Modernized Supply Chain for an aerospace manufacturer
With a historical organizational focus on engineering, quality and production – not inventory – there was significant inventory build-up during the development and ramp- up phase of new product introduction. The company needed to improve working capital and execute
immediate inventory-reduction opportunities.
Co-led transformation program in collaboration with client teams:
- Created a vision for an aerospace supply chain
- Developed end-to-end “should-be” inventory entitlement models
and identified/helped capture quick win opportunities - Identified inventory drivers across supplier management, inventory strategy and induced volatility
- Developed future state enterprise “business architecture” defining differentiating capabilities with
a heavy emphasis on digitization - Defined “Operational Value Streams” (OVS) and requirements to enable the future state business model.
Example OVSs included Integrated Planning, Configuration Management and Automated Ordering &
Replenishment. The requirements were a key input for the design and configuration of the future state
enterprise IT architecture, with emphasis on end-to-end integration across ERP, PLM and MES platforms
The client achieved the following results:
- 45% reduction in inventory (raw materials, sourced components) during a two-year engagement;
reduced inventory by 13% within first 12 weeks - A structured inventory reduction roadmap covering suppliers, on-site parts, production and delivery,
including short-term reduction opportunities - Improved supply network stability and cost e ciency through a world-class supply chain vision and
transformation strategy - Future state business architecture, operational value streams, differentiating capabilities and associated
requirements