Inventory Optimization
LNG Midstream
Value Enablement
Case Study · In Depth
Criticality-Led Inventory Optimization
Inventory levels were set by habit and history, not by what would actually happen operationally if a part ran out.
The Challenge
Stocked by Habit
Spares inventory had grown organically over years, with stocking levels based on 'what we've always kept' rather than what criticality actually demanded.
Our Approach
Led by Criticality
We re-ranked the entire inventory by true operational criticality and rebuilt stocking levels around that ranking — carrying more of what matters, far less of what doesn't.
The Result
30%
Working capital tied up in inventory dropped by 30% while coverage on truly critical materials actually improved.
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