The DLT Inventory Analyzer
The DLT Inventory Analyzer identifies future inventory levels that may lead to write-offs and opportunities within the supply chain network to minimize them. It is particularly appropriate for products with limited shipping and shelf lives distributed through a network of Distribution Centers or large retail outlets. Such products include foods, pharmaceuticals, appliances, personal computers, cell phones, and even vehicles among others. There is a desire to deliver these to customers while several weeks (or months) remain before the shelf life expiry date. The “shelf life” is related to product degradation in the case of foods and pharmaceuticals and obsolescence resulting from new model introduction in the case of commodities such as computers, cell phones, and vehicles.

Using current inventory and the latest demand forecast, DLT Inventory Analyzer projects quantities that cannot be delivered with sufficient “shelf life” remaining. It also finds opportunities to resolve the problem by re-deploying product to other DC’s with sufficient demand to minimize potential write-offs. The re-deployment strategy also minimizes transportation and handling costs.

Understanding potential inventory issues early has many benefits. Product with insufficient “shelf life” is usually sold at steep discounts or scrapped with a resulting negative impact upon profitability. Timely redeployment can also lead to improvements in customer service levels.