Strictly targeting to service level management, applying rule based demand planning, and consequent checking of allocated quantities during order entry are the basis to achieve customer service levels beyond 98%.
At present, Asia is #1 focus market for European Companies in the luxury cosmetics segment. Especially, supply chains are faced by huge challenges due to long distance shipments. Service level achievements beyond 98% are necessary to be successful against local and international competitors.
In the past, Buchbach Consulting coached the S&OP process of a supplier of luxury cosmetics. Introducing concepts of a rule based demand and supply planning process and consequent service level monitoring highly supported the upper management to cope with the challenge of 100% service level.
Despite dynamic market trends, now reliable forecast figures are available, considering the background of product life cycle, significance in sales and volatility. By continuous alignment with sales objectives, customer requirements are performed respectively.
Monitoring KPIs – precisely defined in line with customer’s processes – is the base for Close-the-Gap activities and guarantees the sustainability of the actually accomplished high degree of service level
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