Revolutionizing Supply Chain

Cutting Inventory Costs by 85% with Just-In-Time Logistics

In the world of manufacturing, the pursuit of inventory reduction faces a formidable adversary – the ever-present uncertainties intertwined within the supply chain.

Imagine the scenario: Production planning managers find themselves wrestling with factors well beyond their control –

  • The Unpredictable Nature of Supplier Deliveries,
  • The Intricate Web of Logistics and Supply Chains, And
  • The Ever-Present Ghost of Bottlenecks Within the Process.

In their quest to ward off disruptions triggered by these unpredictable forces, manufacturing units’ resort to maintaining elevated inventory levels. Yet, at the crux of this predicament lies the “pursuit of predictability” — a crucial key to overcome these challenges and achieve a more streamlined production flow.

BWC joined hands with a leading agricultural machinery manufacturer to resolve this complex dance between uncertainty and predictability, unravelling the complexities of inventory management in the manufacturing realm. The client recognized that an uninterrupted and timely flow of goods was the key to seamless production and reduced inventory costs.

However, the path to translating this vision into reality appeared complex and formidable.

Having complete visibility and transparency across all supply chain elements allows real-time monitoring. The benefits of a reliable supply chain include quick responses to unexpected disruptions, swift corrective actions and improved resource allocation, enhancing overall efficiency and on-time delivery.

Overcoming Uncertainty in the Supply Chain

BWC Labs initiated the engagement by conducting a thorough audit to understand the scope of the requirement. Our experts realised that the lack of real-time information on cargo was at the root of most of the problems in the overall inbound logistics process. Our rigorous analysis showed that,
  • There is no communication between suppliers, carriers, and the client’s team, thus no confirmation of expected time of arrival (ETA).
  • The lack of clarity in information about incoming shipments due to merged shipment strategy increased the complexity to follow a particular shipment.
  • The surplus inventory to maintain production level caused increased inventory cost.

"An unforeseen flat tire could disrupt an entire shipment. Matters got even complex when drivers juggled multiple routes. The complicated web of shipments necessitates a solution that extends beyond monitoring individual deliveries."

Our audit made it clear that a comprehensive approach that ensures constant visibility of cargo and streamlined coordination between all parties involved, will solve majority of problems faced by the leading agricultural machinery manufacturer.

The insights from assessing the client’s challenges led BWC to develop a specific solution. The goal was to simplify complex inbound logistics through a transformative approach.

BWC harnessed the power of technology to bring clarity to a previously convoluted process. The solution was to create a sophisticated live shipment tracking system, bolstered by GPS technology. This innovation promised to revolutionize cargo tracking across the entire supply chain.

Building the Real-time logistic tracking solution

The heart of the solution lay in real-time GPS tracking of trucks. Each truck was equipped with GPS technology, providing precise and up-to-date information about its location, route, and speed. This technology brought unparalleled visibility to the movement of trucks, allowing for constant monitoring of their journeys.

What set this system apart was its capability to follow cargos across multiple trucks seamlessly. Often small shipments were consolidated into a single larger shipment, to enhance transportation efficiency. The innovative tracking system allowed for the seamless tracking of each individual cargo item as it moved from small trucks to the larger consolidated shipments. This meant that the details of the cargo were updated every time it switched from one vehicle to another.

This level of transparency ensured that the client maintained a clear overview of all goods, whether they were part of a large shipment or a smaller consignment.

One of the core features of the system was its ability to provide immediate alerts in case of any anomalies. If a truck encountered an issue on its journey—such as a detour or a delay—the system would flag it immediately. This proactive approach empowered the logistics team to respond swiftly and make necessary adjustments, minimizing disruptions and ensuring that deliveries remained on track.

Furthermore, the data collected by the system was harnessed for in-depth analytics. Over time, trends and patterns emerged, offering valuable insights for further process optimization. This continuous feedback loop enabled the client to fine-tune their operations, making better-informed decisions about routes, load balancing, and transportation strategies.

Overcoming Ground-Level Resistance

Traditionally, such systems often faced resistance from ground-level users. However, we overcame these challenges through a multi-faceted approach:

  • We convinced cargo operators to share GPS data by making it a compulsory requirement within their contracts.
  • We addressed issues such as truck downtime due to RTO formalities, cargo breakage, and improper driver registration by implementing a system that ensures all RTO-related documents and driver-related formalities are completed and uploaded before any truck is allowed to transport cargo.
  • Performance-based rewards and recognition programs incentivized users to embrace the technology and contribute to its success.

The ingenious solution crafted by BrainWave Consulting yielded a cascade of transformative benefits, like timely delivery as per ETA. Seamlessly navigating the complexities that once plagued their inbound logistics process, the client reaped rewards that echoed throughout their operations.

Benefits Realized

Our solution delivered a multitude of benefits:

  • Timely delivery of goods skyrocketed from a mere 35% to an impressive 95%.
  • The system demonstrated remarkable accuracy, estimating the time of arrival for goods and cargo with nearly 100% precision.
  • Inventory levels within the plant were dramatically reduced from 55 days to a lean 30 days, significantly reducing Inventory Costs by 85%.
  • The time spent and coordination plummeted from a labour-intensive 500 man-hours per month to a mere 100 man-hours, freeing up valuable resources for other critical tasks.
  • The system minimized route inefficiencies, reduced fuel consumption, and optimized resource allocation resulting in improved profitability.
  • The solution effectively addressed issues such as untimely delivery of goods due to driver unavailability and RTO problems.

The Conclusion

BrainWave Consulting's solution tackled the intricate layers of complexity in the client's inbound logistics. Seamlessly integrating GPS tracking, live cargo updates, and consolidated shipment monitoring, it granted unparalleled control and transparency. As a result, the client's production line flowed seamlessly, disruptions minimized, on-time deliveries became standard, and their reputation for reliability soared.