Inventory Optimization

Developing and Implementing Enhanced Inventory Management at Large Direct Marketing Company
Developed strategies to optimize inventory to leverage new scale to deliver $20+MM (~25%) in inventory reduction. Analyzed historical demand/inventory to create segmented inventory strategies (e.g., buying closer to demand, everyday item replenishment, new item demand forecasting). Built a tool to assist with everyday inventory replenishment. Turns improved from 1.76 to 2.15 and peak inventory reduced by $10MM.
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Enhancing Forecasting, Planning, and Product Lifecycle Management in Post-merger Environment at Leading Sporting Safety Equipment Company
Assisted 4 client teams and trained client personnel during a post-merger replenishment system enhancement and inventory reduction effort. Developed a centralized inventory and planning model by merging information from 2 separate operating entities. Achieved $8+MM reduction in inventory in 9 months.
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Establishing Operation End-vision for a Fast-growing, Entrepreneurial Climate Control Product Manufacturer
Conducted a 3-week operations diagnostic to establish an end-vision for optimizing the clients’s manufacturing, supply chain, and engineering operations. Gotham developed a solid fact base of the client’s operations, including demand patterns, inventory, labor efficiency, product complexity, and cost structure. Working with management, Gotham created an end-vision to transform operations and generate both real bottom line benefits – 600bp EBITDA improvement, 20-30% reduction in inventory, and 30% reduction in the plant footprint – and capability enhancements (faster speed to market, improved quality, etc.) that will allow the client to capture market opportunities and drive future growth. The company’s board wholeheartedly backed this end-vision and asked Gotham to help accelerate capture of these opportunities.
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Better Forecasting/Planning and Performance Tracking to Turn Around Customer Service Performance at National Private Label Beverage Manufacturer
Developed key performance indicators, production planning logic, and inventory management policies for 11-plant manufacturing network. Implementation raised order fill rates to 98+% for key customers, increased volume by 37%, improved asset effectiveness by 40%, and reduced cost/case by 30%. Two client-side team members received corporate innovation award and $10,000 for their involvement in landing new account.
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