Ashok Leyland - Spares Supply Chain

Ashok Leyland – NPD

Resurgence in the NPD team using the Flow Management approach:  54% increase in new model releases.

Ashok Leyland – New Product Development

Vector’s unique solutions for auto OEMs and auto components manufacturers help them overcome constraints that hinder their organizational performance in new product development, manufacturing, distribution and sales.&nbsp;Over the years, Vector has worked with companies like Tata Motors – Commercial Vehicles (Spare Parts &amp; Services Division), Ashok Leyland, International Tractors Ltd. (Sonalika Tractors), Fleetguard Filters, JK Fenner (India) Ltd., TVS Motors and Royal Enfield to set new industry benchmarks in operational performance in different areas of business.

We offer consulting services to organizations engaged in manufacturing and distribution of automobiles or auto components. Our consulting methodology focuses on identifying the leverage point of an organization for intervention.

Auto OEMs & Auto Components Consulting Services

Auto OEMs, auto part manufacturers and auto aftermarket players constantly struggle with the auto industry's highly cyclical nature, i.e. an economic boom is generally accompanied by high sales, while sales usually suffer during economic downturns.

industries

Auto and Auto Components

Vector’s unique solutions for auto OEMs and auto components manufacturers help them overcome constraints that hinder their organizational performance in new product development, manufacturing, distribution and sales.&nbsp;&nbsp;Over the years, Vector has worked with companies like Tata Motors – Commercial Vehicles (Spare Parts &amp; Services Division), Ashok Leyland, International Tractors Ltd. (Sonalika Tractors), Fleetguard Filters, JK Fenner (India) Ltd., TVS Motors and Royal Enfield to set new industry benchmarks in operational performance in different areas of business.

With the 'pull' replenishment-based model for distribution in the spares business, the company achieved: Daily availability of spares at 91%, and inventory days were down by 50%!

Ashok Leyland - Spares Parts Division

Ashok Leyland - the flagship company of the Hinduja Group - is a leading manufacturer of trucks and buses in India. Renowned for engineering vehicles that deliver superior performance, reliability and uptime, the company has consistently redefined standards in the commercial vehicle industry. A key part of this commitment is ensuring the ready availability of genuine LEYPARTS® across its nationwide sales and service network. However, with a portfolio of 90,000+ spare parts, and a network of close to 1,200 touchpoints supported by 600+ vendors across the globe, ensuring high parts availability while controlling inventory had become an enormous challenge.&nbsp; To address this, Ashok Leyland partnered with Vector Consulting Group to transform its spares supply chain by implementing SPARKFLOW - a consumption-driven, pull-based replenishment model. Replacing the conventional forecast-based system with SPARKFLOW, the company integrated its supply chain end-to-end, enabling automatic replenishment across about 500 vendors, four plants, four warehouses and around 540 channel partners. Since implementation, the spares business has consistently delivered daily parts availability at service dealers and distributors while reducing inventory. &nbsp;The SPARKFLOW process also improved schedule adherence, reduced transportation costs and firefighting, and freed up the sales team from monthly order planning, allowing them to focus more on serving customers and driving business growth at over 25% CAGR. &nbsp;It enhanced the productivity of the service centres by reducing turnaround time and enabling two vehicles to be serviced from each bay in a day. &nbsp;&nbsp; The following were some of the significant benefits realised:

Case study: Learn how Ashok Leyland replaced forecast push with pull replenishment to slash working capital cycles and drive 25%+ CAGR growth.