What did the customer want:
wehkamp.nl encountered challenges in reducing working capital and stock levels while the availability of products remained unchanged. The aim was to improve internal processes and prevent unnecessary investments in distribution networks.
We took into account the following context:
- Availability on the following day is extremely important for the business model.
- Mixed procurement NW Europe versus Eurasia.
- Physical limitations in the network, demanding non-profitable investments if they were not averted.
What was our approach?
- Short quick scan and design phase to determine approach and improvement potential.
- Agile, hands-on approach that is result oriented, and in collaboration with management and employees.
- Weekly stand-ups with direct feedback on improving the results.
- Focus on the largest suppliers to provide (short-term) evidence for this way of working.
- We supported teams with data analysis to improve decision making.
- Multiple preconditions for improving the sustainability of the solution (KPIs and incentives, organisation design, management style, supplier management, etc.)
What have we achieved?
- In just 3 months, time stocks and working capital were reduced to 25%, the stock turns improved to 60%. The lost sales and operating costs remained unchanged.
- The incoming receiving capacity in the distribution center improved by 35%.
- Development of supplier performance monitor.
- Improved collaboration between sales and operations.
What did the customer think:
“Refreshing, practical approach, with clear results. An advisor who does not only do what the client organisation wants to achieve, and thereby finds a whole new angle of approach.”