Production Optimization

motivation

AL INVEST Břidličná, a.s. is one of the prominent aluminum processing companies in the Czech Republic. The company was struggling with a long delivery time of goods to their customers, therefore they decided to change the current production planning model.

PROCESS ANALYSIS

DEFINITION OF THE OPTIMAL INVENTORY LEVEL

Solution

Initially, we analyzed the current process of planning and conducted an analysis of technological methods and production data. Thanks to the advanced data analysis we identified suitable intermediate goods for the production. We then, based on the historical data and business plan, defined optimal stock levels and numbered the financial impacts of stock increase, with both working capital and inventory capacities.

Conclusion

The result was an increase of production flexibility thanks to the optimal setting of size and structure of the intermediate goods trays in production. The delivery time of chosen products was shortened by up to 3 weeks.