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- Industry: Industrial automation and Instruments.
- Revenue: US$6 billion.
- Key Challenges: Integration of cross functional Supply Chain areas across different business units and external partners.
- Strategic Supply Chain Goals and benefits:
- Strategic Collaboration, Sourcing, Procurement, Product Design.
- Merger and acquisition integration.
- Real-Time Supply Chain dashboards for Supply Chain KPI monitoring.
- Increased sales from getting new products & derivative faster to market.
- Common service parts management across different business units.
- Supply chain transparency from linking the full supply chain together.
- Improved visibility to supply and demand.
- Enhanced tools to establish stocking parameters and replenishment techniques.
- Increase consigned inventory.
- Reduce Inventory write-offs (1.4% of Avg Inventory - Benchmark).
- Utilize plant networks to leverage inventory and load level capacity.
- Reduced Plant Labor via improvements in local and network capacity and material management.
- Capacity and resource based order promising.
- Additional revenue from a global configurator.
- Lean Manufacturing & Continuous Improvement.
- Single SCM/ERP tool to provide increased labor efficiencies across the Product Development, Purchasing, and Manufacturing areas.
- SAP Modules Used:
- SAP R/3.
- 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).
- SAP SCM/SNC (Supplier Network Collaboration).
- SAP BW (Business Warehouse)
- Regional Scope and phases: North America. Five different phases.
- Key Performance Indicators Improved:
- Production/Schedule Adherence, Inventory Days of Sale, Days in Inventory, Inventory Days of Production, Obsolescence, Customer Service, OrderToMarket.