Optimizing CPG Supply Chains: A Data-Driven Approach

In this case study, we delve into the challenges faced by a prominent consumer packaged goods (CPG) manufacturer and supplier based in Germany.

Originally published by Quantzig: A Supply Chain Dashboard Analyzing Regional Demand | CPG Case Study

 

Introduction:

In this case study, we delve into the challenges faced by a prominent consumer packaged goods (CPG) manufacturer and supplier based in Germany. Through a partnership with Quantzig, the client aimed to revamp their supply chain management strategy to overcome obstacles hindering their growth trajectory.

 

About the Client:

The client, a leading player in the CPG industry, operates across various business units in Germany. Despite significant market expansion, they encountered persistent on-time, in-full (OTIF) delivery issues due to inadequate supply chain visibility and subpar coverage rates. The lack of a cohesive approach to address these challenges threatened their future expansion endeavors.

 

CPG Supply Management Challenges:

Modern supply chains serve as the lifeline of enterprises, transcending mere physical product movement. In today's digitally interconnected landscape, businesses must navigate through complexities to enhance visibility, transparency, and flexibility. However, the onslaught of digital disruptions and globalization has amplified customer expectations, placing immense pressure on supply chain management.

 

Top Challenges Faced by the Client:

  1. Fragmented Supply Network: The client struggled with a fragmented and decentralized supply network, exacerbated by inadequate analytics capabilities and the absence of a comprehensive supply chain dashboard.

  

  1. Lack of Insights: Existing strategies failed to provide crucial insights needed for informed decision-making, hindering the client's ability to optimize their supply chain processes.

  

  1. Product Portfolio Complexity: With a diverse product portfolio spanning multiple categories, the client grappled with challenges impeding growth, necessitating a robust supply chain management solution.

 

Solutions Offered and Value Delivered:

Quantzig's experts devised a three-phase approach to address the client's challenges effectively:

 

  1. Supply Chain Dashboard Development: A robust dashboard was developed to monitor OTIF performance and track orders across various nodes, enhancing visibility.

  

  1. Supply Chain Visibility Model: A dedicated team formulated a visibility model to assess the repercussions of OTIF failures, enabling proactive decision-making.

  

  1. Simulation-Based Predictive Model: Implementation of a system dynamics-based simulation model facilitated accurate prediction of OTIF failures, empowering the client to preemptively mitigate risks.

 

Key Achievements:

The implementation of advanced supply chain solutions yielded significant results:

 

- 89% improvement in outbound OTIF delivery

- 80% improvement in inbound OTIF delivery

- Real-time visibility of orders across the supply chain

- Comprehensive insights into delivery performance, enabling informed decision-making

 

Conclusion:

Quantzig's supply chain analytics solutions not only resolved the client's immediate challenges but also positioned them for sustained growth. By harnessing the power of data-driven insights, the client achieved unparalleled visibility and operational excellence, paving the way for future success in the competitive CPG landscape.

 

How Quantzig Can Help:

Quantzig's suite of supply chain management solutions empowers organizations to optimize performance through data-driven strategies. From strategy development to implementation and beyond, our team of experts is committed to driving tangible results and fostering a culture of continuous improvement.

Contact us for tailored solutions


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