SUPPLY CHAIN MANAGMENT TRANSFORMATION
One of the biggest housing associations in the country needed assistance with Supply Chain Management (SCM) during a period of significant change, as they progressed to a managed warehouse solution in conjunction with an industry partner. The Housing Association engaged MCP2 to provide support on SCM strategy and policy, including Inventory control, use of Materials Resource Planning (MRP) and preparation for the future materials solution. The company did not have any SCM policies in place and required significant support in drafting stock management and stocktaking procedures, whilst being guided on the various aspects associated with establishing stock holdings, concurrent with preparation for the drawdown of inventory. This was set against a backdrop of the introduction of Dynamics 365 (Finance and Operations) as their preferred ERP system.
MCP2 supported the Housing Association by establishing SCM policies to support and compliment the future direction of the business. Support provided included:
- Producing a detailed Stock Management policy document, covering processes associated with consumption of inventory, stock levels and associated usage criteria, together with stocktaking requirements for all business areas
- Providing advice associated with the trialling and potential roll-out of MRP in support of distribution centres and other warehouses
- Assisting with the stabilisation of distribution centres, including structures, material flows, making the best use of limited space and policy associated with day to day warehouse management
- Supporting the business by initiating a key issues and risks document to focus effort on identifying the key elements and aspects associated with the migration to a new material support solution
- Producing a bespoke supply chain policy document that specifically dealt with stock draw-down, transition and disposal options
- Providing weekly status updates detailing progress, any risks to delivery or delay to the senior leadership team
IMPACT & OUTCOMES
As a result of our support and guidance, MCP2 has guided our client in understanding the depth and breadth of stocks held, initiated and set maximum and minimum stock-holding levels and re-set distribution to improve efficiency and material flow. In addition, we have provided advice on the key aspects and implications of reductions in inventory levels, related to the transition to a new material support solution.