supply chain innovation - supply chain and logistics
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Supply Chain Innovation
B R I S T L E C O N E L A B S
Veera Senthil AthibanVice President, APAC
Veera.athiban@bcone.com+65 9489 8720
2We are part of Mahindra group
Founded in 1945 and driven by the core idea of “Rise”- Challenge Conventional Thinking, Innovatively Use our resources and Enable People to rise.
Mahindra Aerospace & defence
Mahindra Aftermarket
Mahindra Automotive
Mahindra Farm equipment
Mahindra Financial services
Mahindra Hospitality
Mahindra IT services
Mahindra Partners
Mahindra Real estate
Mahindra Two wheelers
WE ARE ACROSSTEN SECTORS
100+Countries
20Industries
10Sectors
2,00,000 Employees
$19 B Revenue
3We are the most advanced supply chain consulting company in the world
Founded in 1998 to help businesses maximise the strategic value of their supply chains leveraging enterprise software
2000+Largest Pool of Consultants
Global Presence
300Accelerators & Solutions Industry Specialization
▪ Hi-Tech & Semiconductor
▪ Consumer Products
▪ Chemicals & Pharmaceutical
▪ Automotive Manufacturing
▪ Discrete Process Manufacturing
Part of
$21 Billion
Mahindra GroupUnited States, Switzerland, Germany, India, Malaysia, Singapore, UAE, Sydney
4Sample Clientele
5Bristlecone in South East Asia
© 2017 BRISTLECONE | 6Future of Work – Supply Chain Perspective
Difference between “Planning” And “Execution” will diminish and disappear over time …
No more “Demand Planners” / “Supply Planners” … only “Supply Chain Managers”
Majority of Indonesian companies are not using even data they already have … suffer from poor forecast accuracy
1
2
3
Innovation and analytics
C O N S U M E RP R O C U R E M E N T M A N U F A C T U R I N G I N V E N T O R Y M G T D I S T R I B U T I O N O M N I C H A N N E L
Extended Supply Chain
Analytics
Spend Analytics S&OP Analytics Financial Supply Chain Analytics
© 2017 BRISTLECONE | 8CASE STUDY : Auto Replenishment based on Weight
A U T O R E P L E N I S H M E N T W I T H S A P H C P
• Extending the efforts of our SAP Hackathon winners, we have built a prototype detecting real time change in weight of the product/shelf and triggering auto replenishment.
• Technologies - SAP S4 HANA, HCP, IoE.
• A mobile application which enables auto replenishment when safety stock level is reached leveraging analytics on POS and historical data. The store/ field sales were also enabled to take better informed decisions about the optimum order quantity
3 weeks for Rapid Prototyping
USE CASES
• Inventory• Retail
Deriving Insights from Unstructured Data
T E X T
P R E - P R O C E S S I N G
B U I L D C L A S S I F I C AT I O N A L G O R I T H M S
C O N V E R S I O N T O S T R U C T U R E D D AT A
• Apply Machine Learning techniques to free text data in Purchase Orders to do auto
classification and extraction of insights
• Make in consumable through an app
COPYRIGHT © 2016 BRISTLECONE
THE NEED FOR INNOVATION IN SUPPLY CHAIN
10
C H A L L E N G E S S U P P L Y C H A I N I N N O V A T I O N
› Siloed or project driven view to business problem solving
› Business usually needs to define every problem and create a project business case before it can be leverage the power of analytics
› Missing Business view to Analytics strategy
› High lead times with an IT quagmire of system of record, EDW, Data Marts, BI tools, analytics tools
› High costs & low value of analytics projects
› Provide constructive and relevant insights to business decisions
› Proactively solve point business problems
› Contribute to enhancing top line and optimizing bottom line and ensuring new business models
› High business value
› Reduced time to market with data platforms
› Cost Optimized
By 2018, 75% of technology-oriented Business Intelligence Competency Centers will have evolved into strategy-oriented Analytics Centers of Excellence to focus on information value generation – Gartner, 2016
COPYRIGHT © 2016 BRISTLECONE
INNOVATION & VALUE DELIVERY PROCESS
11
P R O B L E M
I D E N T I F I C A T I O N
P R O B L E M
A N A L Y S I S
P R O J E C T
P O R T F O L I O
P R O J E C T
E X E C U T I O N
COPYRIGHT © 2016 BRISTLECONE
PROBLEM DEFINITION
12
PROBLEM– Identification
RE
AC
TIV
E
1. Customer team defines pain points
2. Clear problem definition
3. Input & output identified
4. Impact Assessment done
PR
OA
CT
IVE
1. Bristlecone team analyses business and highlights unknown areas
2. Bristlecone team builds definition, inputs & outputs
3. Conduct PoC/Pilot to prove value
4. Full Scale deployment
PROBLEM– Analysis, Interconnect Pain Points & Interdependency
SUPPLY CHAINFUNCTION
SUPPLY CHAIN PLANNING & EXECUTION
SOURCING & PROCUREMENT
Customer SegmentationSupply Network Planning
Customer’s Customer
Field Force Performance
Distribution Planning
Global SourcingCapex Tooling Cost
Commodity Buying Plant Supplier Co-location
COPYRIGHT © 2016 BRISTLECONE
PROJECT PORTFOLIO
13
PROBLEM – Selection & Prioritization
C o m p l e x i t y ( C )
Va
lue
(V
)
LOW HIGH
HIG
HL
OW
R1R4
R2R3
Sales Force Analytics
Energy Analytics
Quality Automation
Financial Reporting
Audit
Supply Network Optimization
Market Product Mix
V-C Region DEFINITIONPRIORITY OF
ACTION
R1High Value,
High Complexity
Priority #3 –
High Impact
R2Low Value,
High Complexity
Priority “Back Burner”
R3Low Value,
Low Complexity
Priority #2 –
Low Hanging Fruits
R4High Value,
Low Complexity
Priority #1 –
Easy Wins
COPYRIGHT © 2016 BRISTLECONE
EXECUTION ECOSYSTEM
14
Systems
Business Context
Data
INDUSTRY/PROCESS SME BUSINESS STAKEHOLDER IT STAKEHOLDER
TRANSACTIONAL SYSTEM THIRD PARTY SYSTERM ENTERPRISE DATA WAREHOUSE
FINANCE HR INVENTORY SUPPLIER CUSTOMER
CU
ST
OM
ER
EC
OS
YS
TE
MC
OE
TE
AM
COE MANAGEMENTINPUTS
1. Agile Methodology
2. Knowledge Repository
3. Risk Management
4. Innovation
5. Best Practices
CO
E F
UN
CT
ION
S
1. Problem Identification & Prioritization
2. Hypothesis Based Approach
5. Impact Assessment
6. User Enablement
DATA SCIENTIST
DATA ENGINEER
BUSINESS ANALYST
SOLUTION ARCHITECT
D A T A S C I E N T I S T
D A T A E N G I N E E R
B U S I N E S S A N A L Y S T
S O L U T I O N A R C H I T E C T
U X D E S I G N E R
D E V E L O P E R S
E N T E R P R I S E T E A M
S M E s
Core Team Flex Team
On Demand
Augmentation
3. Solution Development & Validation
4. Solution Rollout
COPYRIGHT © 2016 BRISTLECONE
KEY ATTRIBUTES
16
Proactive Problem SolvingContinuous
Value EnhancementsTechnology Agnostic Core + Flex
Managed Service Full Spectrum Operationalize DevOps
i. Discover and understand problems proactively
ii. Resolve pain points before Signiant impact on business
i. Building business use cases with customer team
ii. Analytics though leadership (Domain + Technology)
iii. Rapid Prototyping & PoC
iv. Research & Innovation
i. Analytics - Descriptive, Diagnostics, Predictive, Prescriptive, Cognitive & Robotics Process Automation
ii. End to End Supply Chain –Planning, Procurement, Inventory Management, Manufacturing, Distribution & Customer
i. Enterprise Scalable solutions
ii. Standardized & Repeatable
iii. Maintainable
i. Agile Methodology
ii. Maximize Automation
iii. Continuous collaboration & common goals between Dev & Ops
i. CoE supported by larger Bristlecone Ecosystem of skills and technologies
ii. Flex skill resourcing to accommodate new requirements
i. Core team works on long term horizon to ensure knowledge retention, best practices and deep understanding of customer’s business
ii. Flex team to execute project portflio
i. Bristlecone’s Proprietary Data Platform – NEO™
ii. End to End managed analytics ecosystem
Bristlecone Analytics Snapshot
COPYRIGHT © 2016 BRISTLECONE
SELECT SUCCESS STORIES
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PLANNING MANUFACTURING INVENTORY DISTRIBUTIONPROCUREMENT
WORK DONE
VALUE DELIVERED
Analytics on energy consumption and benchmarking of ice cream factories across globe.
Improved Operational Equipment Efficiency across factories
Consumer goods company, headquartered in Europe
Global e-commerce company, headquartered in US
Driver based Demand Forecasting
Average 28% improvement in forecast accuracy of 100K fast moving SKUs
Simulation and Prescription based procurement solution for commodity purchases
Expected outcome – increase in NPAT – 10 BPS
Leading Glass & Ceramic manufacturer for industrial and scientific use
Inventory classification, stock repositioning and distribution center network planning
Expected savings of USD 3 to 5 Million per annum
US based manufacturer & distributor of durable medical equipment
IoA solution to monitor & optimize energy spend of critical manufacturing equipment
5% annual savings on energy bills (Electricity & Diesel) per Foundry Furnace
Indian multinational automobile manufacturer(World’s largest tractor maker)
COPYRIGHT © 2016 BRISTLECONE
ANALYTICS COMPETENCY AT A GLANCE
19
DATA & INFORMATION MANAGEMENT
DATA DISCOVERY & VISUAL ANALYTICS
ANALYTICS ON SAP HANA ADVANCED ANALYTICS
1. Enterprise Data Warehousing2. Reporting & Dashboarding3. Business Insights4. Data Marts & Data Lakes5. Master Data Management & Governance6. Data Quality7. Data Integration
1. Business Insights2. Visual Analytics3. Data Discovery4. Self Service BI Enablement
1. SAP BW on HANA2. HANA Side Car3. Custom Analytics Applications on HANA4. Pre built Analytics Applications on
HANA
1. Analytics CoE2. Point Problem Solutions3. Data Science Solutions
BW, Business Objects, MDM, MDG, Data Services
OBIEE, BI Apps, ODI
MDM
• SAP HANA
• SAP BW on HANA
• HANA Cloud Platform
• BusinessObjects Cloud
• HANA Live
• R
• SASPython
• Java
• Data Science & Big Data Ecosystem
© 2017 BRISTLECONE | 20TRACK & TRACE
Automated traceability in parts of assembly
Assembly TraceabilitySupplier Visibility
Location & Inventory Status of Assets at Supplier
Inbound Logistics
Movement & Inventory of Trailers in the Yard
Material Handling
Movement & Inventory of Material in the Factory
ProblemJIT production line delays due to lack of material visibility inside the factory and in its joint supply chain
NeedReal-time location and inventory tracking of raw material and WIP
Solutionwireless solution for location visibility at suppliers and OEM factory to returnable containers & material
ValueAsset Utilization and 100% supplier visibility, identify leads & lags in your SCM
• S4/HANA
• UI5 & HTML5
• OData Services
Technology Landscape
• Ariba Integration
• Redrawing User Interface with UX Expert
• Voice Interaction (Alexa or native)
• Messaging Platforms (FB, Slack, Skype…)
• Bots -> Assistants -> AI
Planned Enhancements
ENTERPRISE CHATBOT FOR SAP PROCUREMENT – UI & TECHNOLOGY SCENARIO © 2017 BRISTLECONE | 26
© 2016 BRISTLECONE 22RPA to IA
Intelligent Automation
Robotic Process Automation
S C O P E
M AT U R I T Y
T Y P I C A L C O S T S
T Y P I C A L T I M E L I N E
Repetitive,
rules-based
Maturing
Lower
Weeks
Knowledge
intensive
Emerging
Higher
Months
Assuming all other factors remain the same,
• 1 ton increase in avg. production increases consumption by requires 460 GJ
• 1 degree increase in avg. temperature increases consumption by 300 MJ
• 1 ton increase in waste (inefficiency) corresponds to 120 MJ more energy
• Analyze sensor data to determine key drivers of energy
consumption & waste
• Recommended strategies to determine energy benchmark
for plants & take corrective action
MACHINE RELATED
PRODUCT RELATED
LOCATION RELATED
PROCESS RELATED
› Age of the
machinery
› Machine
spec/brand
› Product mix
variance
› Weather › Non-
compliance
› Utilization
SUSTAINABILITY ANALYTICS © 2017 BRISTLECONE | 123
Bristlecone CoE Snapshot
COPYRIGHT © 2016 BRISTLECONE
SELECT SUCCESS STORIES – CENTER OF EXCELLENCE
Spend Analytics CoE Development CoE Integration CoE Supply Chain Planning CoE
• Supplier Consolidation, Purchase Price Variance, Model Level Cost Analysis, Commodity Price Simulations
• Analytics driven procurement process redesign. Technology coverage - SAP HANA, Qlik Sense & R
• Offshore factory covering - EDI, NetSuite, Integration Testing, Setup of Trading Partners, Map Development, Production Monitoring & Analytics
• Scalable model for 170+ SAP & Non SAP integrated applications catering to requirements of 40+ countries
• Global integration landscape -1300+ interfaces, integrating 40 applications, 480+ warehouse, 450+ factories
• SC Planning CoE focused on increasing SC efficiency by using real time information for planning and collaboration
• Onshore delivery center in KSA and extended support from multiple offshore locations
SOLUTION HIGHLIGHTS SOLUTION HIGHLIGHTS SOLUTION HIGHLIGHTS SOLUTION HIGHLIGHTS
BENEFITS BENEFITS BENEFITS BENEFITS
1. YoY savings of 0.5% to 1% on an annual spend of USD 4.2 Billion
1. 99% SLA Adherence
2. 99% Service Availability
3. 100% customer satisfaction
1. 700+ based interfaces re-engineered to 250 SAP PI Interfaces
2. Highly optimized design with 99.99+ Error Free Transmissions
3. Global 24*7 support with no unplanned downtime
1. Demand accuracy increased to 89% from 62%
2. 89% reduction in unplanned stock generation in certain product category (flat metal products)
© 2017 BRISTLECONE | 27Contact details
Veera Senthil AthibanVice President, APAC
Veera.athiban@bcone.com+65 9489 8720
Thank You!
U N I T E D S T A T E S . C A N A D A . U N I T E D K I N G D O M . G E R M A N Y . S W I T Z E R L A N D . D U B A I . I N D I A . M A L A Y S I A . S I N G A P O R E
©2016 Bristlecone Ltd. Bristlecone believes the information in this presentation is accurate as of the presentation date. The information is subject to
change without notice. Bristlecone acknowledges the proprietary rights of the trademarks and product names of all companies mentioned herein.
All Rights Reserved.
10 Almaden Blvd, Suite 600, San Jose CA 95113.
+1 650 386 4000 +1 408 920 7793 www.bcone.com
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