supply chain and value chain planning
TRANSCRIPT
Supply Chain and Value Chain Planning
TCS and Oracle
2
Agility is critical for sales and operations planning and Agility has
been defined as “recalibration in the face of market, demand and
supply volatility while delivering comparable cost, quality and
customer service” (Lora Cecere)
Sales and operations planning
3
The challenge
Give the customer and dealer/retailer
What, When, Where
and
the Way they want
with proper
documentation
At…
the highest margin,
lowest cost and with
the maximum flexibility
Through…
the unknown
While…
disposing, introducing
and coordinating
4
S&OP renaissance
Many companies are embarking on S&OP improvement
initiatives to proactively manage and respond to changing
business conditions through new approaches, processes, tools
and capabilities
5
Aligned
Operational Plan
Corporate
S&OP Summary
The ‘traditional’ S&OP monthly process and operation
Supply Plans
Backlog Plans
Inventory Plans
Unconstrained
Demand Plans
SupplyPlanning
Planning
BOMs—
Components
Commodities
Financial
Targets
Financial Review
BU Consensus
Demand Planning
Forecast based on
Historical data and
Forecast
Bottom Up Sales
Planning
S&OPSupply Actions
Pipeline Inventory
ATP, Committed
Supply Position
Channel Inventory
Re-Plan
Changes to Demand
Plan
Unsolved
Issues
Key Participants
Sales
Operations
Global Planning
Product Line Management
Finance
Procurement
IT
Proposed
Operational Plan
MONTHLY PROCESS
6
Our assessments show few organizations
with an S&OP process improvement plan
Forecasts will be incorrect. Deviation from plans are certain. Supply will be disrupted. Demand will have variability. Inventory will be in the wrong place. Shipping and fulfillment costs will increase.
Yet few organizations have well defined processes and business rules to manage these, anticipate these, and respond rapidly.
Plans and execution must translate to results
BUSINESSRESULTSS&OP Process
Business Rules
Business Metrics
Interlock Processes
Supply Chain Execution
7
Aligned
Operational
Plan
The ‘enhanced’ S&OP process, flow and operationSynchronizing Supply and Demand—Proactive and Responsive
Corporate S&OP
Summary
Supply Plans
Backlog Plans
Inventory
Plans
Unconstrained
Demand Plans
SupplyPlanning
Planning
BOMs—
Components
Commodities
Financial
Targets
Costs
Analytics and
What-if Tools
Financial Review
BU Consensus
Demand Planning
S&OP
Supply Actions
Demand
Shaping
Actions
Pipeline Inventory
Ageing, Transfers
ATP, Committed
Supply Position
Channel Inventory
Customer Sites
Spares/After Market
Service Centers
Re-Plan
Changes to
Demand Plan
for What-if
Analysis
Unsolved
IssuesProposed
Operational Plan
MONTHLY PROCESS + WEEKLY INTERLOCKS + DAILY UPDATES
Forecast based on
Demand Triggers—
Orders, POS/Sell-
through/Contracts
Customer Signals
NPI and Marketing
Projections: Phase-
in/Phase-out
Bottoms Up Sales
Planning
Historical Data
Using Statistical Analysis,
Predictive Analysis Tools
Key Participants
Sales
Operations
Global Planning
Product Line Management
Finance
Procurement
IT
Channels/Customers/
Suppliers
Budgets
Financial
Plans
Supply Risks and
Mitigation
8
Recommendations - A quick summary
Intelligent Forecast using predictive analytics, consumption, demand sensing, sales inputs and
‘what-if’ modeling
Leverage dynamic S&OP + interlock processes
Ensure two-way involvement with supply network planning, global trade, logistics
and fulfillment strategy
Deploy an integrated suite of systems across the end-to-end supply chain
Establish an S&OP process which considers business model differences, customer segments, and
geographical differences
Promote collaboration and involvement with all functions, key suppliers, partners and channels with
appropriate and aligned metrics
Develop An upskilled skill sets of people in supply chain, execution, analytical concepts, and response
9
Tata Consultancy Services—Business performance
13.4 billion US$ in FY14 revenues *
1065 Clients *
55+ Countries where TCS has a presence
46+ years in business
300,464 Associates *
118 Nationalities *
97.4 % of revenues from repeat customers*
First Company in the world to be assessed at Level 5 for integrated enterprise-wide CMMi
Market Success – Revenues in US$ Millions
Source: Figures from TCS Analyst Report FY Q4-14, Employee count includes 300,464 employees in subsidiaries
0
5000
10000
15000
9899000102030405060708091011121314
10
TCS global network delivery model enables customer success
223 Offices worldwide, 145 Delivery Centers in 21 Countries
N. America
22
Iberoamerica
APAC
India
EuropeUK & Ireland
MEA
8
14 9
9 1
96 108
27 3 32 8
23 8
# of Regional Offices
# of Delivery Centers
Legend
Cincinnati (US)
GNDM™ Highlights
• One Global Service Standard for all Delivery Centers
• Access to global skills/talent
• Multi-lingual support for 33 + languages
• Scalability for future Growth
Phoenix (US)
Toronto (Canada)Hungary
Peterborough (UK) Germany
Luxembourg
China (3)
Singapore
AustraliaBrazil
Uruguay
Argentina
Mexico
Chile
Ecuador
Colombia
South Africa
MoroccoUAE Yokohama (Japan)
Midland (US)
North America Latin America UK & Europe JAPAN India APAC
• # Associates :
23,000+
• Languages :
English
• Over 425 Clients
• # Associates: 9000+
• Languages :
English, French,
Portuguese, Spanish
• Over 100 Clients
• # Associates: 12000+
• Languages: English,
German, French,
Spanish, Dutch,,
Portuguese, Italian,
Danish etc.
• Over 370 Clients
• # Associates: 1700+
• Languages: Japanese
• Japan ODC in Kolkota,
Pune, China
• Near-shore facility setup in
2002 at Yokohama
• Over 20 Japanese clients
• # Associates:
200,000+
• Languages: English,
Japan
• Over 400 Clients
• # Associates: 3500+
• Languages: English,
Mandarin, Thai, Malay,
Cantonese, Filipino
etc.
• Over 165 Clients
11
Oracle’s Priorities
S&OP/VCP Thought
Leadership (Process &
Metrics)
Process aligned to
Oracle Apps
End to End Solution
across all Oracle Apps
Solution customized
to client needs
Creative solutions to meet client
budget
Differentiated Solution
TCS value Proposition Aligned with Oracle Priorities
TCS is a Strategic Partner providing these key value differentiators
12
TCS Oracle VCP expertise
200+ VCP Consultants
75+ VCP Functional Experts
30+ Projects
6+ On-going
Engagements
Experience Capabilities Functional Areas and
Modules
Experience in
Manufacturing, Telecom,
Retail & CPG and Media
industries
Functional, Technical &
Administration skills and
Domain Expertise
Experience across all
geographies
Demantra– Demand Management
– Advanced Forecasting &
Demand Modeling
– Sales & Operations Planning
– Trade promotion Management
Advanced Supply Chain
Planning, Global Order
Promising, Collaborative
Planning, Production
Scheduling, Inventory
Optimization
Advanced Planning
Command Center,
Strategic Network
Optimization
13
End-to-end order capture to fulfillment flow for a B2B business
Support for complex purchasing requirements such as volume pricing, order
restrictions and workflow-based order approval
An integrated suite of systems across the end-to-end supply chain
Real time visibility of SKU positions
Platform to perform an accurate pan organization order scheduling
Central fulfillment monitoring across channels
Embedded intelligence to measure effect of supply decisions on cost and on-time
delivery metrics
Keys to an agile supply chain
14
Experience certainty.Tata Consultancy Services helps customers experience
certainty by reliably delivering business results, providing
leadership to drive transformation and partnering for success.
Experience
LeadershipExperience
PartnershipExperience
Results
TCS commitment