Overcoming Manufacturing SC Challenges with Digital Planning

The Supply Chain (SC) has been growing up to such an extent, that it is getting much more complicate...

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Posted by Dave Food on Mar 26, 2020 5:44:19 PM
Dave Food

The Supply Chain (SC) has been growing up to such an extent, that it is getting much more complicated each day; to the same degree, manufacturing challenge and competition are escalating fast in no time.

It seems Manufacturing is synonymous of ever-changing edge-technology. With the launch of Digital Supply Chain, the delivering of more efficient and quality products, and customer satisfaction are what leads the market nowadays. However, the achievement of this digital journey insertion is taking our companies sometimes.

In a recent KPMG research, plenty of CEOs on Manufacturing mentioned that digital transformation often appears to be moving too slow and becoming hard to undertake; consequently, there is still a huge gap to close among Digital SC strategies and businesses targets. The issue is to reach your digital transformation before the competition.


Most common-related Manufacturing challenges


· The need for rapidly responding to make right-decisions concerning on-demand variability and intermittent-demand. When changes on orders happened more quickly than the capacity of the company to meet those changes, it resulted on wrong Stock-keeping Unit (SKU) combination and locations, recurrent internal-inventory allocations, and rushes resulting on high-freight costs.

· Deficient customer-service standards drive to inventory outs, uncompleted orders, and lengthy-level of order fulfilment, conducting to loss of sales or missing valuable opportunities.

· On the other hand, surplus or obsolescent-inventory: securing stock to cover service level requirements, fosters too much working-capital expenditure, causing extra costs and internal reassignments.

The automation of your Supply Chain Planning (SCP) is an approach that brings your digital strategy to the forefront to lessen Manufacturing SC challenges likely to compromise your company feasibility. By digitising SCP, you can accelerate the reaction to make smart-quick resolutions, cut down costs, enhance cost-effectiveness, and grow market stakes.

Long-tail” of products in a company means, it has many SKUs with intermittent demand issues. This variability makes the SKUs challenging to forecast, causing safety-stock to rise to accomplish service levels. To leverage service and inventory, we can replace our manual-reactive planning process with an automated Machine Learning-driven process to more precisely predict demand and improve inventory levels.

When you complete the initial stage of implementation, you will see essential benefits to Manufacturing and distribution KPIs, such as a rapid and on-hand inventory, diminishing stockouts while improving service levels. ML automation makes possible a high per cent of recuperation in buyer’s productivity.

Supply Chain and Digital Planning advantages when working together


  • It enables us to run our operations more efficiently and cost-effectively.
  • Better part-level forecast accuracy to only transferring the inventory we require and when we need to fulfil our customers’ demands.
  • We can provide our suppliers with a more accurate demand indicator.
  • It allows us to draw and keep hold of high-competence talent.
  • Planners can operate more rapidly and truthfully when detecting developing opportunities.


Summing up: take your company on a wide-digital transformation journey to build a powerful-efficient business that betters work for each of your supplier partners, manufacturing customers, supplier, and your in-house business operations, for both your Manufacturing and distribution sections, and departments all over your enterprise.

Dave Food

Prophetic Technology

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