How can you balance the service, stock and cost triangle, and win all 3? Decouple your supply chain to run lower inventories, improved service with no impact on costs…
Poor service, low return on assets, increasing lead times are all too common in supply chains today. Demand Planning Material Planning Replenishment (DDMRP) offers an alternative approach to conventional MRP logic and helps address many of the challenges faced by supply chains across the globe.
DDMRP places inventory at key strategic points to enable decoupling of demand and supply. This ensures the right material at the right place and by responding to true demand, rather than forecast demand, ensures it is available at the right time. By leveraging DDMRP’s visual planning tools and daily planning cycle businesses are now able to quickly identify and plan material requirements across all echelons of the supply chain independently, this responsiveness results in increased service and reduced waste even during seasonal and promotional periods. Read our previous blog to understand the basics of DDMRP.
DDMRP, a proven methodology
DDMRP is currently not supported by major ERPs. However, Replenishment+ is a solution which can be easily integrated with your existing ERP and SCM solution and rapidly deployed. Demand Driven Technologies’ software, Replenishment+ has allowed over 60 customers in 6 continents to benefit from the DDMRP innovation.
Find out how one multinational FMCG company implemented Replenishment+ to reduce its frozen period from 50 days to 9 days, increase customer service by 15% and decreased finished inventory by 20%.
Olivehorse can help. As the only supply chain focused SAP Partner, arguably the most experienced consultancy in SAP APO UK, Olivehorse has the depth of expertise to build the foundation and ongoing management of a business.
Jonathon Vaiksaar, DDMRP Lead
Understand how our DDMRP Lead implemented Replenishment + to a FMCG blue chip company, download the Perspectives Report