May, 2013

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Posted by: | Posted on: May 5, 2013

Cardial Health

The initial tool of forecast used by Cardinal Health was the blade of calculus, this type of tool is quite flexible and friendly user, however for Cardinal Health was evident that use Calculation sheets had major deficiencies with respect to the forecast one of them is that they are highly prone to human error. When Cardial Health disbanded Baxter Healthcare should acquire its own system ERP which offered its own module forecasts but with serious constraints in relation to the requirements of Cardinal Health. For example this failed forecasts in multiple levels for example by warehouse and at the consolidated level, a fundamental requirement for imported products handled by Cardinal Health. Another limiting factor is that they could only manage a very simple forecast model for all products, which worked well for sterilized packs but not for their imported products. Also large part of their business are handled through offerings, then you need the ability to modify the forecast to cover the likelihood that increases be submitted or falling demand in the future. The module of prognosis of the ERP had the ability to make basic modifications of the prognosis, however these were lost each Once the forecast was updated, resulting loss of large amount of time spent on these changes by increasing the level of frustration from those who performed it. As a result was obtained, an inaccurate and unreliable forecast whose consequences were high levels of inventories, exhausted, low productivity, high costs and a poor level of service. Necessarily had to take measures in this regard.

Began to evaluate different tools on the market that allow raising the accuracy of the forecast and meet the specific requirements of Cardinal Health. -forecasts at multiple levels. Currently three levels are used: Producto-pais – warehouse but is required to be able to handle more levels as territory, customer, etc. – having a wide variety of models that allow to use the model to more conform to the characteristics of the data.

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