Quinnox helps client group in diverting product demand for trade & non-trade sales from temporarily closed DCs to other DCs with no disruption in product supply during the pandemic period.

OVERVIEW

Since the COVID-19 pandemic gripped the world earlier this year and countries went into nationwide lockdowns, businesses (where possible) have had to quickly adapt their operations in order to accommodate employees and service customers. Different segments of the Distribution industry saw varying disruptions to their supply and demand due to lockdown restrictions.

BUSINESS NEED

Due to COVID-19 cases reported at the Distribution Centers (DCs) in the state of California, the client needed to divert the demand forecasts from these DCs to other DCs with no impact on product supply levels to avoid any loss of sales. The forecast was to be moved to the DC which was in close proximity to the customers being serviced.

Our client was looking for a partner who understands the business and nuances of the beverage/bottling industry including DSD, FSV, merchandising planning, route planning and will be able to collaborate with business teams and the other vendors while ensuring proper governance.

SOLUTION

Quinnox had an already well-established relationship with the world’s largest beverage company since 2007, supporting a pre-and post-divestiture project, and emerging as their subject matter expert and “go-to” resource for their SAP technology landscape efforts. With Quinnox’s in-depth knowledge in the bottling & distribution industry business processes and association with the client since 2014, Quinnox was chosen as the partner to help the client manage the diversion of their sales and distribution operations.

• The unique solution proposed and implemented was realigning the demand forecast from the closed DCs to other DCs based on their proximity to the end customers that had to be served.
• This was done without overwriting the existing demand forecast configurations, but only blocking their transportation lanes to prevent any distribution being planned from the closed locations.
• Handled the forecasting process directly in the SAP system instead of the manual workarounds that were to be done to divert the demand forecasts.
• This ensured that order fulfillment & distribution operations can be resumed from the closed DCs once the pandemic situation improves or when the closed DCs were ready to be re-opened by just re-activating transportation lanes

BENEFITS

• A simplified and faster forecasting process with the eradication of any manual workout workarounds required for diverting the demand forecasts
• No disruptions in the planned stock transfers and production planning activities
• Ability to easily revoke the changes made with no impact to regular distribution planning when the closed DCs are reopened