Case Study Related to Inventory Management, Demand and Supply planning, Logistics

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CaseStudy.xlsx

CASE 1

Product A 1/1 1/8 1/15 1/22 1/29 2/5 2/12 2/19 2/26 3/5 3/12 3/19 3/26 4/2 4/9 4/16 4/23 4/30 5/7 5/14 5/21 5/28 6/4 6/11
Demand 10303 7406 8740 7735 8064 9017 5470 5633 5544 6056 4889 4475 4231 4235 4016 4524 4488 4322 4146 4487 5351 5038 4981 4732 4732 4732 4732 4732
PO ETD 12960 19440 19440 8660 12960 21600 15120 21600
PO ETA
End Inventory 21800 14394 5654 -2080 -10144 -19162 -24632 -30264 -35808 -41864 -46753 -51228 -55460 -59695 -63711 -68235 -72723 -77046 -81191 -85679 -91030 -96068 -101049 -105780
DOS 19 12 5 -2 -11 -24 -31 -40 -51 -66 -77 -84 -90 -96 -102 -110 -111 -113 -114 -119 -131 -140 -149 -156
Objective
1. Route supply effectively to avoid low stock or stock out
2. Find fastest way to balance shipping back to Ocean mode and reasoning
Assumptions
1. Pallet size is 2160 Air = 1 wk transit
2. Shipping minimums is 1 pallet Ocean = 6 wks transit
3. Current target DOS is 21 days
4. PO ETD is fixed
Answer
1. Fill in "PO ETA" row your PO Supply ETA. (When you want to the good to arrived based the shipping parameter)
2. Color code qty planned by AIR vs. OCEAN
3. You can add additional columns/rows if needed to illstruate results
Sample answer
Product A 1/1 1/8 1/15 1/22 1/29 2/5 2/12 2/19 2/26
Demand 10303 7406 8740 7735 8064 9017 5470 5633 5544 5544 5544 5544 5544
PO ETD 3000 10000 10000 AIR
PO ETA 3000 10000 10000 OCEAN
End Inventory 21800 17394 8654 920 -7144 -16162 -21632 -17264 -12808
DOS 19 15 8 1 -8 -20 -27 -22 -16