Safety stock is often seen as a holy grail for ensuring good customer service and optimal inventory levels. It is often miscalculated and mismanaged.

In trying to keep things simple when making delivery promises to customers, companies unintentionally make planning and execution less effective and less efficient.

Inventory policy should use the parameters of your environment along with operations science and math to help you adjust to variability yet arrive at planned performance as expected.

We have seen inventory managers and planners make the mistake of monitoring on-hand to determine how much inventory they should order. This is an incomplete approach and we describe the appropriate measure for good control.

We explore a widespread error in inventory management which is very basic, very harmful to customer service and cost, and easy to fix.

Following up with last week’s introduction to the application of operations science in Engineering and Construction projects, a case study is provided this week with specifics of application.

This week we explore one of the largest cost savings opportunities on the plant. Application of operations science to Engineering and Construction mega projects.

St. Mary’s hospital case study showing the benefits of using operations science to better synchronize nursing resources with patient demand.

Operations science provided a framework to help Baxter Healthcare optimize operations and realize major performance improvements.

AI presents great promise and great risk. Watch this week’s video to discover how to manage the risk of AI in operations, projects, services and supply chain.