Tag: inventory management

Manufacturing Inventory Reduction: Achieved Elusive Inventory Management Target Implemented global best practices; achieved corporate inventory target for the first time in 7 years.

Manufacturing Inventory Reduction
Achieved Elusive Inventory Management Target

To improve cash flow while mitigating risk, many companies are reevaluating their approach to inventory management. Excess materials and persistent shortages remain despite the overall recovery from pandemic constraints. When times were tough, gaps in inventory management discipline magnified the impact of constrained supply chains. As conditions improve, discipline gaps still leave...
CNBC State of Freight What the latest warehouse data is signaling about inflation and the economy Published Thu, Jan 12 2023-6:00AM EST | Updated Thu, Jan 12 2023-6:07PM EST Author: Lori Ann LaRocco

Getting Warehouses into Shipshape
CNBC State of Freight: What the latest warehouse data is signaling about inflation and the economy

CNBC’s recent “State of Freight” updates reveal “High inventory levels are limiting [warehouse] capacity, and combined with less new square footage coming into the market due to higher interest rates, are keeping prices up even as the economy slows.” Kormac has sensed those headwinds as many manufacturing leaders have recently...
Inventory Intelligence Inventory Reduction Precision Supply chain disruptions have left many organizations holding excessive inventory. Guided by precise, item-level insights, we're helping clients align, forecast, and make strategic decisions to optimize demand and supply. Typical Results: - 10%-90% cost reduction - 20%-30% inventory reduction - 25%-60% space reduction

Inventory Intelligence
Inventory Reduction Precision

As supply chain disruptions ease, many organizations are left holding excessive inventory accumulated during the turmoil. Our Inventory Intelligence Surgical Strikes provide a path out of the wilderness toward optimized inventory and availability. While inventory executives can typically slice and dice data to reveal relative performance and volumes, they often...
Medical Device Supply Chain Complexity & Agility - Addressed $11.1MM+ overage in raw material components and $5.6MM+ overage in finished goods inventory

Medical Device: Supply Chain Complexity & Agility
Addressed $11.1 MM+ overage in raw material components and $5.6 MM+ overage in finished goods inventory

Supply chains have proven a compelling scapegoat, but many of the recent challenges reveal underlying dysfunction that preceded the pandemic. For one medical device manufacturer, supply chain (SC) complexity was creating costly overages in materials and finished inventory. Their build-to-order SC process optimized part and component costs, but did so...
Global Manufacturing Supplier Visibility and Planning - Reduced airfreight costs by 43% ($47MM) with increased component visibility

Global Manufacturing: Supplier Visibility and Planning
Reduced airfreight costs by 43% ($47 MM) with increased component visibility

Continuing our discussion of current supply shortages and bottlenecks, Kormac excels at helping clients cultivate supply visibility and reliability amidst challenging conditions. For example, a global manufacturer of vehicle seats sought to maintain 100% OTIF (On-Time and In-Full order fulfillment rate) but suffered from inadequate visibility to component suppliers’ capacity...
Heavy Outdoor Equipment in front of a sunset. Photo by WORKSITE Ltd. on Unsplash

Heavy Equipment: Order Backlogs & Supplier Availability

Temporary supply shortages are making economic headlines as drivers of inflation and order backlogs. Kormac addressed the same uneven supply availability during the last recovery. One of our clients, a global Oil & Gas heavy equipment manufacturer, lost critical suppliers when the 2008 economic crisis drove many small machine shops...