General The Goal

Study and Transition from a Make To Stock to an Assemble To Order Supply Chain Strategy

Case description

Case Beschrijving Images

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Company

  • Group active: Globally
  • Sector: NACE: 26: Manufacturing of computer electronic and Optical products
  • Impact of Service: Globally
  • TO: 1000M€ – 2500M€
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Strategic moment

Extension of the product range predicted an explosion of the finished goods stocks in this MTS business

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Approach / techniques

  • Coaching of a team with operators, working on the Value Stream Map
  • Flow improvement through elimination of intermediate buffers and lot size reduction
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Result

  • Avoidance of 10M€ extra Inventory by implementing ATO strategy
  • Production lead-time from 4 to 3 days (on top of earlier reduction of 12 à 4 days)
  • 37% reduction in overall inventory

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