C A MELOT management Consultants

Inf o rm at i o n

We are challenged by the VUCA world

Volatility

The natural antagonist of supply chain efficiency

caused by customer preferences changing in Google
speed

Uncertainty

The factor which keeps management guessing caused

by an accelerating rate of change with decreased demand
predictability

Complexity

The self-made turbulence in production schedules and

inventories management caused by increased product
variety and interlinked global networks

Ambiguity

The fragmentation of supply chain planning caused by

weakly harmonized processes and multiple organizational
interfaces

... with painful

consequences!

Low supply reliability and poor network velocity

Decreased capacity utilization and growing working capital
Unsatisfying customer service and risk of lost sales

But there is one way to

manage that ...

Value Chain Excellence. Strategy to Results.

C A M E LOT management Consultants

Amplifying the
bullwhip effect along
the upstream way

Inf o rm at i o n

Master the VUCA-challenges with the

new supply chain roadmap ...

Utilizing only
one-sided variability
management

Following
the forecast
myth

CT (+)

Cycle
times in
boundaries

Inventory
replenishment
levels

IRL

CT (+)

Cycle Stock

CT

Pipeline Stock
Rhythm
Wheel
tact

CT (-)

Demand Safety Stock

CT (-)

Supply Safety Stock

Policy Stock

Manufacturing assets
Rhythm Wheel managed

New
supply chain
road

Inventory stock
keeping units (SKU)

Cyclic planning with rhythm wheels

Parameter-driven synchronization

Dynamic variability buffering with

continuously adapted safety stocks

Level capacity utilization and dampen variability

Targeting end-to-end leveled flow in operations and

Variability buffers have been calculated into safety stocks

propagation upstream in the supply chain through

supply chain it is necessary to formalize and manage a

but not used in planning in the past. Now they will be

newly introduced variability control parameters (CT).

global tact and to balance the cycle time differences of

actively used in replenishment planning to reduce the

the interlinked product flows with right-sized inventory

variability propagation into production and supply chain.

Simplify operations and planning through optimal

level.

repetitive schedules to improve asset utilization

(OEE) and reduce lead times.
Adopt cyclic scheduling and reduce planning

Demand variability is now managed with a two-sided

Parameter driven supply chain coordination requires

approach: With manufacturing capacities as in the past

an leveled synchronization approach and dynamic

and the inventory side today creating a paradigm change

adaption of the parameters to reflect demand trends.

in the ways of working.

complexity in your process, organization and

systems through the new concept of the

Breathing-High-Mix-Rhythm Wheel.

Embedded tactical parameter renewal as decision

support process in your Sales & Operations Planning.

Adopting consumption based pull-principals and tactical

supply chain pre-parameterization reduces the need
for an exact SKU-forecast and enable more
Robust Demand Planning.

... and achieve remarkable results!

Some pioneering supply chain organizations have already implemented the new way of
coordinating and synchronizing their global network with outstanding results:

Build up the new way of working in the VUCA world

100 %

-31 %

100%

-35%

+4.4%

100%

-40%

93%

Change the
mindset

Understand the variability as

root-cause for poor supply chain
results

Make a paradigm shift in the way

you manage variability in your
supply chain

Build a
transformation
program

Stop fighting the symptoms, better

address the VUCA causes

Establish your VUCA transformation

roadmap
Variability

Adjust the
processes

Recognize that your MPS- and

APS-based concepts are the deadlock
for the dynamic VUCA world

Design planning processes with

variability control parameters on both:
capacity and inventory

Align the
organisation

Realize the effect of this change

througout different organizational
levels

Define end-to-end accountabilities

and strong commitment to the
paradigm change

Adapt systems
to LEAN

Enable your IT-systems to support

the new planning approach

Enhance your SAP investments

with the add-ons of the
CAMELOT LEAN Suite

Inventory

Be as smart as your competitors are.

Service Level

Cycle Time

Supply Chain Assessment

Are you ready for the VUCA world?

ow!

n
Book

Think about the following

Are you prepared for the increasing demand variability in inventory management and capacity utilization?
Do you need different product and customer portfolio segmentations for supply chain management in the new VUCA world?
How can you optimize working capital despite higher uncertainty and complexity in your tightly interlinked
supply chain networks?
You do not have clear answers to all these questions?
Then it is the right time to talk with us about a supply chain readiness assessment in your VUCA world.
We will slice and dice into your supply chain complexity to identify your right VUCA lever.
The supply chain readiness assessment evaluates the maturity of your supply chain and paves the way for implementing the
new supply chain planning concept successfully.

Within 4-6 weeks

you will get:

A robustness and matutrity analysis of your supply chain in the

new VUCA world
A simulation-based proof of concept for the new LEAN planning approach
A benefit case resulting from the new way of working

Learn more about how we can prepare your company

for the VUCA world challenges.
Camelot
Management Consultants AG
Theodor-Heuss-Anlage 12
68165 Mannheim
Germany
Phone +49 621 86298-0
www.camelot-mc.com

Value Chain Excellence. Strategy to Results.