CASE STUDY

Drove Supply Chain Excellence to Scale Business for Growth at PE-Owned Equipment Company

Challenge

A private equity-owned carve-out of digital imaging equipment company faced a significant commercial backlog, impacting revenue and yielding potential long-term market share loss.

The company needed to improve inventory management processes and deploy SIOP capabilities to quickly rationalize costs and scale the business.

Approach

  • Intervened directly with suppliers to mitigate supply risk and create visibility to proactively manage backlog
  • Developed dynamic, Just-In-Time statistical inventory management capabilities to reset key supply chain levers (e.g. safety stock, re-order points)
  • Migrated supplier relationships to improve service levels and recapture market share
  • Evaluated factory performance and lead time opportunities to close locations, shift production and reduce costs

Results

I.

Eliminated stockouts and reduced inventory by 20% while enhancing service levels and improving cash flow

II.

Drove 30% annual savings for core components via migration to new supply base while avoiding supply disruption

III.

Eliminated 100% of commercial backlog; from ~6,500 units to 0 over 4-month period

IV.

Rebalanced production, reducing production footprint by 30%, supporting cost reduction and market share recapture programs

Results

I.

Eliminated stockouts and reduced inventory by 20% while enhancing service levels and improving cash flow

II.

Drove 30% annual savings for core components via migration to new supply base while avoiding supply disruption

III.

Eliminated 100% of commercial backlog; from ~6,500 units to 0 over 4-month period

IV.

Rebalanced production, reducing production footprint by 30%, supporting cost reduction and market share recapture programs

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