Executive Briefings

Inventory Target Setting in an Advanced Planning Environment

In 2003, Bayer MaterialScience LLC recognized an opportunity to build upon the benefits of implementing a traditional advanced planning process. SmartOps Corporation and Bayer MateriaScience partnered on a Proof of Value project to determine the potential benefit of combining a complementary third-party application with existing SAP modules. After identifying significant potential savings from inventory reductions, Bayer MaterialScience and SmartOps began a formal implementation project in 2004 to utilize SmartOps' Multistage Inventory Planning & Optimization (MIPOâ"žÂ¢) to calculate inventory safety stocks needed for the material requirements planning process. Over the course of 2005, the program was implemented across the entire NAFTA planning process. The project has resulted in a significant, measurable inventory reduction while maintaining customer service targets. As a result of the success of the initial project, expansion to other areas of the business is under consideration. Click here for more.

In 2003, Bayer MaterialScience LLC recognized an opportunity to build upon the benefits of implementing a traditional advanced planning process. SmartOps Corporation and Bayer MateriaScience partnered on a Proof of Value project to determine the potential benefit of combining a complementary third-party application with existing SAP modules. After identifying significant potential savings from inventory reductions, Bayer MaterialScience and SmartOps began a formal implementation project in 2004 to utilize SmartOps' Multistage Inventory Planning & Optimization (MIPOâ"žÂ¢) to calculate inventory safety stocks needed for the material requirements planning process. Over the course of 2005, the program was implemented across the entire NAFTA planning process. The project has resulted in a significant, measurable inventory reduction while maintaining customer service targets. As a result of the success of the initial project, expansion to other areas of the business is under consideration. Click here for more.