Overview

Leading company in the production of sauces, dressings, and beverages, Mega Alimentos has stood out in the food industry through its high-quality products both in Mexico and the United States. Proudly Mexican, it owns a plant and 11 distribution centers, becoming a reliable supplier for its customers.

In 2022, Mega Alimentos began implementing the DDMRP methodology within its complex supply chain with the goal of optimizing its operations and achieving significant results. This is a testament to the company’s commitment to excellence in supply chain management. Its innovative and proactive approach has allowed it to establish itself as a benchmark in the food industry. The implementation of DDMRP in Mega resulted in a series of notable achievements.

Challenges

SupplyDemandOperations
Development of tools to improve
communication with suppliers
Controlled replenishments due to
shelf life restrictions
Short demand visibility Horizon
Capacity constraints for certain materialsDevelopment of new execution toolsLacking agility in the short term
High variability for certain material familiesCollaborative forecasting with room for
improvement
Critical operations at risk in the production process

Results

  • 18% increase in service level reflected in OTIF (On-Time-In-Full).
  • Significant reduction in inventory days coverage in purchases, manufacturing, and distribution.
  • Reliable availability and stabilization of inventory.
  • Alignment of internal processes between production and sales.
  • Reduced planning time.
  • Sensitivity to continuous improvement with a focus on value generation.
  • Decoupling of the supply chain with reduced variability and disruptions in demand and supply.

Testimonials

"Very good initiative with tangible benefits in profitability, working capital optimization, and customer service."

Jorge Flores Taméz, CEO of Mega Alimentos

"We have implemented a more agile and efficient business model that enables us to exceed our customers' expectations by aligning production, commercial, and logistics processes. We have achieved having the right quantity, in the right place, at the right time."

Antonio Treviño Perez, CIO & SCM of Mega Alimentos

Application of the Demand Driven MRP model in the Food Industry – Antonio Treviño Pérez, CIO & SCM Mega Alimentos