Video Case Study: Nuplex Supply Chain Transformation

GRA’s James Allt-Graham and Shanaka Jayasinghe, along with Allnex's (formerly Nuplex’s) Regional Supply Chain Manager, Brad Hurst, presented a case study to the 2017 SMART Conference.

The case study presentation Supply Chain Transformation: Delivering financial benefits and increased capabilities in a globalised manufacturer detailed a recent supply chain transformation program undertaken by one of Australia’s most significant manufacturing organisations–Nuplex.

The presentation outlined Nuplex’s organisational background and strategic imperative, including:

•    Global business with increased lead times and complexity
•    Underinvestment in supply chain capabilities
•    Need to reduce costs
•    Need to innovate and drive increased value for customers

Following the exploration and analysis of the above situation, a transformation program was developed and executed. The program was based on:

•    New Systems (Demand Planning, MRP, DRP and RF in the warehouse)
•    New processes (Integrated SOP and supporting executional processes)
•    Change management
•    Project Management across Australia and NZ in a global business
•    Benefits needing to be delivered as the program was implemented–self funding

The presenters outlined:

•    What worked well and why
•    What lessons were learned
•    What are the next strategic steps for Nuplex’s supply chain

The video presentation concludes with a Q&A session with the audience.

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"GRA provided us with the vision on what an advanced inventory management system could deliver for us, along with the benefits. To date the benefits are being delivered in line with the business case and the user experience is excellent. GRA, throughout the project, acted in an very professional manner and delivered on our expectations."

– Chris Wigg, Group Planning Manager, The Laminex Group

Typical results

  • 20-40% inventory investment reduction
  • increased service levels ranging up to 99.9%
  • 10%-15% reduction in supply chain operating costs
  • 5%-20% spend management savings
  • the ability to fund business initiatives from operating cash flow (OCF) improvements
  • improved return on capital employed (ROCE)
  • a minimum 3:1 ROI (10:1 to 30:1 typical)