Kuldeep Singh Rawat

Dr. SanjeevVerma

Dr. Rakesh Raut

Abstract

Low demand SKU are generally, theytend to get less attention from organization because their contribution to organization's bottom line is very less. But their contribution to losses is significant. In most organizations, same value chain strategy is followed for all the SKUs like same target for service level. This results in losses. Internal shelf life ofthe product is another importantfactor that is being neglected. Methodology includes as is analysis of currentvalue chain strategy i.e. inventory strategy, deployment strategy and cost impact on the business. Developed an excel model for IPD (inventory, production and deployment) data analysis. Developed an excel simulation model to analyze the impact of new strategy on inventory. service and derive i cost impact. Differentstrategy for different product depending on its characteristics like internal shelflife, distribution network and product category.

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