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- Industry: CPG / Cosmetics.
- Revenue: US$9.00 billion.
- Key Challenges: Multi echelon Inventory Management, Safety stock planning, Economic Order Quantity (EOQ), COGS (Cost of Goods Sold) improvements.
- Strategic Supply Chain Goals and benefits:
- Enable interregional multi echelon Inventory optimization, customer service and overall supply efficiency.
- A strong foundation for global Supply Network and sustainable Supply Chain improvements.
- Better distribution lot-sizing strategy at all the separated "Island" of business processes and systems to one Supply Chain ECO system.
- Reduce Overall roadmap complexity by taking out many Legacy systems.
- Operating Model Alignment for Supply Management
- Find the correct balance between Safety Stock, Cycle stock and in-transit stocks.
- Optimal time-phased safety stock in form of Safety Stock (quantity) and Safety days.
- SAP and Other Modules Used:
- SmartOps Inventory Optimization.
- SAP Enterprise Central Component (ECC) 5.0.
- SAP SCM/SNC (Supplier Network Collaboration).
- SAP SCM/APO DP (Advanced Planner and Optimizer - Demand Planning).
- SAP SCM/APO SNP (Supply Network Planning).
- SAP SCM/APO PP/DS (Production Planning / Detailed Scheduling).
- Regional Scope and phases: North America, Europe and Asia. This global roll-out was in three different phases each further subdivided into 2 deployment phase.
- Key Performance Indicators Improved:
- Inventory Turns, Customer Service, Obsolesces, COGS