Accurate Inventory Levels are the Key to Balancing Supply and Demand
Does your business still swing between periods of high and low inventory depending on business priorities? Smart inventory planning determines the optimal quantity and timing of inventory and aligns it with sales and production capacity. Your job is to empower and your teams to regularly review safety stock levels and amend policy parameters to provide the elasticity required to yield the quickest return.
AgustaWestland Uses Optimiza to Identify and Redistribute Excess Stock
AgustaWestland is an Anglo-Italian helicopter company owned by Italy’s Finmeccanica group and provides total rotorcraft capability to its customers worldwide. The company had long faced long material lead times, which made them realize they needed to improve their supply chain and management process and that is where Optimiza came in. Optimiza was integrated into AgustaWestland’s existing system enabling theme to offer robust planning, monitoring and the management of supply as well as making sure the procedural changes which were fundamental to the whole project were taking place. AgustaWestland’s decision to adopt the Optimiza Software was based on its ability to utilize both an event-driven system as well as a time based one. The repair business is very low volume but with a very high inventory level. Optimiza’s ability to incorporate factors such as bills of materials and expected programs gave AgustaWestland a technique they were familiar with. Enabling AgustaWestland to rapidly incorporate export repairs which had previously been supported entirely separately.
Unlike traditional inventory re-ordering systems, Optimiza inventory planning software builds a business-specific inventory model that takes into account the unique supply, demand and ow characteristics of each product and allows you to:
- Scientifically determine what inventory is needed to achieve required service levels
- Balance Safety Stock
- Calculate and maintain the optimal safety stock and replenishment orders
- Project future investment, procurement and warehousing requirements for their business
- Focus on adding value in the shortest possible time because it is exception-based