Lean Supply Chain

Statistical Kanban® - Increase Service Levels while Simultaneously Reducing Inventory

The Need

Today, supply chain optimization has become more complex then ever. Finished Goods Inventory, Work-In-Process, storerooms (raw materials), Distribution Centers and supplier inventory all must be managed, maintained and optimized. Whether your company is vertically integrated or 100% outsourced, supply chain management impacts almost every line on your financial statements.

Tradition MRP logic simply does not provide the tools to simultaneously improve customer service levels and reduce inventory levels. Supply chain initiatives led by Operations or Finance often focus solely on inventory reduction. Those championed by Sales or Marketing may emphasize only customer service levels. These two seemingly conflicting goals - improving service levels and lowering inventory - can both be achieved and significantly improved.

What is lacking is the science for making inventory and service-level choices more rational, more profitable and automatic. FlowVision provides this much needed science.

The Approach

FlowVision is the only consulting group that provides a complete suite of Lean Services for the Supply Chain. We tailor our customer engagements to meet your needs and your budget.

A typical engagement begins with an on-site Business Assessment. FlowVision provides experienced business consultants for a 2- to 4-day period to analyze thoroughly your supply chain needs. Upon completion of the assessment, we deliver a full report detailing all the benefits, costs, time frames, target areas and techniques associated with our proposed Lean Flow implementation. We generate a detailed return-on-investment analysis as a basis for your business justification of all future work.

Our implementation activities begin with a Lean Material Strategy Workshop. This workshop enables your management and supply chain team with to become fully versed in Statistical Kanban™ strategies, formulas, implementation techniques and on-going continuous improvement.

Implementation services include on-site and off-site access to FlowVision business consultants. We and your implementation team will create, manage and execute a detailed implementation program, to ensure an effective transfer of Lean Flow knowledge to your management team.

To ensure all of the benefits are sustained long after your implementation is completed, FlowVision offers our web-based Lean Inventory Optimization Network (LION). This state-of-the-art software package formalizes all your business policies and procedures in an easy-to-use database. Delivered as Software as a Service (SaaS), the LION application is the only software application in the world that ensures your kanban inventory is dynamic, statistical and electronic.

As a management service, we offer you continual access to FlowVision consultants long after your Lean Flow implementation is complete. FlowVision will be with you through your entire journey of creating a truly LEAN Supply Chain

The Benefits

A poorly-designed supply chain can damage a company’s reputation, balance sheet, income statement and investor confidence. Conversely, a well-designed supply chain becomes a sustainable market advantage which enables you to significantly outperform competitors in customer service, quality and cost controls. Just some of the benefits associated with a typical Lean Supply Chain implementation include:

Reduce lost sales by 30% - 50%	Reduce Inventory Obsolescence 25% - 50%
Improve Service Levels 10% - 35%	Reduce Floor Space 10% - 25%
Reduce Inventory Carrying Costs 15% - 40%	Improve cash flow
Reduce Inventory 15% - 40%	Reduce Warehouse (DC’s) costs 10% - 25%
Increase Productivity 15% - 40%	Reduce IT costs 5% -14%

The Costs

FlowVision provides scalable solutions for any size business. A typical investment made in FlowVision’s Lean Supply Chain solution will provide a 200% to 800% percent payback within the first year of implementation. Our Business Assessment details all benefits and costs.

Contact Us

Contact FlowVision at +1.970.262.6536 or click contact us to get started with a Business Assessment for your company.