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Inventory Management

Production and distribution inventory management using the Demand Driven MRP methodology, which combines practices: TOC, Lean, 6 Sigma, MRP, DRP, and the innovation block. The effects your business gets: reduction of inventory and simultaneous improvement of service level

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What challenges do you face when managing inventory?

01
Using an outdated approach

The manufacturer forecasts sales, and the system calculates how many resources are needed. However, the forecasts do not match the actual market needs, and forecast errors increase as they progress through the supply chain, deviations accumulate, and the "bullwhip effect" emerges

02
High-demand products are produced in insufficient quantities

Which causes the company to lose sales and reduce customer loyalty

03
Excesses or shortages in the assortment as a result of previous attempts to meet demand

Which, in turn, ties up working capital, and reduces asset turnover. Semifinished products and finished products are consistently understocked

04
Expired products result in losses

Non-moving goods are sold at discounts. Shipped but unsold products by distributors increase returns

05
The lack of necessary information about the links between the supply chain and production

Leads to situations where capacities and inventory levels are insufficient to produce the required amount of goods

06
Additional costs for moving goods between storage points

The need for warehouse space is growing, as is the cost of storing inventory and the cost of staff

Solution for manufacturers and distributors We take into account real demand and localize the negative relationship in the supply chain

01
Demand Driven MRP
The essence and purpose of the approach
The methodology of planning, modeling, and managing the supply chain in manufacturing and distribution, aimed at ensuring a steady flow of relevant materials and information
Combining global practices in the methodology
DDMRP integrates global practices in production and supply organization: TOC, Kanban, Lean, 6 Sigma, DRP, MRP, and innovation blocks
What Modeling Means
It is the connection of the strategic, tactical, and operational levels to achieve set goals
What Planning Means
It is the process of forming orders and replenishing necessary stocks
What Management Means
The Management block characterizes our behavior and actions in cases when things don't go as planned
02
Intuiflow SaaS System
The essence of the Intuiflow program
A cloud-based inventory management system for manufacturing and distribution, based on DDMRP methodology algorithms
The system's goal and objectives
Intuiflow identifies key inventory placement locations and dynamically manages buffers to accommodate demand fluctuations, enabling the maintenance of necessary inventory levels in strategic positions
Benefits and effects of usage
Implementation of the methodology and system ensures uninterrupted production processes, efficient inventory management, and a positive impact on the company's profitability. As profits increase, inventory levels are minimized, and unnecessary expenses are eliminated, leading to an increase in ROI
01
Demand Driven MRP
02
Intuiflow SaaS System
The essence and purpose of the approach
The methodology of planning, modeling, and managing the supply chain in manufacturing and distribution, aimed at ensuring a steady flow of relevant materials and information
Combining global practices in the methodology
DDMRP integrates global practices in production and supply organization: TOC, Kanban, Lean, 6 Sigma, DRP, MRP, and innovation blocks
What Modeling Means
It is the connection of the strategic, tactical, and operational levels to achieve set goals
What Planning Means
It is the process of forming orders and replenishing necessary stocks
What Management Means
The Management block characterizes our behavior and actions in cases when things don't go as planned
The essence of the Intuiflow program
A cloud-based inventory management system for manufacturing and distribution, based on DDMRP methodology algorithms
The system's goal and objectives
Intuiflow identifies key inventory placement locations and dynamically manages buffers to accommodate demand fluctuations, enabling the maintenance of necessary inventory levels in strategic positions
Benefits and effects of usage
Implementation of the methodology and system ensures uninterrupted production processes, efficient inventory management, and a positive impact on the company's profitability. As profits increase, inventory levels are minimized, and unnecessary expenses are eliminated, leading to an increase in ROI

We guarantee improvement in performance

average sales growth
33 %
99 %
service level increase (On Time In Full indicator)
40 %
reduction in inventory
Increase in ROI
Easy-to-use prioritization system for production and replenishment
of inventory
Demand Driven Planner training course for manufacturers and distributors

Full course on the DDMRP approach: how to manage inventory based on real demand

Companies trust us to automate inventory management

More details

Clients Results

  • Kormotech Pet Food

    After INTUIFLOW implementation, the planning process became more predictable and the supply chain more transparent. It’s like a control board, where everything is always clear and available.

    40

    %

    increase in production

    45

    %

    reduction in finished goods inventory

    40

    %

    increase in sales with unchanged levels of total inventory

  • FastPack Fasteners for DIY

    ABM Cloud impressed us by using a mix of state-of-the-art business management tools.

    20

    %

    reduction in inventory

    6

    %

    increase in OTIF, despite a 30% increase in lead-time of suppliers and a decrease in their service level

    Automated inventory management

  • YUKO Automotive

    In distribution, the size of the inventory did not seem excessive, but given the effective result of the methodology implementation in production, there were positive expectations for the implementation in regional offices.

    2 Times

    reduction in inventory in the first 4 months

    60

    %

    increase in sales

    25

    %

    eduction of overstocks

  • Monomakh Coffee and Tea Production

    DDMRP has simplified inventory management. This was possible thanks to the team of like-minded people who are not afraid of changes.

    59

    %

    increase in sales with unchanged stocks

    40

    %

    reduction in overstocks

    Orders for suppliers and production are automated

  • VAMP Automotive Chemicals

    DDMRP is a systemic approach to purchasing, storing, and profiting
    from non-capital assets. By applying
    the methodology and following the recommendations, we managed
    to halve the lead time of our customers’ orders

    30

    %

    reduced customer order fulfillment time

    28

    %

    improving turnover by increasing sales

    Optimizing supplier order management

  • ROSA Art Materials

    Intuiflow has many planning options for SKUs, and different replenishment strategies depending on each SKU’s demand stability and variability

    30

    %

    decreased overstocks

    2 Times

    reduction production lead time

    45

    %

    SKUs in the red zone decreased

View all the cases
Together towards effective inventory management

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