Cutting Stockhold by 90%

Client Challenge

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A manufacturer faced difficulties managing the supply and storage of parts at three European production sites. Due to supplier minimum order quantities (MOQs) not aligning with production schedules, the sites had to hold large buffer stocks. This caused inefficiencies in storage space and working capital.

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Additionally, the manufacturer encountered challenges in managing spare parts stock and sourcing obsolete components essential for maintenance and repair work. The challenges of sourcing hard-to-find parts compounded the difficulties.

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Our Solution

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• Stock management: GSS held buffer stock at our three local European warehouses, ensuring parts were readily available. We also managed the holding of spare parts, delivering them on an as-needed basis.
• Frequent deliveries: We transitioned the delivery model to daily and weekly shipments of smaller quantities, allowing the manufacturer to meet its call-off and Kanban production needs seamlessly.
• Obsolete part sourcing: As part of the Cyclops Group, which specialises in sourcing hard-to-find and obsolete components, GSS efficiently sourced obsolete parts required for maintenance and repair work.

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The Results

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On-time delivery rates increased to over 99%

This improved delivery performance drastically reduced production downtime and line-down situations.

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Stock hold cut by 90% across the three sites

By reducing the need for buffer stock, the manufacturer was able to free up valuable on-site storage space.

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Obsolete parts sourced efficiently

The manufacturer was able to minimise any disruptions to repair and maintenance work.

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