What if you could bring your inventory down by -10 up to -20% and at the same time perform with a 5 to 10% higher service level and with that, realize an increase of your turnover by 2 to 5%? Now you are probably thinking that this will require a big project and a complete redesign of your supply chain. This would also mean that complex optimizers and algorithms, which almost nobody can understand, are needed to achieve this for you. What if we also told you, that this is possible with a methodology, which is fully explainable and understandable and fulfilling today’s complex supply chain requirements? Giving visibility on your supply chain and making you able to work on a priority basis, meaning that you can focus on what is important at this moment. On top of that, this is all supported by a user-friendly and easily adoptable IT solution.
Demand Driven MRP
This all might sound too good to be true or perhaps even utopia, but what if we told you that by a combination of Demand Driven MRP (DDMRP) and SAP IBP this could be within reach? Three simple words and just five steps. First of all, Position will determine how to decouple your supply chain and with that create better flow. Next step is to Protect, this will make sure that the decoupled points have the correct level of protection and flexes up or down based on operating parameters, market changes and/or planned or known future events. Finally, in daily execution the Pull will perform the replenishment supply elements, based on priority via your net flow position (On-Hand + On-Order – Qualified Sales Order Demand = Net Flow Position).
Are you interested in more information about DDMRP? Download our free white paper DDMRP: Serious Business or Fuzz.
It is better to be roughly right than precisely wrong
Precisely wrong relates to why conventional planning systems fail, due to the way they have been designed and how the bullwhip effect appears, using traditional planning like MRP. Shouldn’t it be time to move from precisely wrong to roughly right and achieve all-round better performance in your supply chain?
Visie Partners and McCoy and Partners believe in the strength and possibilities of DDMRP and SAP IBP. Together we believe in a ‘Simply Proof’ approach and in combining our knowledge and vision. Visie Partners, affiliated with the Demand Driven Institute, can help in adapting the methodology and applying the rules in the correct way, while McCoy and Partners has the Supply Chain and technical experts on DDMRP within SAP (IBP).
Determine feasibility of DDMRP within your company
In our collaboration we would like to offer a free of charge quick-scan workshop, to determine feasibility of DDMRP within your company. If we believe there is a fit, our next possible step could be a “simply proof of value”. We will use a small set of your data and insert this within our DDMRP demo system. You can use your own and recognizable date, play with the rules of DDMRP and see what happens. Via this way, we can really demonstrate the power and added value of DDMRP and SAP IBP, using recognizable data.
For more information about DDMRP with regards to SAP IBP or to schedule your appointment for the workshop, please contact: Bart de Bijl firstname.lastname@example.org +316 1100 6899
If you require more information about the DDMRP concepts, methodology and/or training, please contact Derk Kuiper from Visie Partners via email@example.com or by phone +316 53 55 91 97
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