The future of play
The future of play
CLIENT STORY

The future of play

KPMG helped a global toy manufacturer become agile and customer-centric with an innovative demand planning solution and future-forward business processes.

Client
A global toy manufacturer
Sector
Consumer and retail
Project
Creating an agile and responsive supply chain
  • Client challenge
  • Benefits to client
  • Approach
  • KPMG insights

Client challenge

The world of play has changed dramatically in the past decade. The advent of the iPad™ and the rise of digital and mobile gaming has transformed how children play, while online shopping and influencers have altered how, when, and where consumers learn about and purchase toys. 

Given these realities, this toy company explored innovative demand planning solutions for its signature brands. Simultaneously, the company looked for future-forward business processes and IT systems to establish the more responsive supply chain model it needed to serve over 50 global markets from multiple manufacturing plants and partners through a variety of traditional retail, new e-commerce, and direct-to-consumer fulfillment models. 

KPMG’s support in redefining their supply chain planning processes will help our client as they create the future of play in the digital world.

Benefits to client

By building a truly customer-centric supply chain that anticipates demand and balances supply across various fulfillment channels, this company is well-positioned to be responsive to customer demand while reducing inventory and improving delivery performance. KPMG helped this client:

  • improve on-time and in-full targets
  • increase manufacturing schedule adherence
  • reduce planning cycle time
  • leverage historical information and trends to anticipate future demand
  • align manufacturing with actual performance on the shelf and online much more quickly
  • reduce raw materials and finished goods stock in the supply chain
  • improve customer service and responsiveness.

Approach

Our client responded to shifts in media consumption and online shopping by seeking a cutting-edge supply chain model. With an advanced solution, it could increasingly support the expanded role of e-commerce and be more responsive to customer shopping patterns and demand variability.

KPMG worked with the company to harness consumer insights and market intelligence to anticipate future demand. We also worked together to create a more nimble supply chain that could be increasingly responsive to demand changes and trends. One key component was re-evaluating the company’s end-to-end planning process.

We developed a proprietary tool that allowed for rapid innovation and iteration of the new planning processes and design parameters. An excellent example of agile deployment in action, the team made numerous adjustments to the planning process and parameters during a six month pilot of the new operating model.

The pilot proved our client could enhance the operating performance of the business through a new planning paradigm. KPMG subsequently assisted in selecting and deploying a modern supply chain planning technology solution and global supply chain control tower.

KPMG insights

Thinking forward for tomorrow’s supply chain

Adaptive and agile learning is vital to a business’s future success. A customer-centric supply chain is one designed with flexibility in mind to evolve as customer needs and business models change.

The right business partner can bring new opportunities to life

To create lasting change and improvement in an organization, companies need to think beyond their normal practices. Bringing in outside teams with fresh perspectives and years of industry experience can help identify new challenges and opportunities that might not have been considered otherwise.

For rapid innovation and iteration of new planning processes and design parameters, we used a proprietary KPMG tool.

 

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