FULL HOUSE -
ASSET
OR
LIABILITY?
It’s not a great time to be dependent on financial markets.
Rising interest rates, and inflation eat up your cash flow. Global conflicts pose serious threats to supply reliability. And economic uncertainty challenges your demand planning process.
While inventory might be recorded as an asset on your balance sheet, it quickly becomes a liability to your liquidity...
Special times call for special measures: Change your mindset and increase radicality.
A holistic playbook is needed...
Inventory runs through the entire organization: from procurement via production and logistics to the end customer.
All functions have their role to play and must contribute to inventory optimization.
A holistic approach is essential, utilizing the entire playbook of levers to optimize inventory with acceptable trade-offs.
Case Study: Best in class shipping tool
The approach: Select the optimal mode of transport for each product and route by comparing the costs of capital on stock in transit to the transportation costs of different means of transportation
The outcome: Over 5% stock in transit AND 10% in logistics costs reduced
Are you ready?It's time to step up your game...
Be bold and change the rules.
Make sure that your full house is not a liability.
Get ready to win...