agenda the supply chain challenge the isc solution what have we built? collaborative supplier...
TRANSCRIPT
Agenda
The Supply Chain Challenge
The iSC Solution
What have we built?
Collaborative Supplier Management
Agenda
The Supply Chain Challenge
The iSC Solution
What have we built?
Collaborative Supplier Management
SELLMAKE & MOVEDESIGN
The boundaries of the traditional Supply/Value Chain are no longer defined with any clarity due to reaction to increasing complexity
The Challenge of Disintegration
Suppliers
PLAN
Customers
BUYB2B Exchanges
(Converge,e2Open, etc.)
3PLs (TNT, DHL, Deutsche Post, UPS
Worldwide, Schenker-BTL, Exel, etc)
CEM/EMS(Flextronics, Solectron, etc.)
Channel Partners(Ingram Micro, C2000,
Computacentre, Techdata, ICL, GE Capital, WM Data, etc.)
SELLMAKE & MOVEDESIGN
PLAN
Suppliers Customers
CEM/EMS(Flextronics, Solectron, etc.)
BUYB2B Exchanges
(Converge,e2Open, etc.)
3PLs (TNT, DHL, Deutsche Post, UPS
Worldwide, Schenker-BTL, Exel, etc)
Collaborative capabilities
The opportunity comes from operating the connected Supply Chain as a collaborative entity
The opportunity
Channel Partners(Ingram Micro, C2000,
Computacentre, Techdata, ICL, GE Capital, WM Data, etc.)
Agenda
The Supply Chain Challenge
The iSC Solution
What have we built?
Collaborative Supplier Management
The intelligent Supply Chain Journey
The iSC Journey
Relationships Along the Supply Chain
Scope of Impact
WithinBusinessActivities
Traditional
Optimisation Integration
Integrated
Step 1: Integrate functions of theexisting supply chain
Step 1: Integrate functions of theexisting supply chain
BetweenBusiness
Functions
WithCustomers &
Suppliers
Collaboration
AcrossAlliancePartners
Synchronisation
Increasing C
apabilities, In
creasing B
enefits
The path towards iSC vision is an evolution from the traditional Supply Chain to the eSynchronised Supply Chain
Suppliers Manufacturers Distributors
Demand SignalDemand Signal
Step 1 - IntegrationThe focus is on the co-ordination of internal activities within the Manufacturer and the relationship is one-way
The intelligent Supply Chain Journey
The iSC Journey
Relationships Along the Supply Chain
Scope of Impact
WithinBusinessActivities
Traditional
Optimisation Integration
Integrated
Step 1: Integrate functions of theexisting supply chain
Step 1: Integrate functions of theexisting supply chain
BetweenBusiness
Functions
WithCustomers &
Suppliers
Collaboration
Collaborative
Step 2: Improve collaboration and control with vendors, customers
Step 2: Improve collaboration and control with vendors, customers
AcrossAlliancePartners
Synchronisation
Increasing C
apabilities, In
creasing B
enefits
The path towards iSC vision is an evolution from the traditional supply chain to the eSynchronised Supply Chain
Suppliers
Manufacturers
Distributors
DistributorsSuppliers
Demand SignalDemand Signal
Supply Signal Supply Signal
The focus is on the Manufacturer, Tier 1 Customer and Suppliers working together to optimize their Supply Chain by sharing information, making joint decisions, and using common tools and processes
Step 2 - Collaboration
The intelligent Supply Chain Journey
The iSC Journey
Relationships Along the Supply Chain
Scope of Impact
WithinBusinessActivities
Traditional
Optimisation Integration
Integrated
Step 1: Integrate functions of theexisting supply chain
Step 1: Integrate functions of theexisting supply chain
BetweenBusiness
Functions
WithCustomers &
Suppliers
Collaboration
Collaborative
Step 2: Improve collaboration and control with vendors, customers
Step 2: Improve collaboration and control with vendors, customers
AcrossAlliancePartners
Synchronisation
eSynchronisation
Step 3: Virtually Synchronise the supply chain across players into one logical enterprise
Step 3: Virtually Synchronise the supply chain across players into one logical enterprise
Web-Based Entrants
Web-Based Entrants
Increasing C
apabilities, In
creasing B
enefits
The path towards iSC vision is an evolution from the traditional supply chain to the eSynchronised Supply Chain
Customers
Contract Manufacturers
Customers
Suppliers ManufacturersDistributors
DistributorsSuppliersTier 2 Suppliers
Tier 2 Suppliers 3PL
Demand Signal
Supply Signal
This is an extension of supply chain collaboration where the collaboration extends up and down the Supply Chain to multiple suppliers and customers
Step 3 - eSynchronisation
Customers
Contract Manufacturers
Customers
SuppliersDistributors
DistributorsSuppliersTier 2 Suppliers
Tier 2 Suppliers 3PL
Demand Signal
Supply Signal
Kingmaker
The iSC VisionThe iSC concept is based on the premise that the Supply Chain ‘kingmaker’ will synchronize the planning processes with all Supply Chain partners
iSC Vision
Manage Information Not Assets
Be the Supply Chain King maker
Take control of the Supply Chain decision process
Out-source non-core capabilities (CEMs, 3PLs)
Collaboration Process integration more
important than technology integration
Own the customer/ supplier/ CEM/ 3PL – Trading Partners
Build Flexibility Not Capacity or Inventory
Build flexibility into the Supply Chain – postponement strategies
Have the infrastructure to respond to both external & internal forcesUse APS Technology
as an Enabler Implement the tools to support
the Supply Chain decision process – visibility across the Supply Chain
Have the technology to respond to both external & internal forces
Speed
Speed to Market Speed to Customer Speed to Change
12
3
4
5
iSC VisionThe 5 principles of intelligent Supply Chains
Agenda
The Supply Chain Challenge
The iSC Solution
What have we built?
Collaborative Supplier Management
Leading provider of B2B and Supply Chain solutions
Provides planning, execution and collaborative optimisation. iSC
uses: SCP, DP, CP-DC, CP-PC, TM and TO
ERP solution provider with large install base across many industries
Provides transaction backbone
Commonly used DB platform across industries
Provides database platform
Solution provider of collaborative design and change order
management
Provides collaborative design solutions supporting New Product Introduction and Design Change
Management scenarios
Overview Use in iSC
Solution provider for e-business software application
Pure ECommerce provides order management and monitoring
solution supporting Supply Chain Responsiveness scenarios
Leading Technology
Constrained Based
Supply Planning
Demand
Planning
Collaborative
Forecasts Mgt
Collaborative
Supplier Mgt
Order
Management
Transportation
Execution
Carrier &
Route Mgt
Transportation
Planning
Track &
Trace
Available To
Promise
New Product
Introduction
Order
Execution
Design Change
Management
Su
pp
liers
Cu
sto
mer
s
What is iSC?
Scenario ValueDescription
Collaborative Supplier Management
This scenario demonstrates how unforeseen supply constraints can be responded to rapidly and effectively by maximising the value of relationships with multiple suppliers
Design Change Management
New Product Introduction
This scenario demonstrates how the design change process can be streamlined through collaborative design
This scenario demonstrates how the design process for new products can be expedited through collaborative design
Supply Chain Responsiveness
This scenario demonstrates how unseasonal demand can be efficiently met through visibility of all manufacturing operations realized by running multiple strategies, enabling 3rd party to see demand with collaboration
This scenario demonstrates how unforeseen problems can be responded to rapidly and effectively within the supply chain, thus minimising the impact on customer service
Managing Infrastructure Flexibility
Managing Inventory Obsolescence
This scenario demonstrates the cross-regional deployment of inventory in response to a local decrease in demand due to the introduction of a new product by a competitor compan
Collaborative Forecast Management
This scenario demonstrates how accurate demand forecast can be generated with the full cooperation/ collaboration of internal and external parties in the sales channel
ScenariosCritical Supply Chain capabilities have been mapped against each of the 7 scenarios that are used in the iSC demonstration
New ProductIntroduction
ManufacturingInfrastructure
Flexibility
CollaborativeForecast
Management
Supply ChainResponsiveness
Design ChangeManagement
CollaborativeSupplier
Management
ManagingInventory
Obsolescence
Demand Planning 2-5% of sales
Production Planning 5-10% of production costs
Materials Planning 1-2% of inventory costs
Carrier & Route Mgmt. 10-20% of transport costs
Transportation Scheduling 5-10% of transport costs
Design to Specifications 5-10% of design cycle time
Concurrent Engineering 15-33% of time to market
Inventory Management 5-10% of inventory costs
Supplier Management 1-2% of inventory costs
Source: Accenture Supply Chain Value Assessment : High tech Industry
CollaborativeSupply Chain
Function
Intelligent Supply Chain Operations
Supply Chain Activity
Typical Benefit Range
Collaborative Demand and Supply
Planning
CollaborativeLogistics Operations
CollaborativeProduct Design
Collaborative Materials
Management
iSC Scenario
Quantifying the benefits of the iSC scenarios
Agenda
The Supply Chain Challenge
The iSC Solution
What have we built?
Collaborative Supplier Management
Respond to unforeseen supply constraints rapidly and effectively by maximising the value of relationships with multiple suppliers
Collaborative Supplier Management
Scenario Summary
This scenario demonstrates how unforeseen supply constraints can be responded to rapidly and effectively, by maximising the value of close relationships with multiple suppliers.
The objective of the scenario is to demonstrate how collaboration with suppliers enables a shortfall in available materials to be overcome allowing final planning to take place.
Final Plan
Produced
CustomerOrder
Entered
SCPSCP CP-PCCP-PC SCPSCP
Internet Enabled
Procurement Collaboration
Production Requirements
Planned
R/3R/3
OrderProcessing
Collaborative Supplier Management
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
iTec Customer services enter an order in SAP
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
The order details are passed to Supply Chain Planner (SCP) that analyses the current inventory and materials availability, and plans the materials requirements necessary to fulfil the order.
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
The materials requirements are posted on Collaboration Planner Procurement Collaborator (CP-PC) for the attention of iTec’s primary & secondary suppliers of the necessary goods.
CP-PC Web Browser CP-PC Web Browser
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
Seahorse logs on to CP-PC and their Material Promise. Due to a production fault, they cannot meet iTec full requirements.
CP-PC Web Browser CP-PC Web Browser
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
The iTec planning team receives the alert from Seahorse and immediately contact Dolphin to request an increase in supply relative to the initial proportional request generated in SCP.
CP-PC Web Browser CP-PC Web Browser
CP-PC Web Browser
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
Dolphin logs onto CP-PC. Receiving the alert, they are now aware of the situation and can update their supply position accordingly.
CP-PC Web Browser CP-PC Web Browser
CP-PC Web Browser
iTec
ActiveData
Warehouse
Primary Supplier - Seahorse Secondary Supplier - Dolphin
CustomerOrder
SCP
Material promises from both suppliers are sent back to SCP for final planning.
CP-PC Web Browser CP-PC Web Browser
CP-PC Web Browser