Cost down, service up
The need
How do you ensure you are getting the best
service at the best price? And how do you ensure that you can deliver
better service at reduced cost? Companies are going to find it
difficult to maintain their current supply chain paradigms with
oil prices rising as they are. Increased costs threatens to erode
ever-dwindling margins within the next 5-10 years. Only companies
that have calculated the true ‘sustainability cost’ of
operations will be able to meet this challenge.
Weir consultants
have been advising major blue chip clients for 15 years on a global
basis with project expertise stretching from Australia and the
Far East to the far extremes of the Northern hemisphere and from
St Petersburg to South America. Supply chain excellence is about
global thinking, global action through to local believing, local
action.
The Weir approach
Taking the strategic and tactical
knowledge of our operational experts, combined with leading edge
thinking, Weir applies tools and techniques to deliver deep business
value, risk minimisation and broad spectrum Sustainability audits.
With the foundation in place, our operational expert
teams of business advisors will then support our clients in implementation
with guaranteed results in five key areas – along the lines of the SCOR methodology:
Sourcing, Production, Plan, Deliver, Sell.
A sub set of the above
for the physical Supply Chain element would include
1. Warehouse
operations improvement
Essentially this will involve our team identifying
and implementing either the use of automated or manual storage
and goods handling throughout the supply chain to significantly
reduce cost whilst improving service.
2. Transport operations effectiveness
Does your customer service and reputation suffer e.g. late deliveries?
Are you aware of any forthcoming legislation changes that make
running your fleet more onerous? Weir can
help you to achieve excellence in your transport effectiveness
and ensure that physical movement solutions are providing you with
the optimum cost/service balance. We will work with you: from tendering
distribution operations and improved fleet utilisation, to re-specifying
the in-house fleet and all operational processes and IT systems.
3. Customer service
improvements
Weir will help you to improve availability and support
services to your customers so as to increase sales and strengthen
trade relationships - and reduce cost. Full performance measurement
KPI suites are implemented to ensure sustainable change is ultimately
delivered.
A sub set of the above for the planning and operations
element would include
1. Demand Management, Sales and Operational
Planning and Order to Cash (re-engineering and development)
Weir offers you practical
advice, unique expertise and valuable experience employing "the
theory of constraints", cost to serve
and other techniques. We can offer expertise and knowledge to companies
seeking to implement or improve processes and enhance skills of
the people involved.
2. Inventory Rationalisation
We offer supply
chain management expertise to reduce inventory as well as cost
without eroding service. This may also involve the development
of a dynamic stock policy.
3. Cost To Serve
Understanding the true
end-to-end cost of servicing each customer, sales channel or product
- to identify non-added value activity to reduce avoidable costs.
Essential for Channel/Distribution reviews. We can develop your
Cost To Serve process to reflect the environmental cost of your
operations and determine your Triple Bottom Line Profit.
The benefits
- Supply
Chain optimisation
- Warehouse and transport operations improvements
- Customer
service improvements
- Typical savings of around 15%
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