What is Inventory Planner

Finds the right relationship between stock of a product at a given location and Service Level based on various supply chain parameters. Optimizes Inventory across Multiple Echelons in Supply Chain to deploy inventory at the right location Does multi-SKU Optimization for right service levels for all products at all Locations.


key Features

Stock to Service Curve

Generates unique Stock to Service Curve for each product at each location based on unique product-location characteristics. Considers parameters like Demand Variability, Lead-time, Review Period, Lead-time Variability, Supply Compliance, Production and Distribution Lot-sizes etc.



Scientific Inventory Norms

Establishes scientific basis for setting right Inventory Norm for each product-location based on above parameters.

Multi-Echelon Inventory Optimization

Optimizes Inventory across multiple echelons and identifies the right echelon for inventory deployment for each product to deliver the required Service Level with minimum Inventory. Insulates Supply Chains from Demand and Supply Variabilities through deployment of Inventory at the right location.

Intermediate, RM and PM Inventory Optimization

Optimizes the form in which the Inventory needs to be maintained (FG, Intermediate, RM and PM) based on production and procurement lead-times and Inventory costs to create responsiveness with minimal Inventory risk.

Multi-Product Inventory Optimization

Sets right service level for each Product at each location based on Stock to Service curves to meet the overall Service Level requirement. Treats each product-location uniquely and apportions the inventory budget in an optimal manner. Automatically sets lower service targets for high volatile items.

Simulations

Simulations to identify right production lot-size, distribution frequency, Hub-spoke model, segmentation strategy etc.

Benefits at a glance

  • Service Level Improvement at Overall level
  • All round reduction of Inventory at all Supply Chain Locations
  • Reduced storage and handling cost
  • Reduced Inventory write-offs, Mark-downs and obsolescence
  • Improved Freshness
  • Reduced Stock Returns

Case Study

  • Indian arm of one of the largest FMCG companies world-wide improved its service levels by 5% and reduced Inventory by over 9% using the Inventory Planner.