Case study · S&OP & inventory
One plan across 12 plants: S&OP and inventory for a specialty chemicals company
A newly standalone specialty chemicals company needed sales, plants and supply planning working from one plan, with inventory sized to service rather than habit.
The challenge
After separating from its public parent, the company had twelve plants and three lines of business planning in silos. Sales, operations and supply each ran their own numbers, inventory had built up as a buffer against that misalignment, and plant utilization was uneven.
Mohannad Gomaa led the supply chain workstream: S&OP design and rollout, inventory optimization by line of business, and supplier alignment across the plants.
What we did
- Baselined inventory by line of business, plant and product family.
- Set inventory targets by segment, tied to the service levels each customer group needed.
- Designed and launched a monthly S&OP cycle: demand review, supply review, reconciliation and an executive meeting.
- Balanced production across plants to lift utilization where demand supported it.
- Aligned key suppliers to the new plan and its replenishment rules.
- Led the selection of an advanced planning system to run the new process.
Impact and results for the client
- $7M of working capital released
- Production utilization up 15%
- Service level up 12 points
- One monthly S&OP plan owned by the leadership team
- Lower expediting and transportation costs
Rebuilt our S&OP and operating model structure, and drove true savings with real P&L impact.
CEO, PE-backed specialty chemicals companyMore case studies
Other results.
return on fee from supplier consolidation across five operating companies.
Read the case study →inventory savings and +18% forecast accuracy across eight global sites.
Read the case study →annual savings from should-cost modeling and supplier consolidation.
Read the case study →Facing a similar situation?
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