Forecasting and Planning
SITUATION
World leader in bearings and associated mechanical components engaged The Highland Group to help improve product availability.
DRIVER GOAL
- Deliver a 5% improvement in Group Product Availability by implementing demand planning and collaborative supplier capacity planning for strategic commodities.
RESULT
- Deployed a sales forecasting process and tool enabling group-wide information review.
- Achieved a 20% improvement to forecast.
Case Study
Optimize Planning to Improve Product Availability
Issue
A world leader in bearings and associated mechanical components engaged The Highland Group to improve product availability.
Highland Approach
The Highland Group’s analytical professionals conducted a Discovery and Design process which identified key opportunities in Demand Planning, Supplier Capacity Planning and Sales & Operations Planning. The team developed a targeted action plan to address the issues and achieve the organization’s Driver Goal.
Actions Taken
Demand Planning:
- Designed and validated collaborative Sales Forecasting process requirements.
- Installed and configured the software solution and implemented user-connectivity.
- Defined and validated a global sales history data structure.
- Defined and validated business rules and software views/parameters for all three divisions.
Supplier Capacity Planning:
- Designed and validated a collaborative Capacity Planning process.
- Mobilized strategic suppliers through kick-off and training workshops.
- Defined rollout map for Strategic Supplier segment.
- Defined functional and data specifications for Proof of Concept.
- Completed pilot of three cycles, involving 30+ factories, using an interim Excel tool.
Collaborative S&OP:
- Designed and validated a collaborative Product Line Production/Inventory Planning process.
- Reviewed and adopted a software module supporting the generation of a Product Line Production, Inventory and Sales Plan.
- Defined and validated functional specifications for users; installed and configured the software solution on the corporate server.
- Mobilized collaborative teams and defined data requirements.
- Initiated an executive coaching program focused on the S&OP process, roles and reporting requirements.
