Product Consultancy

Demand Planning

Demand Planning is responsible for all Demand planning activities. Ensuring that forecast accuracy targets and product availability are met by continuously improving related processes and procedures in close cooperation within Marketing & Sales, production as well as the Planning department of 3rd party and intercompany related suppliers. Demand Planning should provide direction to the S&OP process in the Marketing & Sales, ensuring monthly Demand Review meetings are run in an effective and efficient way. Even more important is to work effectively with manufacturing sites to ensure accurate forecasts can be translated into efficient production plan as well as propose inventory levels to satisfy service level requirements agreed with business partners and to minimise use of company cash flow. OnCompass can support you on all above mentioned points.

Optimisation

It is the practice of making changes or adjustments to a product to make it more profitable. This can be done by reducing the number of packaging types or by buying it in, instead of producing it yourself. OnCompass can support you with this by going through your portfolio and offer a set of recommendations for it.

Costings

There are many product costing allocation base methods, for example activity based, standard or moving average. To determine a product cost you have to define the direct and overhead cost associated with the cost object. Then select an allocation base and an overhead rate. It is important that periodically there is a review between the true direct and overhead costs versus the absorbed direct and overhead costs in the products. OnCompass can support you with your product costing to ensure correct profitability on a customer and product level and therefore decision making.

Rationalisation

Pareto effect happens almost for all companies. With 80% of sales coming from 20% of the products. This happens because almost all companies keep adding products to the portfolio without removing any. The result is products that have low sales, have limited future potential, have excessive overhead demands and may really be losing money. Apparently these products are also always sold to `strategic` customers. OnCompass can support your product line rationalization to improve profits, free valuable resources, and simplify operations and supply chains.

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