Inventory Optimization

We help companies establish a data-driven, automated inventory management process that optimizes stock levels while balancing the twin goals of service levels and inventory costs.

Initial Assessment and Diagnostic

Empowering businesses to optimize inventory management through data insights and strategic benchmarking.

Strategy Development and Planning

Strategically optimizing inventory with targeted segmentation, precise safety stock, and agile forecasting for seamless supply alignment.

Execution and Implementation

Implementing integrated technology, dynamic strategies, and training for optimized, flexible inventory management.

Monitoring and Continuous Improvement

Driving continuous improvement through KPI monitoring, targeted stock management, and adaptive strategy refinement

Project Closeout and Long-Term Support

Ensuring long-term success with final impact reporting and continuous inventory optimization support

1.Initial Assessment and Diagnostic

Key Activities :

The first step is to conduct stakeholder interviews to understand business objectives and constraints. This includes reviewing financial data, inventory costs, and key operational metrics. Consultants extract data on sales, stock levels, and lead times to identify inefficiencies and trends. Key performance indicators (KPIs), such as inventory turnover and days on hand (DOH), are defined to measure success. The business is benchmarked against industry standards to highlight areas for improvement.

Key Deliverables:

Business Goals and Objectives Document

2. Strategy Development and Planning

Key Activities:

Once the assessment is complete, tailored strategies are developed for different inventory categories using ABC analysis. Demand variability and lead times are analyzed to create dynamic safety stock models that prevent stockouts and excess inventory. Supplier performance is assessed to ensure reliability, and collaboration practices are introduced to improve alignment between departments. Demand forecasts are adjusted for fluctuations, seasonality, and market trends to make them more responsive to real-world conditions.

Key Deliverables:

Stratification approach
Inventory policy changes

3. Execution and Implementation

Key Activities:

With a strategy in place, the next step is to implement it effectively. This includes selecting and configuring inventory management software to automate key processes. Alerts and dashboards are set up to provide real-time insights, and teams are trained on new processes to ensure smooth adoption. Addressing resistance to change is crucial for successful implementation. Dynamic reorder points are introduced, and regular review cycles are established to keep forecasts and inventory management strategies updated.

Key Deliverables:

Configured Inventory Management System
Real-Time Monitoring Dashboards

4. Monitoring and Continuous Improvement

Key Activities:

Continuous monitoring ensures that the implemented strategies remain effective. KPIs are tracked regularly to identify trends and opportunities for improvement. Consultants conduct audits to identify slow-moving or obsolete inventory and develop strategies for liquidation or repurposing. Based on KPI performance, strategies are refined and adjusted to align with evolving business needs and market conditions.

Key Deliverables:

Performance Review Reports
Continuous Improvement Recommendations

5. Project Closeout and Long-Term Support

Key Activities:

At the end of the project, consultants compare pre- and post-optimization KPIs to measure improvements. A final report is presented to showcase results and highlight key learnings. Periodic performance reviews are offered to ensure sustained benefits, and recommendations are provided for future scalability. Long-term support ensures that the business continues to optimize its demand planning processes over time.

Key Deliverables:

KPI Improvement Summary
Long-Term Monitoring Framework