30% Inventory Reduction.
50% Headcount Reduction in Supply Chain.
10,000 Transactions per Month.
90% On Time In Full Target Q1 2020.
This year the Demand Driven World 2019 (DDW 2019) Conference was held on October 10 & 11 2019. Demand-Driven World™ 2019 was the largest Demand Driven World™ ever and featured 39 different sessions, and eight Demand Driven MRP (DDMRP) case studies from industry leaders. One of the DDMRP presentations at this year’s event was delivered by Protea Chemicals and reviewed their DDMRP journey over the last few years and the benefits they have achieved.
Omnia’s Chemical division, operating under the Protea Chemicals brand, has a wealth of experience and a reputation for excellence in the distribution of speciality, functional effect chemicals and polymers in sub-Saharan Africa.
Credit: Demand Driven Institute
Ruben Lawrenz, Planning Manager presents on the tremendous effect of DDMRP on the company’s ability to support that reputation. Mr Lawrenz reported simultaneous inventory reduction and service level improvements. Protea Chemicals supply 3,000 customers and they have over 10,000 transactions per month. Protea Chemicals DDMRP journey in 18 months has achieved a 30% reduction in inventory levels with less than 2% stockouts, with a team half the size it was only 18 months ago.
As a previous vocal critic of planning systems, I am pleased to say that i have eaten my words and more recently embraced DDMRP as a planning and business tool that works. We still have a little way to go to maturing the business process but the results we are starting to see and the visibility we now have to make accurate strategic decisions is invaluable.
Peter du Plessis | Protea Chemicals – GM Sourcing and Planning
If you are interested in DDMRP and would like to have a demo of High Impacts DDMRP software or if you are interested in running a DDMRP pilot contact us today.
For more information about supply chain optimization using DDMRP and how it will reduce your business risk read the following:
❯ Introduction to Demand Driven MRP (DDMRP)
❯ A Solution to Excess Inventories, Stocks-Outs & Poor Customer Service?
❯ This Is Not Another Way to Define Safety Stock
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