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Case Ecolab

UC Group supported Ecolab in implementing a JDA planning tool, setting up a centralised tactical planning department and simultaneously overseeing a transition from a historically-based to a forecast-based supply chain.

Customer challenge

To implement a JDA planning tool, set up centralised tactical planning and oversee the transition from a historically-based to a forecast-based supply chain.

The existing planning comprised inventory management based on short-term planning and reorders. The challenge for Ecolab was not only to implement JDA and install a tactical planning team, but also to transition from a historically-based to a forecast-based supply chain. This meant developing and structuring planning processes on the basis of forecast customer demand.

 

 

RESULT

  • Service levels improved from 89.5% to 96.5% in line with business objectives
  • Improved inventory levels in line with business objectives
  • Reduced waste
  • More focused production plan

Our solution

UC Group implemented a JDA and a customised planning tool in phases so as to ensure a stable planning tool was in place before the company transitioned to a forecast-driven supply chain. During these implementations, we integrated tactical planning processes into the separate plants’ planning processes.

In the meantime we also developed and implemented planning processes based on customer demand. These provided the foundations for transitioning to a supply chain driven by customer demand, resulting in tactical supply chain planning for the next 3-6 months and strategic planning for the next 18 months.

Examples of the services we provided:

  • Going live of tactical supply chain planning in a new-build factory
  • Describing planning process for new employees
  • Process improvements: master data sanity check

UC Group took on the challenge to deploy JDA in the WPS network by building a decision-support spreadsheet based on history, forecasts, SKU replenishment characteristics that ‘dictated’ the decoupling point and a corresponding straightforward safety stock calculation. Based on KPIs collected weekly over a period of time this resulted in a decrease of 2 days in our days on hand, while improving the service level from 89.5 to 96.5 per cent.

Yoeri Sanstra, Planning Manager at Ecolab.