With Proudfoot, you can.
AS A STRATEGIC PRIORITY, the CEO of a global equipment and services provider for the energy industry established an imperative to improve their working capital status.
Same day delivery and fulfillment of customer orders was and continues to be a critical component in the design, manufacturing and sale of various sub-sea production and processing systems.
The company’s ongoing cash position was compromised by a lack of bench strength in inventory control, systems and skill sets combined with poor cash controls to capture unbilled receivables.
There was no accountability for unfulfilled specialty orders and suppliers were not held responsible for late or inaccurate deliveries.
Working together with Proudfoot, the team:
Designed and implemented a set of tools and resources to give management greater visibility of the business – inventory management was the top priority.
Worked closely with the sales force to troubleshoot and rectify reoccurring issues, such as order backlogs and cancellations.
Developed new processes that encouraged open communications. Employees were incentivized to keep excess and obsolete inventory to a minimum.
Managed all three phases of the ordering process, including forecasting and invoicing. Demand variance metrics were built into the S&OP system to improve forecast accuracy.
Designed and managed tools that would measure demand accuracy by customer and inventory to hold people accountable for any cancellations or overages.
Developed and established a standard process for the creation, management and cancellation of orders, and successfully rolled out the process in each base warehouse location.
“After consulting with Proudfoot and following a detailed analysis of the drivers that would best accelerate a positive impact on working capital, the executive team determined the best course of action would be to reduce inventory in one of the main divisions, and then apply the same solutions globally.”
“Aligning our behaviors with processes was the cornerstone for a new culture of accountability.”