About this Presentation
TOC Replenishment applied to Retail is a quantum leap from the Manage by Forecast (MBF) mode of operation. Turns are improved, throughput rises, stock cost shrinks, cash-to-cash cycles improve - sometimes even becoming negative - and store operations are streamlined. However, there is a significant problem when switching to a demand-driven mode of operation: ideas guiding replenishment stem from demand, while all other vital decisions are made by forecasting, including pricing, mix, and new product introduction. When this dissonance happens, retailers fail to become truly responsive and develop a dual personality within their operations. In extreme cases, forecasting creeps back into replenishment in different guises. Since 2007, Humberto has been exploring the limits of what is possible when demand, rather than forecasts, drives businesses. We'll present the technical (statistical) and operational hurdles for expanding the demand-driven mode of operation and the logic behind overcoming those. In this presentation, he'll present a complete supply, mix, and pricing solution based on TOC and Demand. To illustrate the impact it can have on retailers, even when they've implemented the TOC Solution, we'll use actual data from a retailer to evaluate the potential improvements that broadening the scope of responsiveness can bring.
What Will You Learn
To help you get the most value from this session, we’ve highlighted a few key points. These takeaways capture the main ideas and practical insights from the presentation, making it easier for you to review, reflect, and apply what you’ve learned.
Differentiating products into categories such as 'fast movers' and 'the rest' can help focus attention and resources where they are most effective.
Adherence to a solution, or the degree to which a solution is applied as intended, can significantly impact its effectiveness.
Speed and response times are key factors in both line and support departments within a retail organization.
Instructor(s)
Humberto R. Baptista
Humberto R. Baptista is a strategic thinker, innovator, and Synergist, serving as CEO of Vectis Solutions. A recipient of the TOCICO Lifetime Achievement Award (2019), he has spent decades shaping how organizations think, decide, and perform. Humberto was a strategic advisor to Neogrid, a member of the TOCICO Board of Directors, and a senior figure in the Goldratt Group. He has led major Viable Vision transformations across sectors—from consumer goods and retail to manufacturing, services, and large-scale projects—delivering tangible, systemic breakthroughs. As a global educator, he has trained hundreds of TOC Viable Vision Application Experts and Project Leaders. Humberto is the creator of the Comprehensive Management methodology, designed to connect local actions with global consequences in real-world business systems. His current focus includes Comprehensive Management, TOC Principles, S&T-based implementations, advanced TOC Finance, and applying TOC to complex domains like retail, government, health, and education.
Ms Alka Wadhwa
Alka Wadhwa is an experienced consultant and process improvement expert with over 24 years of expertise in the Theory of Constraints (TOC), Lean Six Sigma, and organizational performance optimization. She has successfully led projects in healthcare, financial services, and manufacturing, driving significant improvements such as a 67% boost in hospital operations and a 140% increase in outpatient visits.
Previously, Alka Wadhwa spent 17+ years at GE Global Research Center, where she led initiatives to enhance various GE businesses through advanced technologies, process redesign, and system optimization. Founder of Better Solutions Consulting, LLC, she specializes in using TOC, Six Sigma, and data analytics to streamline operations and build high-performance teams.
Her work has earned her multiple accolades, including the Empire State Award of Excellence in healthcare.
Dr Gary Wadhwa
Dr. Gary Wadhwa is a Board Certified Oral & Maxillofacial Surgeon with extensive experience in the field. He completed his Oral & Maxillofacial Surgery training at Montefiore Hospital, Albert Einstein College of Medicine in Bronx, NY, and has served as an Attending at prestigious institutions like St. Peters Hospitals, Ellis Hospital, and Beth Israel Hospital in NY. With a career spanning over two decades, he was the former CEO and President of a group specialty practice in NY from 1994 to 2015. Dr. Wadhwa holds an MBA from UT at Knoxville, TN, and has undergone additional training in System Dynamics at MIT, Health System Management at Harvard Business School, and Entrepreneurship and healthcare innovations at Columbia Business School. Committed to expanding access to Oral & Maxillofacial Surgery care, he is currently engaged in a meaningful project to provide healthcare services to underserved populations in inner city and rural areas through non-profit Community Health Centers.