Taking stock – Supply chain optimisation

Posted on 9 Sep 2010 by The Manufacturer

It may be the best £100 that Nicholl Food Packaging has ever spent. Or will ever spend, for that matter. At a stroke, the Cannock-based aluminium foil food container manufacturer — a supplier to companies such as Heinz, Danone, Unilever and Manor Bakeries — was able to eliminate huge swathes of expensive inventory. Malcolm Wheatley reports.

Fairly typically, Nicholl had long relied on high levels of ‘just in case’ stocks of both finished goods and raw materials — the only practical solution, it thought, to an unholy trinity of unpredictable demand, periodic capacity constraints and seasonal ‘spikes’. For with production planning and supply chain optimisation constrained by a reliance on an…

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