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The GAINS Solution Set: Robust & Comprehensive
Supply Chain Planning and Optimization
GAINS provides accurate, plausible and optimized demand plans through sophisticated, but automatic, multi-modeling
that includes:
- Pattern-recognition Models (more than 30) designed to automatically recognize observed demand patterns and predict
a baseline future demand that matches those patterns including:
- Seasonal
- Trending
- End-of-life
- Sporadic/low-volume/’lumpy’
- Fleet-size/effort-based modeling (e.g., MTBF, number of landings/cycles, etc.)
- Hybrids of the above that automatically determine likely shifts in historical demand patterns and auto-adjust the
baseline forecast; these leading indicators can include (exact indicators are user-defined):
- Point-of-sale data
- Machine/fleet usage
- Macroeconomic indicators such as changes in: Housing Starts, Interest Rates, Vehicle Purchases, etc.
- Commodity price changes, etc. for superceding (direct replacement), similar (mostly-similar attributes), related
(some similar attribute), and entirely-new product launches
- Cross-Department and Cross-Enterprise Collaboration for facilitating inclusion of ‘extrinsic’ or market
knowledge into the forecast (that cannot effectively be captured via Leading Indicators)
- Ability to manage work-flow across multiple groups in the organization (e.g., Marketing, Sales, Finance, Operations)
- Ability to share demand (or replenishment) plans with suppliers and customers for notification, validation,
and refinement
GAINS determines where and how much to stock of each item at every location (and level in the bill-of-materials) by considering
a comprehensive set of factors with sophisticated, automated, proprietary algorithms:
- Multi-echelon/Indenture Stocking Policy Optimization algorithms that determine whether or not to stock
an item and at what service level to stock each item given:
- Impact on total costs and/or profit
- Interdependencies among locations (at the same or different levels in the network)
- Interdependencies within a bill-of-material (BOM) such as where-used density, critical-path-likelihood, cumulative
lead-time, etc. to devise ‘postponement' strategies
- Customer expectations
- Inventory Policy Optimization that considers a comprehensive set of sources of planning error to identify the optimal
ordering sizes and buffer stock including consistently achieved targeted service levels:
- Demand plan/forecast error
- Lead-time variation
- Yield/quantity-delivered performance
- Optimal ordering cycles (considering ordering constraints as well as price-breaks)
- Service Level Optimization that automatically determines service levels uniquely for each item to achieve an aggregate
target while minimizing or maximizing a business objective; for example:
- Determining the mix of service levels by-item to deliver total service of 98% with minimum inventory investment
- Determining the mix of service levels by-item to deliver maximum service while maintaining a specific inventory
investment, inventory turnover, or purchasing budget
- Sourcing Optimization that determines the supplier(s) that provide the lowest-total-cost supply considering:
- Ordering minimums and volume-discounts (line and cross-item/order level) vis-à-vis demand
- In-bound logistics costs
- Lead time and lead-time performance
- Procurement costs, etc.
- Routing (i.e., Network-Flow) Optimization that considers which supplier provides lowest-total-cost supply and, in multi-site environments, how to plan to flow product through the network that considers:
- The inventory savings of hub-&-spoke (via buffer-stock pooling)
- The re-handling and transportation cost savings of direct-from-supplier shipping
- The hybrid advantages of ‘cross-dock’ logistics
GAINS provides automated replenishment suggestions to create or change supply orders. This ensures that inventory returns
to optimal levels given the pre-determined GAINS demand plan and inventory policy targets by performing the following functions
(where applicable):
- New Order Creation, Prioritization, and Auto-Approval that considers lead-time requirements, likelihood of stockout,
optimized order quantities, and auto-approval risks-versus-benefits
- Transfer Order Prioritization and Creation that considers parent-child relationships and, in instances of shortage,
allocates as needed to minimize risk-of-stockout
- Optimized Re-Distribution that considers carrying costs of excess as well as on order to preclude new supply orders
when unnecessary
- Optimized Component Allocation that, in instances of component shortages, allocates components to multiple later-stage
items to minimize finished goods stockouts across the entire network (i.e., allocation optimized across multiple echelons)
- Cross-Dock Optimization that dynamically re-determines target locations for in-bound supplies to the hub
location
- Rotables Planning Optimization that considers unique repair parts planning needs such as:
- Core/carcass reverse logistics
- Variable repair times
- Capacity constraints
- Repair yields and requirements to ‘refresh’ the rotable pool with new purchases
- Potential ‘zero-sum’ rotable pool constraints/parameters
- Automated and Optimized Order Pooling that builds multi-item, potentially multi-location, orders that minimize the cost related
to meeting supplier constraints (e.g., minimum value, full-container, etc.)
- Optimized Expediting and De-Expediting that considers the costs/benefits of actions to focus attention of high-impact actions often obscured by low-value-added ‘noise’
- ‘Rough-Cut’ Production Capacity Optimization that optimally smoothes orders in light of pre-build when needed
(e.g., in seasonal environments) and allocates projected needs optimally during shortages
- Cycled Production Management that optimizes inventory policy and ordering in light of fixed ordering cycles
(e.g., batched production runs)
GAINS provides the ability to automate flow planning and execution of data to and from suppliers to coordinate priorities and
manage value-added changes in plan:
- Purchase Order Manager that facilitates web-based communication of initial orders as well as subsequent changes
(expedite/de-expedite requests) in a prioritized and value-driven fashion
- Supplier Planning Portal that provides configurable and secure requirements forecasts to ensure supplier readiness and improved delivery performance (to drive lower costs for both parties)
- Supplier Scorecard that provides detailed and objective performance measures in both absolute and relative (i.e., ranking)
terms including estimating cost impacts of performance issues
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