gary neights “putting material order variability in order”
TRANSCRIPT
Putting Material Order Variability in Order
Customer Management Breakout Session –
inSIGHT 2013
Presented by Gary Neights
Elemica’s Customer Management Suite
Touch-less order processing
Increase the “perfect order” percentage
Improved supply chain reliability
Reduces errors
Improved customer service
Faster invoice payments
Agenda
Elemica Insights on Customer Management – Direct research
• Surveys and user group • CCSMG (business chapter of ICSA)
– Secondary research (Gartner, Aberdeen)
Customer Management Overview Delivery Schedule Launch
People Value Automation
Holiday, sick days, and training coverage is easier with standard, automated processes.
Protects our business. Servicing more customers, more efficiently keeps us strong and profitable.
Frees up time for the important tasks like … • Product availability and allocation • Order growth and contract consumption analysis • Exchanges, swaps, tolls, and transportation • Maintaining customer data
Fewer orders miss cutoff times when they flow into automated work processes.
How do I automate all my customers?
Automation impacts different people in different ways…
Automation solves issues with incorrect product identifiers, getting orders inside cutoff times, and high fulfillment costs in our specialty business.
Elemica has solved the problem of smaller customers ordering with the wrong unit of measure.
My business sells commodity products. Automation fixes issues related to shipping the right product to the correct location on the right date.
This results in 30% order cycle time improvements, 8-9% improvement in on-time delivery and fill rates, and 75% fewer order entry errors.
Best practices to get there
Process Design • Automate the routine:
– Transactions (order, invoices) • Standard instructions to CMIR
– 24x7 portals • Status, trace, and reports
• Free up brain power
– Customer inquiries / training – Expedite special instructions – Exceptions / complex orders – Customer insight / relations
Process Enablement • People
– Management buy-in & budget – Staff motivation and skill set
• Process – Automate transactions – People manage master data – When to involve people
• ATP Accuracy
• Technology – Right tools for the job – Data integrity
The Elemica Supply Chain Operating Network
Analytics
Universal Business Concepts BI
Applications
Universal Business Concepts Rules Apps
Social UI
Discovery
Onboarding
Collaboration
Apply the Right Process
Derive Insight
Document Stream
Document Stream
Enterprise Systems of
Record
Enterprise Systems of
Record
Universal Business Concepts Network Master
Data Management Connectivity
Network Speak YOUR
Language
Automation Value
$
Process Enablement
$$
Market Insight
$$$
Order Automation
23-80% Automation Savings Order
Lower Error Correction Costs Data Keying Paper Handling Convert/Correct Data
Improve Agility in Operations
Missing order line Missing cut-off times
Better data quality
Better decision making Fewer downstream errors
$29.49 Cost of Manual Order
$5.99 Cost of Electronic Order
23%
80%
38%
Customer Management
Design Concept • Customers manage their business process in their system • Customer service manage their business process in their system • Elemica ‘standardizes and harmonizes’ the disparate processes • Internal IT focused on uptime, data accuracy, and process optimization
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EDI/XML Orders
Complexity
ERP Process-able Orders
Your Customers
Your Systems
Single Channel to Manage
QuickLink
Simplify and Standardize
Elemica Products
Customer Sends Seller Receives
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Sales Order Management ✔ ✔ ✔ ✔ ✔ ✔ Repeat Order Entry ✔ ✔ ✔
Vendor Managed Inventory ✔ OP OP OP ✔ ✔
Rail Car Fulfillment ✔ ✔ ✔
Delivery Schedule ✔ ✔ ✔ ✔
11 Variation and Complexity Simplicity
OP = optional
Delivery Schedule Value
AUDITABLE. Provides confidence and visibility to the business. “The interface requires no training!”
Network Master Data Management. Extends the power of SAP. Technology and business staff manage their supply chain settings.
Does the same base tasks as before… • Compares sequential delivery schedules • Generates order changes, and ship notices • VALUE = Automates error prone task
SHIPMENT PROCESSING. Eliminates duplicate shipments.
EASY UPGRADE PATH. Most customers on legacy systems are asking for small upgrade projects.
Major Application Upgrade
Ground Up Application Development On-line setup screens w/ default values Visibility – audit and research Improved functions
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Robust Functionality…
Ship Notice Integration Reference Value Processing Independence of Processing Logic Support for multiple “Order Cancel” triggers
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More Visibility…
Track “processing results” over time…
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1st DFC Created Order
2nd & 3rd DFCs Matched
4th DFC Changed Requirement
Auditable results
Transaction Visibility…
“Snapshot” of each processing event Captures:
– a) what happened – b) network MDM settings at the time of processing
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Summary
Foundational processing remains the same New Functionality, User Controlled Flexible Parameters, Increased visibility for tracking & troubleshooting
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