strategy3 Inc.
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    • Lead Time Reduction
    • Inventory Cost Reduction
    • Plant Moves
    • Labor Productivity
    • Quality Improvement
    • Space Planning
    • Acquisitions
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    • Setup and Changeover Reduction
    • Labor Planning
    • Supply Chain >
      • Organizational Structure Planning
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​Inventory Cost Reduction


Inventory Cost Reduction and Inventory Turns go hand in hand.  By keenly focusing attention on our clients’ Inventory Turns*, we are able to help them measure the true cost of their inventory levels.  By increasing inventory turns – yet maintaining or improving service levels – Strategy3 is able to achieve Inventory Cost Reduction.
*Inventory Turns or Inventory Turnover is defined as the ratio which shows how many times a company’s inventory is turned (sold) and replaced over a period of time.  Example: A company sells 360,000 widgets a year.  On average, the company houses 90,000 widgets on-hand.  Therefore, this company’s Inventory Turns calculation equals (360,000) / (90,000), or 4 Inventory Turns per year.
 
Statement of Work
 
Strategy3 led the purchasing team of a Beverage Distributor with $650MM+ in annual revenue to decrease inventory as a Percentage of Revenue from 13.4% to 11.4%.  This decrease resulted in $13.67MM in inventory cost avoidance, while improving overall Customer Service Level from a baseline of 96.7% to 98.2%. 

We Would Love to Hear from you!


Telephone

937.429.2779

Email

[email protected]
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  • Home
  • Services
    • Lead Time Reduction
    • Inventory Cost Reduction
    • Plant Moves
    • Labor Productivity
    • Quality Improvement
    • Space Planning
    • Acquisitions
    • Engineering Time Standards
    • Setup and Changeover Reduction
    • Labor Planning
    • Supply Chain >
      • Organizational Structure Planning
    • Project Management
    • Predictive and Planned Maintenance
  • Industries Served
    • Case Studies
  • Clients
  • Are You a Fit?
    • FAQ
    • Value Proposition / ROI
  • Begin The Journey Today
  • Contact Us
    • Employment