‘Bi-modal’ inventory distribution

Are you experiencing ‘bi-modal’ inventory distribution?

A simple way of thinking about this is that if you have too much of the wrong inventory and too little of the right inventory you are experiencing ‘bi-modal’ inventory distribution.

Too little of the right inventory causes stock outs, back orders, expedites and missed sales. It also has a very disruptive impact on your planning and manufacturing operations personnel. Too much of the wrong inventory results in excess cash and space being tied up in inventory that isn’t helping you service market demand.

In fact, in webinars hosted by Demand Driven Technologies over the past 6 months, we’ve learned that 88% of attendees are experiencing ‘bi-modal’ inventory distribution. We’ve also seen clear evidence of this in the large number of clients we’ve analyzed using our Opportunity Snapshot process. The widespread evidence of bi-modal inventory distribution is a clear indication that the prevalent ERP/MRP software in use by manufacturers today is not accurately synchronizing demand and supply signals.

Through implementing Demand Driven MRP tactics and Replenishment+® companies arrive at a much more effective distribution of their inventory. Through strategic buffering they achieve a strategic position with the majority of parts showing adequate on hand stock to address today’s demand with inbound supply arriving at the right time to address future demand.

Learn more about your inventory position by using our free Opportunity Snapshot offer! Our Opportunity Snapshot Analysis will provide useful insights into your current inventory position and will give you a view of the significant benefits you can gain through implementing Replenishment+® and DDMRP tactics!

To learn more about DDMRP and Replenishment+®, please attend one of our upcoming webinars.