The effort vastly improved the company’s planning and execution functions, they knew that in order to succeed in this era of technology their online horse selling store needed to be much more robust than what they are. They turned to BTMG USA to improve their existing systems.
The biggest challenge was that such system does not really exist, we have e-stores for horses online but they are selling using one mode only. Our challenge was to introduce multiple payment options for the buyer such as Bid, Time locked, Buy Now , Budget limit etc. Too much of the research was needed to start from ground zero, on the other hand the customer was having paper pile growing using manual processes. Live data was also not available and decisions can only be made after all the required data and been received. This was holding iHorses Management back; they knew they could corner more of the market if they had the ability to be more mobile. The work addressed three critical issues for iHorse:
- Improve sales and operations and production planning:
The teams focused their efforts on a few of the highest-value tasks, items in order to review the current planning process, identify gaps in the planning infrastructure and analytically understand demand and supply variability.
- Determine the right inventory level:
With hundreds of alternatives in the market, iHorse . needed a proper method to predict and manage their inventory. Using a mean absolute percentage analysis (MAPE), the teams defined appropriate levels for raw materials and finished products by mapping actual versus forecasted sales on the most important SKUs.
- Optimize the supply chain for perfect order planning:
The diagnostic determined the stressors that affected sales and service levels. The teams focused on resolving issues related to higher-than-normal back-orders and lead times, which stressed the entire supply chain and led to delays in good delivery reaching consumers.
The solution BTMG USA came up with combined cutting edge technology with real world practicality. Everyone knew that the systems had to be updated, the real challenge was updating them without disrupting the whole organization in a negative way. The solution was to introduce proper workload management done through computers, while providing mobile platforms to the stakeholders.
This allowed the workers to be involved in the job instead of feeling like they had been made redundant by technology.
iHorse online store employees are now more empowered; the online portal also has the benefit of generating reports instantaneously whenever needed. They can now make decisions on the fly based on the latest real time data.
The effort vastly improved the company’s planning and execution functions, created and implemented a new stock policy that accounted for specific SKUs and key variables, streamlined the order preparation process and reduced distribution transport times.
By the numbers, the effort:
- Reduced lead time by 43%
- Decreased variability by 50%
- Lowered the risk of back-order by 95%
- Increased stock for finished goods by 10%