How many will I need, and how will I buy them?

Traditionally organisations plan the number of returnable assets required to meet their requirements at peak periods such as Christmas (in brewing). This often results in an oversized inventory and population, although operationally it might not feel that way. in addition as the information isn't available as per-planned or in real-time, this often causes a problem since the lead time for new containers is usually longer than the required date.

How does Visibility solve this?
Visibility uses the asset movement and population data from the solution and applies sales forecasts to this in order to predict the points where demand will outstrip supply. This enables you to pre-plan, and ensure you have optimal fleet sizes that fulfil customer orders. This also enables you to plan for capital expenditure.

I currently measure my average cycle time once a year, why should I commit additional spend to tell me what I already know?
Almost everyone plans on a static average annual cycle time, with some factor applied to deal with peaks in demand.  The reality of all supply chains we have worked with, is that when consumption is high and containers are in short supply, the cycle time is proven to be quicker. In every supply chain we have analysed, there are some fast moving containers, and some slow moving containers.  Typically between 60% and 70% return before the mathematical average in any given period.  At peak times, this figure can be even greater. Knowing this on a rolling basis allows the prediction of when containers will be available to fill, which results in you not needing as many containers to satisfy surge and peak demand.

Read also:

What is my asset population?

What is my asset loss rate?

What is my asset cycle time?

What is the ROI?

Talk to us today about how you can reach into your asset supply chain.....