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Case 1:
Valve Manufacturing Industry Saved 17Cr Inventory / Month
The Challenge
A mid-sized valve manufacturer was under constant delivery pressure. To avoid delays, the purchase team would over-order and dump material into stores — even items not needed for 3–6 months. Since these were heavy instruments for control valves, this practice resulted in a massive ₹36 Cr inventory pile-up.
This not only locked working capital but also led to:
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Pressure on cash flow
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Lack of discipline in purchase and assembly planning
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Managers spending excessive time on firefighting
Our Intervention:
We introduced a structured inventory management discipline across functions:
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Knitting System to connect purchase, stores, and assembly
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Issues Control System to track consumption and avoid excess withdrawals
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Purchase Planning Discipline aligned with real demand and forecast
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Assembly Scheduling to balance material flow with actual delivery commitments
The Result
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Inventory levels reduced from ₹36 Cr to ₹19 Cr/month
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This freed up ₹17 Cr of working capital
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Permanent savings on bank interest costs are proportional to the freed-up capital
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Improved purchasing efficiency and smoother assembly flow
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Managers gained more control, reducing last-minute chaos
This single intervention not only improved delivery performance but created sustainable financial savings every month, strengthening the company’s bottom line.