CASE STUDY
Streamlining Supplier Collaboration for Enhanced Supply Chain VisibilityIndustry
Manufacturing – Consumer Durables
Ecosystem
SAP – Microsoft Outlook & Excel
Metrics
Streamlined Processes, Enhanced Visibility, Increased Agility, Improved Data Accuracy, Reduced Costs, Improved OTIF (On-Time In-Full) Deliveries
Business Challenge
A North American consumer durables manufacturer struggled with limited supply chain visibility across its manufacturers, distribution partners, and suppliers. This resulted in lost sales opportunities due to stockouts and delays, missed delivery SLAs (OTIF) due to supplier lead time delays and shortages, lack of real-time insight into in-transit raw materials, and inability to proactively plan production schedules due to limited visibility into procurement schedules and demands.
The organization needed a solution to improve supply chain visibility, mitigate lost sales opportunities, and improve OTIF deliveries.
Solution Implemented
The Karolium solution experts implemented a Supplier Collaboration Module tightly integrated with their SAP environment. This involved: This was a transformation enabler for S&OP (demand forecasting) that facilitated centralized procurement, supplier registration, and collaboration. This involved:
- Leveraging Partner Portals: Utilizing partner portals to gather real-time inventory status on POs, shipments, and ASNs, including in-transit raw materials.
- Exposing Procurement Schedules and Demands: Sharing procurement schedules and demands with suppliers to preemptively plan production schedules and improve forecasting accuracy.
- Manual ASN Upload: Allowing suppliers to upload ASN data in various formats.
- Automated ASN Integration: Integrating suppliers’ systems for automated ASN data flow.
- ASN Creation within the System: Creating ASN data in the system when a supplier cant.
- Full UI Data Maintenance: The module offered a comprehensive user interface for maintaining and updating ASN data, enabling the client to correct errors, add missing information, and track changes effectively.
- Centralized ASN Data: All ASN data was stored in a centralized repository within the system, providing a single source of truth for shipment information.
- Streamlined Shipping and Receiving: With access to accurate and timely ASN data, the client was able to streamline their shipping and receiving processes, improving efficiency and reducing errors. Processes such as execute shipping, full receiving, and partial receiving are supported.
Business Outcome
The Karolium Supplier Collaboration solution implementation, as a key component of the overall solution, transformed the clients Sales and Operations Planning (S&OP), and facilitated centralized procurement, supplier registration, and collaboration, reaping:
- Streamlined Processes: Improved efficiency in procurement and production planning.
- Enhanced Visibility: Real-time visibility into inventory levels and shipment status.
- Increased Agility: Improved responsiveness to changes in demand and supply.
- Improved Data Accuracy: More accurate data on inventory, shipments, and supplier lead times.
- Reduced Costs: Mitigation of lost sales opportunities and improved operational efficiency.
- Improved OTIF Deliveries: Enhanced collaboration and visibility leading to better on-time and in-full performance.
- Better S&OP Planning: Improved data and forecasting capabilities enabling better Sales and Operations Planning
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