Case Study · Supply Chain

Distribution reset for a multi-market distributor

Too much cash in slow stock, and still out of the fast movers. We rebuilt planning and network policy so service and working capital improved together.

Sector

Distribution & logistics

Region

Three East African markets

Duration

Three-week diagnostic, 20-week delivery

Practice

Supply Chain · Operational Excellence

Distribution warehouse with stacked inventory

The challenge

High inventory and poor availability at the same time

Each market ordered independently, safety stock was a flat rule for every SKU, and the warehouse had no slotting logic. Working capital climbed while the top sellers went out of stock monthly.

  • One blanket safety-stock rule applied across 2,000+ SKUs
  • No shared forecast between sales, supply and finance
  • Picking productivity limited by a layout built years earlier
  • Cost-to-serve unknown at customer or lane level

The engagement

Diagnose → Design → Deliver

How the work unfolded, phase by phase.

1

Diagnose

Segment the portfolio honestly

We classified SKUs by volume, volatility and margin, mapped true lead times including port and customs, and modelled cost-to-serve by lane.

2

Design

Differentiated policy, one plan

Segment-specific replenishment and safety-stock rules, a monthly S&OP cycle across sales, supply and finance, and a re-slotted warehouse layout.

3

Deliver

Rolled out market by market

Implemented in the largest market first with the planning team, then replicated with local leads who had already been trained on the pilot.

Results

What moved

Availability

Service lifted on the highest-value SKUs

Cash released

Working capital freed from slow-moving stock

Faster picking

Warehouse re-slotted around real velocity

One plan

S&OP cycle running monthly across markets

We stopped arguing about whose number was right and started making decisions in the room.
Supply Chain Lead, regional distributor
Regional distribution network across East Africa

After handover

Planning became a routine, not a rescue

The S&OP cycle is now chaired by the client's own supply chain lead. Exceptions are handled in the meeting instead of by escalation, and each market reports against the same numbers.

  • Segment rules reviewed quarterly by the planning team
  • Cost-to-serve model maintained in-house
  • Supplier scorecards embedded in the monthly cycle

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