Runner, Repeater, Stranger Event

Which inventory should you stock? How much, of each type, should you store in raw materials, work in process, and finished goods? How often should you schedule production? What is your stocking strategy? 

These were the questions posed to a manufacturing company during a recent Runner, Repeater, Stranger Inventory Analysis engagement.

The objectives of this engagement:

  • Have enough inventory to ship, consistently, to customers
  • Improve transparency of data and accuracy of information
  • Build more trust in the process and create a system they can all utilize and build
  • Increase profitability
  • More independence from factory orders

During the analysis tgg and the company:

  • Reviewed 18 months of shipped demand
  • Corrected misidentified ‘strangers’ and modified the dataset
  • Computed RRS classifications and Kanban min/max classifications
  • Initiated initial stock order

By the end of this four-week engagement the company had:

  • Lean overview training
  • Increased refresh rates for both inventory & spare parts from every 24 hours to every hour
  • Reviewed info inventory codes
  • Reviewed current ways to check inventory

Graphs and Report Outs

The below graphs represent the data from the analysis. This side-by-side comparison for each type (Runner, Repeater, Stranger) shows weekly shipped orders on the left with the coefficient of variation on the right. 

 

 

 

 

 

 

 

 

 

 

 

 

 

If you had difficulty answering any of the above questions, the Runner, Repeater, Stranger (RRS) Inventory Analysis might be just the tool for you. With this thorough statistical analysis, tgg can help your organization not only answer ‘how much inventory’, but also create a standard run strategy and schedule to maintain these levels. Move from 4+ weeks of lead time with 25% forecast accuracy to 1+ week lead with 75% accuracy. 

Click here to learn more about the RRS Analysis or contact us!

 

Define your Problem Statement.

The first step towards breaking your organizational log jams is identifying and verbalizing the challenge you're facing. What are you trying to solve? This simple Problem Statement exercise can have profound implications for your team. It helps you define the issue and gives TGG some sense of where the soft spots could be in your Order to Cash process. We invite you to take a few moments to fill out this form. A TGG consultant will contact you shortly to discuss your Problem Statement and provide some insight on how we may be able to help.

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