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Anchor Foods
Installed S&OP with Rate-Based Planning
Situation
Anchor developed the jalapeño popper primarily for Food Service
Their supply chain management system was a traditional ERP and DRP system with standard "one size fits all" inventory management and deployment logic.
Growth had stagnated due to the entry of low cost competition which was cherry picking their product offerings
Insight
Value in the Food Service business was defined through customer interviews.
Sysco, US Food and others wanted to carry little inventory, a full product line, and 100% line item completeness. Seemingly impossible demands . . .
Interviews found a 10 day shipping window was just fine and that fact provided Anchor an opportunity
Recommendations
Design and install Demand-Based supply chain management which allowed Anchor to produce Food Service orders nearly to order rather than to stock.
A 3 day master scheduling process was designed and successfully implemented
Results
Anchor went from unknown to the #1 service provider for Sysco, nationwide.
$50 million in cash was generated through greatly improved inventory management