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Infographic: Facing Tighter Service Level Requirements?

17 Sep 2020

A reliably high service level is your advantage against the competition. Make your inventory work to your benefit with our self-adaptive demand and inventory models. By automatically defining the optimal mix of inventory across the multi-echelon supply chain to meet planned service level requirements, you’ll stay ahead of the pack and keep costs down. Read on to learn how.

 

 

Our customers are ready for anything, including rising service expectations. Can you relate?

 

Maybe you’ve got perishable products and prolific promotions…

 

Fast food requires fast service to meet the demands of a hungry consumer base. With ToolsGroup, McDonald’s Mesoamérica pushed service levels above 90% and reduced inventory by 7%.

 

Or it’s sweltering outside and the AC is broken…

 

With 75% of orders delivered next-day and 20% of orders sold to installers and contractors who need same-day pickup, Lennox is no stranger to urgent demands. ToolsGroup helped the company improve service levels by 16% and increase inventory turns by 25%.

 

Or it’s now or never for that customized motorcycle…

 

Polaris’ dealerships and retailers need a ready supply of spare parts and accessories to fill custom (and often impulsive) orders. With support from SO99+, Polaris can guarantee service without overstocking. The company lowered inventory by 15pp, boosted service levels 10pp and significantly reduced planner workload.

 

Or higher expectations have raised the bar…

 

The demands of its new international client base prompted Aston Martin to raise targets for first time availability (FTA) by 2%, without increasing inventory. With help from ToolsGroup, Aston Martin immediately improved FTA service levels to 97.1%, exceeding its target goals, and reduced the value of its safety stock by 18%–in just two months.

“As the supply chain has shifted to keep up with the demand for more personalized products and become more customer-focused, satisfying service level expectations has become key to winning a competitive advantage.”1

 

Be Ready for Anything

 

In a world of fickle consumer preferences and extreme competition, maintaining service levels is imperative. Next time you’re hit with a service increase, you’ll be ready. Instead of loading up on inventory at the warehouse, make your inventory work smarter. Our self-adaptive demand and inventory models automatically define the optimal mix of inventory across the multi-echelon supply chain to meet planned service levels.

 

 

1. https://cloudblogs.microsoft.com/industry-blog/manufacturing/2018/08/08/balancing-service-levels-and-costs-in-the-new-supply-chain/

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