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Retail-111
The Situation:
Major manufacturer of vitamins, supplements, nutritional products, and over the counter pharmaceuticals lost 40 million dollars in sales and was in danger of losing several major retain customers due to their inability to anticipate and deliver their products when they were required. The Highland Group was asked to assist them with demand planning and supply chain optimization.
Driver Goal:
- To increase customer service levels for one customer (Wal-Mart) to 100% and to all other retail customers to 96% in the next 10 weeks
Actions Taken:
- Partnered with the planning department to implement a process to realign QAD system parameters to determine customer requirements and to ensure product is available to meet the requirements
- Customized the inventory planning and shipping process that prioritized meeting customers’ requirements
The Results:
- Achieved delivery and customer service level to Wal-Mart at 100% of requirement
- Documented delivery and customer service level to other retail customers at 96%
- Installed reactive processes in place to coordinate planning, manufacturing and shipping to meet customer requirements on an ongoing basis
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