DDMRP implementation in Automotive Industry
CONTEXT
An industrial company that designs, manufactures, and sells tires for every type of vehicle, including airplanes, automobiles, bicycles, earthmovers, farm equipment, heavy-duty trucks, and motorcycles.
The company has 69 manufacturing sites & 130 retail centers.
The Supply Chain faced the bullwhip effect and many inventory issues.
MAIN RESULTS

20 to 50%
Inventory reduction

10%
Increase of the OTD

Link the flows
between the manufacturing plant and the customers

69
sites DDMRP implementation
STAKES OF THE PROJECT

Absorb future increasing demand

Decrease product lead times ; improve the quality of the stock

Visibility on WIP & order process

Improve the delivery performance
OUR APPROACH

TOOLS USED

RISKS ON THE PROJECT
Accept changes (from cost reductions to flow improvement)
Increase the inventory level
Decrease the customer service
Increase the capacity

Inventory Reduction

Global usage of the method : Time, inventory, capacity buffer
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