Keywords

• Supply Chain
• Sales & Operations Planning
• Data Analysis
• Packaging Industry

Description

• Background

The packaging industry is characterized by a high level of consolidation; where the top 5 companies control over 40% of the market share. The client is one of the leading packaging manufacturing companies operating over 200 production plants globally. During the last years the client has invested heavily on new technologies and faster lines of production. The client serves leading global consumer goods brands. In order to rationalize its production efficiency and effectiveness the client needed to revise its current processes and strategy on how they take orders, purchase, manufacture, stock and ship goods. MACOA experts which have 30+ years in Supply Chain Management had been selected to assist the company during the design and deployment of the new Sales & Operations Planning model.

• What did we do?

Following our methodologies on designing and shaping the future of functions in global organizations, we have assisted the client on setting up project objectives, outcomes and governance of the project. By doing so, we have analyzed historical data and current work-processes on customer forecasts, production orders, purchasing, lead-time and inventory management. Having identified the gaps and improvement initiatives we and the clients team rolled up the quick-wins identified. Following this, we defined the new strategy, processes for each Sales & Operations Planning pillar and prepared the requirements for the central IT tool which ought to integrate all data and reporting.

All the efforts will ensure a more efficient and transparent demand planning, supply planning, inventory planning and financial planning.

• Results

Quick wins for the client related to transparency of data reporting related to customer forecast accuracy, production planning, order entry and slow-moving stock.

Within the first 12 months of the project, the client is expected to achieve ≈30% improvement in demand planning, ≈15% increase in production efficiency through better production planning, ≈35% decrease in slow-moving stock.

All the above-mentioned practices represent efforts conducted in the EMEA region.