Service Parts Planning Analytics with
Prophet Inventory Planning Software
Baxter has leveraged decades of service parts planning experience to design, identify, and measure 30 critical service supply chain Best Practice categories during each client’s business review process. This criteria is standardized in a Best Practice Scorecard and provides a foundation to deliver on our commitment to helping customers optimize and automate their service supply chains. The scorecard is organized by practice area and the benchmarks for the Replenishment and Redeployment practice area measure the customer’s automation capabilities, data integrity, and fill rate metrics as key indicators that the inventory plan is being executed successfully and efficiently.
Baxter advocates the adoption of best practices for automated and intelligent inventory movement throughout the supply chain network during the implementation phase, and continues to monitor adoption of these best practices as part of our ongoing support. With a myriad of customization configuration options for replenishment and redeployment available, the Baxter team works to understand the customer’s unique goals and then leverages Prophet’s capabilities to meet specific objectives. Baxter experts will review the current logistics network configuration, excess deployment objectives, warehouse volume constraints, the costs associated with expedites, and IT capabilities for data transmission. With that information, Baxter experts will customize a Prophet configuration that is automated and can be executed to achieve service level and inventory cost objectives.
For customers that are looking for additional support, Baxter’s Planning as a Service offering can provide an extension to your planning organization to perform these responsibilities. Your designated Baxter planners will perform a range of tactical and strategic initiatives including a regular review of the fill rate metric, analysis of sites with highest shortages and excess, reviewing replenishment exclusions, and ensuring valid chaining data.
The Benefits of Replenishment and Redeployment Best Practice
Automated replenishment from Distribution Centers to Forward Stocking Locations (FSLs) provides increased accuracy and efficiency and is essential to achieving an industry standard fill rate of 98%. Redeploying inventory between FSLs reduces excess inventory by using available to fill shortages and prevents unnecessary inventory purchases while ensuring that inventory is available to meet expected response times. Benefits from utilizing Replenishment and Redeployment best practice include:
- A reduction in next flight out (NFO) and overnight expedited shipment expenses as a result of an improved inventory availability throughout the service supply chain
- Cost avoidance savings driven by redeployment of current excess to fill target stock levels and decrease total inventory cost
- Increased planner efficiency with the automation of replenishment and redeployment processes