enabling supply chain optimization in the process industries
TRANSCRIPT
© 2003 i2 Technologies, Inc. CONFIDENTIAL
Enabling Supply Chain Optimization in the Process Industries
Enabling Supply Chain Optimization in the Process Industries
FOCAPO 2003January 14, 2003
Narayan VenkatasubramanyanDirector, i2 Technologies
FOCAPO 2003January 14, 2003
Narayan VenkatasubramanyanDirector, i2 Technologies
© 2003 i2 Technologies, Inc. CONFIDENTIAL
OutlineOutline
n Brief history of i2
n Supply Chain Solutions: A fundamental shift is under way
n What our customers are asking for in our solutions
n Solution Architecture
n i2’s Current Position
n i2’s Current Response
© 2003 i2 Technologies, Inc. CONFIDENTIAL
A brief history of i2A brief history of i2
Enterprise Supply Chain Management
Factory Planning
Beyond the enterprise …
© 2003 i2 Technologies, Inc. CONFIDENTIAL
The Fundamental Shift in Solution FocusThe Fundamental Shift in Solution Focus
Demand DrivenCustomer FocusedAdds Profit and Service Objectives
Supply/Manufacturing DrivenAsset FocusedCost and Utilization Objectives
Current Focus New Focus
Enterprise OptimizationSingle Unified EnvironmentCollaborative Environment
Functional OptimizationMultiple Disparate ToolsSingle User Domains
Emphasis on:Optimization based on global view Continuous Decision SupportEvent-based view
Emphasis on:Optimization based on local viewPeriodic re-planningCalendar-based view
© 2003 i2 Technologies, Inc. CONFIDENTIAL
Downstream Supply Chain ComponentsPlanning Horizon ViewDownstream Supply Chain ComponentsPlanning Horizon View
Commercial Commercial CustomersCustomers
Retail Retail CustomersCustomers
Crude Crude AcquisitionAcquisition
RefiningRefiningPrimary Primary DistributionDistribution
Product Product StorageStorage
Secondary Secondary DistributionDistribution
Trading & ExchangeTrading & Exchange
Tactical
Operational
Strategic
Integration PlatformIntegration Platform
INTEGRATED SUPPLY CHAIN PLANNING
REFINERYSCHEDULING
SUPPLY CHAIN NETWORK PLANNING
DISTRIBUTIONSCHEDULING
DEMANDMGT
DISTSCHED
© 2003 i2 Technologies, Inc. CONFIDENTIAL
SCM Architecture for Process IndustrySCM Architecture for Process Industry
Data & Integration PlatformData & Integration Platform
Plant Planning & Scheduling
Plant Planning & Scheduling
Frozen schedule
Event updates
Schedule updates
Transportation Management
Transportation Management
Schedule updates
Events, Orders, Inventory
Frozen schedule
Agreed supply and liftings
Reliability Rqmnts
Actual purchases and exchanges
Sup
plie
r C
olla
bora
tion
Sup
plie
r C
olla
bora
tion
Tra
ding
/ E
xcha
nges
Tra
ding
/ E
xcha
nges
Crude basket and value steers
Spa
res
Mgm
tS
pare
s M
gmt
Supply Chain PlanningSupply Chain Planning
Planned production and economic drivers
Planned distribution and economic drivers
OptimisedAllocations
Strategic PlanningStrategic PlanningSupply Chain Configuration Forecast
Netted forecast
HistoricalDemand
ProfiledForecast
Demand PlanningDemand Planning
DemandFulfilmentDemandFulfilment
Promises andPrices
Orders, ETAs
Dem
and
Col
labo
ratio
nD
eman
d C
olla
bora
tion
Order Collab
DemandCollab
© 2003 i2 Technologies, Inc. CONFIDENTIAL
i2 Solution Fit – ProcessTodayi2 Solution Fit – ProcessToday
MediumMediumMedium Low Low Low HighHighHigh
Demand Fulfillment
Strategic Planning
Plant Scheduling
Transportation and Distribution Mgmt
MetalsChemicals Paper
Plant Planning
Supply Chain Planning
Demand Planning
Oil & Gas
© 2003 i2 Technologies, Inc. CONFIDENTIAL
i2 Solution Fit – Processwith Planned Investmenti2 Solution Fit – Processwith Planned Investment
MediumMediumMedium Low Low Low HighHighHigh
Strategic Planning
Supply Chain Planning
Plant Scheduling
Transportation and Distribution Mgmt
MetalsChemicals Paper
Plant Planning
Demand Fulfillment
Demand Planning
Oil & Gas
Soln. Investment
© 2003 i2 Technologies, Inc. CONFIDENTIAL
Summary of i2’s CapabilitiesSummary of i2’s Capabilities
n We understand the problem and the solution direction
n We have a strong solution base in SCM today and understand the gaps
n We are committed to closing the gaps
“We [Shell and i2] are going to set the standard, bring in new capabilities and ultimately change the way the industry operates … this initiative has the potential to generate new value and drive savings to the tune of about $35 million a day [for the industry].”
Greg Lewin , VP Manufacturing, Supply and Distribution, Shell Europe Oil Products“Setting the Standard’’, PLANET Las Vegas, May 2002