Sales & Operations Planning – Balancing Inventory

The balancing of inventory levels is one of the most challenging aspects of running a successful wine business.

This is achieved through the implementation of sales and operations planning disciplines that we have tailored specifically to the wine industry. The outcome is an inventory plan that aligns the vintage year with the financial year for each wine blend.

This alignment of the demand and supply functions can be achieved from the following steps:

A balanced inventory plan improves the ROCE (return on capital employed) and is an excellent base to effectively manage: demand risk, working capital, supply strategy, cash flow, and risk to financial performance.