the working capital

Few Success Stories

  • TOC – Distribution solution for a flexible packaging systems increased sales by 20 %, decreased pipeline inventory by 15%
  • A textile & apparels manufacturing company improved inventory turns from 2.5 to 4.5, improved gross margin by over 135% and store space decreased by 50%
  • Organization selling frozen dry foods implemented the TOC pull based replenishment solution and achieved 20% increase in Sales, and 60% reduction in inventory with no stock outs.

PROGRAM AGENDA

S.NO. Topic Duration (Min.)
1 Over view of Theory of constraints 30
2 Distribution Management – Challenges, Current Paradigm 60
3 Simulation of current problems & environment 60
4 TOC Insights into Distribution: Pull based Replenishment Solution 150
Current reality (What to change?)
Solution details (What to change to?)
Implementation steps (How to cause the change?)
Case study discussions
5 Demonstration of distribution paradigm: Beer Game 60
6 Assessment Quiz (Concepts & methodology) 15
7 Discussions 30

TARGET AUDIENCE

  • Distributors, Retail Chain and Consumer Goods Manufacturer, Academicians
  • Head / Managers / Supervisors from Distribution, Retail Chain, Stores, Sales & Marketing, Supply Chain