Supply Chain Resilience Diagnostic for Consumer Foods Manufacturer
After suffering a severe supply shortage that put $50M of sales at risk, we helped a consumer food manufacturer revamp its supply chain to mitigate the risk of this happening again without meaningfully increasing its operating costs.
Impact
Due to an unexpected shortage in a critical raw material, our client had to go through the painful process of allocating its products to its customers, emergency procurement of high-cost substitutes and re-packaging products to meet the needs of certain accounts. We helped the diagnose their current supply chain to identify a list of 5 projects they can take to build more resilience.
Approach
A rapid, 4-week diagnostic identified a holistic and prioritized set of risks in the current supply chain ranging from raw material contracts to production schedules and staff turnover. We used a rigorous approach to quantify both the probability and severity of each failure mode, which guided the prioritization of resilience projects. We spent 12 weeks launching workstreams side-by-side with client initiative owners to ensure each project was successfully off the ground as we "worked ourselves out of a job".
