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- Industry: Consumer Packaged Goods (CPG).
- Revenue: US$30 billion.
- Key Challenges: Much needed Supply chain process improvements are limited due to current non supported aged systems and related deficiencies. Manufacturing integration is too complex.
- Strategic Supply Chain Goals and benefits:
- Leverage SAP SCM as Sales and Operational planning tool to support 120+ Supply chain planners in more then 20 European key locations.
- Central management of the 100K + SKUs.
- Enable SAP for automatic replenishment orders for 40K+ SKUs.
- SKU rationalization to reduce the number of SKUs from 100K+ to 70K.
- Create an effective weekly Master Production Schedule for 145 DCs, Plants, 3PLs, vendors.
- Move away from today's closed loop integration with manufacturing and transform to Demand Driven Supply Chain.
- Provide increased manufacturing and distribution flexibility to markets and customers.
- Adopt lean manufacturing approach.
- Rate based shipments and cyclic planning.
- Manage Supply chain by exceptions.
- SAP Modules Used:
- SAP Enterprise Central Component (ECC) 5.0.
- SAP SCM/APO DP (Advanced Planner and Optimizer - Demand Planning).
- SAP SCM/APO SNP (Supply Network Planning).
- i2 - J.D Adwards
- Regional Scope and phases: Europe and North America. Implementation in two different phases.
- Key Performance Indicators Improved:
- Production/Schedule Adherence, Inventory Days of Sale, Days in Inventory, Inventory Days of Production, Obsolescence, Customer Service.