Free consulting proposal template
A consulting engagement proposal with the client situation, objectives, a phased approach, deliverables, team, a fees table and terms. Use it to win and scope a consulting project.
What's in this template
Proposal: Inventory and Working Capital Improvement
Prepared for: Mr Suresh Patel, Managing Director, Shreeji Polymers Pvt. Ltd., Ahmedabad
Prepared by: Meridian Advisory LLP, Mumbai
Date: 1 October 2026 | Valid until: 31 October 2026
1. Our understanding of your situation
Shreeji Polymers makes moulded plastic components for the automotive and appliance industries from two plants in Sanand and Vatva, with annual revenue of ₹245 crore. Over the past two years, revenue has grown 22%, but inventory has grown much faster, from 48 days to 79 days of sales. Around ₹53 crore is now tied up in raw materials, work in progress and finished goods.
In our meeting on 24 September, you and your CFO, Ms Rina Shah, described the effects:
- The working capital limit with your bank is nearly fully used, delaying the planned new moulding line
- Plants run short of some resins while holding six months of others
- Finished goods for discontinued customer parts are filling the Vatva warehouse
- Planning is done in spreadsheets, and sales forecasts are not shared with purchasing
2. Objectives
This engagement will help Shreeji Polymers:
- Reduce inventory from 79 to 55 days of sales within nine months, releasing about ₹16 crore of cash
- Keep on-time delivery to customers at or above the current 94%
- Put in place a monthly sales and operations planning (S&OP) process owned by your team
- Set clear stock policies for every raw material and finished good
3. Our approach
We propose a 16-week engagement in three phases.
Phase 1: Diagnose (weeks 1–4)
- Analyse 24 months of sales, production, purchase and stock data from your Tally and plant systems
- Classify all 3,100 SKUs by value and demand pattern (ABC analysis by value, plus demand variability)
- Identify slow-moving and obsolete stock and its value
- Interview sales, planning, purchasing and plant teams at both sites
Phase 2: Design (weeks 5–9)
- Set reorder points, safety stock and order quantities for each SKU class
- Design the monthly S&OP meeting cycle, roles and dashboard
- Agree a plan to sell, rework or write off obsolete stock
- Review supplier terms for the top 15 resin and packaging suppliers
Phase 3: Implement (weeks 10–16)
- Launch the new stock policies in both plants
- Run the first three S&OP cycles alongside your team
- Train 20 planners, buyers and supervisors
- Hand over the dashboard and a playbook so your team runs the process on its own
4. Deliverables
| Deliverable | Phase | Timing |
|---|---|---|
| Diagnostic report with inventory baseline and savings estimate | 1 | End of week 4 |
| SKU stock policy model (Excel) | 2 | Week 8 |
| S&OP process design and dashboard | 2 | Week 9 |
| Obsolete stock disposal plan | 2 | Week 9 |
| Training sessions and S&OP playbook | 3 | Weeks 12–16 |
| Final report with results against targets | 3 | Week 16 |
5. Our team
- Vikram Rao, Partner (engagement lead): 18 years in supply chain consulting for manufacturing companies; former Head of Planning at a listed auto components maker
- Neha Joshi, Senior Manager (day-to-day lead): leads our inventory and S&OP practice; on site in Ahmedabad three days a week
- Aditya Kumar, Analyst: data analysis and modelling, on site full time during phases 1 and 2
6. Fees
| Phase | Duration | Fee (₹) |
|---|---|---|
| Phase 1: Diagnose | 4 weeks | 12,00,000 |
| Phase 2: Design | 5 weeks | 15,00,000 |
| Phase 3: Implement | 7 weeks | 18,00,000 |
| Total professional fees | 16 weeks | 45,00,000 |
| GST at 18% | 8,10,000 | |
| Total including GST | 53,10,000 |
Travel and stay outside Mumbai are billed at actual cost and capped at ₹3,50,000 for the engagement. We estimate the engagement will release about ₹16 crore of working capital, roughly 35 times the professional fee.
7. Terms
- Payment: 25% on signing, 25% at the end of each phase. Invoices are payable within 15 days.
- Client support: Shreeji Polymers will name a project lead and give access to data and staff as agreed in the week 1 kickoff.
- Confidentiality: all information shared is confidential and will be used only for this engagement.
- Ownership: all models, dashboards and reports produced belong to Shreeji Polymers on full payment.
- Changes: any change to scope will be agreed in writing, with its effect on fees and timing.
- Termination: either party may end the engagement with 15 days' written notice; fees are due for work completed.
8. Next steps
- Review this proposal and share any questions by 15 October 2026
- Sign the engagement letter
- Kickoff workshop at the Sanand plant, proposed for Monday, 2 November 2026
We look forward to working with you.
Vikram Rao, Partner, Meridian Advisory LLP
[email protected] | +91 98201 77345