Industry Results

  • Achieved 20% reduction in inventory (while SKUs increased 20%)
  • Dramatic improvement in on time shipments
  • 15% increase in Sales and 20% increase in SKUs

Year 1 Results with Equivalent Sales Volume
Year     Status Inventory $$
      0 Before LTT Implemented           2.7 M
      1 1 Year After LTT Implemented           2.0 M

  • Implemented DRP in 8 countries
  • Integrated with existing regional forecast, production planning, scheduling, and S&OP systems
  • Improved Customer Service (identified inventory shortfalls for specific SKUs)
  • Reduced working capital
  • 30% Inventory Reduction
  • Simplified Planning Process
  • Increased quality of decision making
  • Increased visibility of inventory, decisions, problems
  • Standardized business practices
  • Implemented DRP in 8 countries
  • 59% Reduction in 1st Grade Inventory
  • Forecast Error (MAD) Reduced by 36%
  • 50% Reduction in Standard Inventory
  • %MAD Forecast Error Reduced from 44% to 28% (1 month horizon)
  • 15% Inventory reduction
  • Service Levels improved to +90% On-time shipment
  • Inventory Level reduced by +$100M in less than 1 year of use
  • Increased profitability
  • Fill rates improved from 80% to +90%
  • Yarn, greige, carpet, warehousing planned and optimized simultaneously
  • Improved Planning manpower efficiency
  • +30,000 individual running line SKUs, +150,,000 including inactive SKUs with inventory
  • Average of 4 storage locations per SKU
  • 5 million historical shipment records processed in each LTT run
  • 30,000 Bill-of-materials records
  • Start to finish run time less than 2 hours
  • Intermediate inventory reduced by 50%
  • Product Wheel cycle reduced by 40%
  • Planning "view" extended from 2-3 weeks to 6-9 months
  • High quality raw material forecast for suppliers
  • Reduced inventories from 130 to 90 days