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GAINS - Demand, Inventory & Supply Chain Optimisation

AMR Research often refers to GAINS as “the best kept secret in the industry”. This is a secret that highly successful, blue-chip companies have discovered. For example, the Australian Defence Forces, Super Cheap Auto and Symbion Pharmacy Services have all realised substantial, quantifiable and sustainable benefits through their use of GAINS.


GAINS - Demand, Inventory & Supply Chain Optimisation

MRO

“We saved $14m in six months. We’re used to being promised these kinds of numbers – we’re just not used to having them delivered.”
Wing Commander, Royal Australian Airforce (RAAF)


ABB
The Australian Army
Australia Post
The Australian Navy
Bell Helicopter Textron
CPI
Cummins Engine
Defence Materiel Organisation
FirstEnergy
Honeywell
Honda Australia
Mitsubishi Motors
Nortel
QANTAS
RAAF
Raytheon
Repco
Toyota


Distribution/Retail

“As anticipated, the GAINS solution has more than met our objectives and expectations.”
Michael Wood, General Manager, Parts Operations, Mitsubishi Engine


Abbott Laboratories
Alcon
Amway
Atlas Specialty Metals
Bonlac Foods
Bonland Dairies
CPI
CUB
Ericsson
Honda Australia
Invacare
Marathon Tyre
McDonalds
Metalwest
Mitre 10
Mitsubishi Motors
Monsanto
Panduit
PPG
Repco
The Pampered Chef
Toyota
Sara Lee
Stanley Tools
Super Cheap Auto
Symbion Pharmacy
Services
United Laboratories


Manufacturing

“Now I do the purchasing each month for all 14,000 items in three days - that used to take six people two weeks.”
Michael Byrne, Group Stock Controller, CPI


Abbott Laboratories
Alcon
Atlas Specialty Metals
Bonlac Foods
CPI Group
CUB
Ericsson
Invacare
ITT Industries
MonTnto
Nestlé
Panduit
Parchem
PPG
Sara Lee
Smorgon Steel
SnapFresh
Stanley
United Laboratories
Volvo Truck


Actual Results

RAAF

▼ $186m [25%] reduction in inventory.
▼ 67% reduction in understocks.

United Labs

▼ $9m [36%] reduction in inventory.
▲ 17 percentage point service level improvement.

CPI

▼ $14m [31%] reduction in inventory.
▲ Increased service levels to 96% in 7 months.


GAINS Overview

THE GAINS TOOL PROVIDES:


30+ years’ experience in demand planning, inventory optimisation and supply chain management, rapid and proven results, quick and easy implementation, straight-forward integration and scalability, guaranteed outcomes and ROI, and a unique approach to culture change.

GAINS is a “best-of-breed” demand, inventory & supply chain planning and optimisation system. For the last 30 years, GAINS has worked with over 500 companies across a range of industries managing in excess of $50 billion worth of inventory across 25 million items. GAINS has delivered inventory reductions in excess of $15 billion whilst simultaneously and sustainably increasing service level performance.

It is important to note that many systems claim to ‘optimise’, but this is a largely misunderstood term. GAINS is a true optimisation system – it delivers a set of proven management controls that consistently deliver optimal results.

With its origin as an operations research consulting tool in the early 1970s, GAINS has had over 30 years of focused effort invested in its development. Development input has come from recognised international and domestic experts in fields such as academia, operations research, advanced mathematics and industry best practice. Importantly, the effectiveness of GAINS has been rigorously time-tested and proven over these 30 years. The amount of specialist, proven knowledge that GAINS embodies is unparalleled in the industry. The benefit to our clients is a sophisticated, easy to use tool that consistently and rapidly delivers benefit.

GAINS Preview


Capabilities

▪ GAINS is a dynamic planning system that automatically re-optimises inventories as the environment changes
▪ GAINS has a proven, road-tested battery of forecasting algorithms that cater for the vast range of demand patterns that different businesses experience. From fast movers to cyclical/trending to the slow movers in the ‘tail’, GAINS’ dynamic, adaptable and rigorous demand planning process automatically selects the best forecast model for every item in every location – every time.
▪ ability to forecast by item, location, customer, channel, category, unit of measure, colour, size, style, type etc.
▪ facility to add and assess market intelligence at various levels
▪ enables supplier and customer collaboration
▪ delivers an exception-based process – highlights and prioritises recommend actions
▪ enables process automation and provides workflow tools
▪ proactively manages service level targets
▪ detects life cycle and trend changes
▪ ability to profit-maximise the inventory mix
▪ embodies product substitution and supersession management functionality
▪ optimises inventories based on risk, costs, constraints and customer service level targets
▪ has comprehensive distribution requirements planning (DRP) capabilities
▪ proactively prioritises and allocates stock based by item by location
▪ incorporates and plans for stock presentation requirements
▪ has powerful promotions planning and “what if” simulation functionality
▪ proactive lot management and stock ageing capabilities
▪ synchronises demand and supply
▪ provides forward vendor schedules and supply plans
▪ proactively balances and repositions inventory to demand across the distribution network
▪ can take demand directly from point of sale (POS) data
▪ enables vendor managed inventory (VMI)
▪ provides inventory margin analysis
▪ measures and proactively manages supply variability risk
▪ provides an interactive performance measurement dashboard
▪ advanced collaborative planning tools enabled with the latest web-based technologies
▪ graphical adjustment capabilities
▪ powerful cost optimisation routines
▪ possesses the unique ability to calculate the most profitable service level policy for each item
▪ production and capacity optimisation
▪ service part and repair pipeline optimisation
▪ an integrated, graphical and customisable Sales & Operation Planning (SOP) suite that enables “slice and dice” investigation and supports “what if” scenario planning
▪ new item management and supercession capabilities
▪ bill of material (BOM) & kit planning
▪ strategic simulation capabilities

plus much more...

Typical Benefits (within 6 - 12 months)

▪ results guaranteed with success-based implementation
▪ rapid, sustainable cash generation
▪ average 20:1 return in first 12 months
▪ 20-40% inventory reduction
▪ sustainable, controllable service level improvements
▪ enhanced return on equity (ROE)
▪ improved return on assets (ROA)
▪ significant working capital improvement
▪ improved operating efficiencies
▪ improved relationships with suppliers and customers
▪ integration of business goals and operational practices


“GAINS is unique in the functionality provided to support Inventory Management (IM). In addition to functionality typically supported by IM specialists… GAINS approaches the IM problem in a precise, sophisticated fashion that focuses on profit optimisation.”

AMR Research, Inc. – Alert on Supply Chain Management and Enterprise Applications


AMR Research


In regards to planning inventories based on maximising corporate profits; “To date, only GAINSystems’ inventory management application takes this approach in a systematic way.”

AMR Research, Inc. – Report on Supply Chain Management


Download FORMAT
GAINS Overview PDF


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Articles

Symbion Pharmacy Services leads the way in supply chain optimisation – MHD Magazine

One of Australia's largest pharmaceutical companies, Symbion Pharmacy Services, successfully implemented GAINS and achieved the following market-leading results: inventories reduced by 26%, service levels increased while supply chain efficiency improved.