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Jean's DH needs to allocate time and resources in forecasting demand and planning production accordingly to minimize stock. They will need to study historical sales data by geography (probably by city and divide urban/suburban), understand drivers of that demand (seasonality, other factors); also cross check with sales forecast, are any new sales strategy and advertising being deployed? what are the expected effects? what is the risk adjustment that they need to associated based on past experiences?; what other external factors can contribute to the variations on demand and supply of raw materials?

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Effective forecasting will help this company maintain accurate inventory according their demand.

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Effective forecasting will help this company maintain accurate inventory according their demand.

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Investing more in creating new tools to forecast and predict the customer needs. Analyses the data based on two ways, long term trend and short term trend data. In that way, you can decide if the customer needs is changing suddenly due to some seasonal reason or it is a permanent change.

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Use historical data with forecasting trends to understand what the demand is. Develop a baseline based on that information.

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Understanding and having an accurate representation of ones customer base (thus, demand) is paramount to developing an accurate inventory plan. They should try to utilize existing tools and processes to complete this. However, once KPI targets are met, they can then search for better tools that help drive for more optimal business processing. - Taylor P.

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Find a reliable supplier who can support the customer demand with proper inventory and keeping cost in check. This is done with a improved demand forecasting model.

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Implement Just-in-Time (JIT) Inventory System

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Implement Just-in-Time (JIT) Inventory System

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Order materials and produce harnesses based on actual demand patterns

Reduce warehouse storage costs

Minimize capital tied up in excess inventory

Use Demand Forecasting Tools

Establish Safety Stock Levels

Adopt an Inventory Management System

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Jean's Dog Harness Company can work to better forecast the demand that they expect which will allow them to hold less inventory while better meeting customer demand.

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JDH can work closely with suppliers to implement a Vendor-Managed Inventory system where they monitor and manage inventory levels directly, ensuring they never run out or overstock.

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Just in Time Inventory Management Essentials

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Just in Time Inventory Management Essentials

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People: Hire experienced demand planners,

Product: Leverage AI Enabled IMS S/W

Process: Establish a SIOP (S&OP) program

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Will help this company to keep a balance in terms of what can be purchased to meet sales.

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Demand forecasting will allow Jean's to address the discrepancies that they are facing with right-sizing their min/max inventory levels.

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Forescasting their sales cand help them solve some issues.

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Jean's should take a data-driven and flexible approach to inventory management. By combining technology, collaboration, and strategic analysis, the company can optimize inventory levels, improve service levels, and reduce costs.

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Repurpose, Liquidate or Donate Idle Assets

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Repurpose, Liquidate or Donate Idle Assets

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Find a reliable supplier who can meet customer demands.

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Work more closely with S&OP to properly forecast demand

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Work more closely with S&OP to properly forecast demand

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The company requires better processes around demand planning

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The company requires better processes around demand planning

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To solve the concern of finding a balance in on hand inventory while minimizing the cost of supply management will require an assessment of sales forecast for the mapping of demand. Historical trends will allow the company to recognize patterns based on historical purchases i.e. spikes during holidays, less purchases at the start of the new year etc. allowing for better insight into when production needs to ramp up or slow down. This will also allow for better planning of on hand inventory required month over month for improved optimization. Additional benefits of trend recognition can give valuable insight on when to run campaigns to promote sales that could allow for more stability in inventory levels and other upstream activities within the supply chain like manufacturing.

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High-end information processing is more accessible now than ever thanks to AI. Starting with a dedicated model creation to better forecast inventory flow should be the absolute first step.

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Inefficiencies on inventory requires prioritize, which items should stay and even over protected and which items shall be relegated into 3rd partners or min storage capacity to optimize space into critical product

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Need to use machine learning and Ai to develop models that use MI to balance supply and demand for their offerings.

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Improve customer demand planning using available data and AI resources. Improve excess inventory concerns through a deep dive of supply lead times, buffers for delivery issues and weekend planning, and frequent cycle counts of supplies.

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Jean's Dog Harness Company have to work on the demand forecasting.

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What can Jean's do to address this challenge? 

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What can Jean's do to address this challenge? 

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At first, supplier needs to perform accurate forecast and demand planning to ensure the right amounts of products flowing through their supply chain. This will lead to optimize the inventory, then help them think in the right strategy (either keeping their warehouse, outsourcing, or working cross-deck)

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Jean have space issue and he need effective inventory management team to manage the inventory and space of ware house. I can suggest Jean he should up to date  his inventory as per market demands

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Jean have space issue and he need effective inventory management team to manage the inventory and space of ware house. I can suggest Jean he should up to date  his inventory as per market demands

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A deep analysis on historical data can show, for example, in which period of the year people buys more. During the hot seasons the likeness people get the dog out for a walk is higher and consequently the volume of sails tends to follow this trend. Analyse other factors that can lead customer behaviours would help Jean's to better adjust inventory levels.

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find reliable suppliers and potentially distributors

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find reliable suppliers and potentially distributors

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a mechanism to predict the future demand and work backwards towards achieving it.