JAN 16.Awards_SCP_v6 1/8/07 TOP 5:50 PM Page 16 10 BY ALLISTON ACKERMAN Supply Chain Planning 1 SAP 1 The temptation for small to midsized businesses is to implement a quick-fix point solution as each new business process problem comes to the fore, and each functional department cries out for a remedy. SAP customer Johnsonville Sausage LLC took the long-term view, knowing that what it really needed was not a series of ad-hoc fixes but a suite of integrated processes, so that its vital fuel –– information –– flows freely and quickly, everywhere it is needed. Integration leverages a potentially broad ecosystem of partners –– other internal departments, customers, suppliers, and vendors –– to facilitate collaboration. Johnsonville Sausage recently went live on SAP APO (Demand and Supply Network Planning) and is currently implementing SAP R/3 to completely replace legacy and other best of breed applications. The result will be increased operational productivity and information transparency, leading to greater efficiency, control and, ultimately, customer satisfaction. 2 C OMPA N Y / WE B S I T E S E L E C T C U S TOME R S SAP General Mills Kimberly-Clark, Procter & Gamble www.sap.com 2 JDA Software Group www.jda.com 3 Oracle www.oracle.com 4 JDA SOFTWARE GROUP Logility www.logility.com Using JDA Portfolio collaborative solutions since 2003, Pharmavite LLC can take an active role in the planning, forecasting and replenishment processes at three of its top collaborative customers. Together they are ensuring that the right Nature Made, OLAY Vitamins and Nature’s Resource items are in stock 99 percent of the time. “By having the right product at the right time on our retail customers’ shelves, we can eliminate excess safety stock, plan at a more targeted level and keep the focus on the consumer,” explains Art Karrer, who serves as manager of customer collaborative processes for Pharmavite. “With the support of JDA solutions, we’ve been able to maintain quality service levels, while still reducing inventory and keeping our customer happy.” Karrer and his team are keeping collaborative customers, including Rite Aid, CVS and BJ’s Wholesale Club, happy with these combined results: Improved inventory turns by 30 percent to 50 percent; decreased weeks of supply by 30 percent to 50 percent; improved initial fill rates by 2 to 7 percentage points; improved on-time deliveries by 2 to 4 percentage points. 5 Terra Technology www.terratechnology.com 6 7 i2 Technologies Miller Brewing Company Procter & Gamble VF Services Inc. Alcoa Atari Thermos Brown Shoe Company L’Oreal VF Corporation Campbell Soup Company Georgia-Pacific Procter & Gamble www.i2.com Anheuser-Busch PepsiCo VF Corporation Blue Agave Software Inc. Coty Inc. www.blueagavesoft.com 3 ORACLE In the late 1990s, company growth and strategies to improve business efficiencies and performance required Otis Spunkmeyer to take a new look at planning and forecasting capabilities. At the time, Otis Spunkmeyer was using a slow, manual process for forecasting and analysis. This method could not handle the extensive number of SKUs and locations involved in the planning analysis. The baked goods manufacturer chose JD Edwards EnterpriseOne Advanced Planning software from Oracle to help improve forecasting, tighten the window for production planning and speed and automate planning data input. Using advanced planning capabilities inherent in the tool, Otis Spunkmeyer now benefits from enhanced forecast and flow rate accuracy, time savings in production planning, targeted cost savings in production, distribution and commodities purchasing, and dramatically reduced data entry time. 8 Infor www.infor.com 9 Prescient www.prescient.com 10 Jesta I.S. www.jestais.com Molson Valvoline Dreyer’s Ice Cream Russell Stover Cole Haan Staurt Weitzman Union Bay BREAKOUT WINNERS CUSTOMER EXPERIENCE SMALL/MIDSIZE BUSINESS “Terra Technology’s Real-Time Forecasting is delivering as promTerra Technology ised,” says Dick Clark, associate director, demand planning for JDA Software Group Procter & Gamble (P&G). “Since implementing RTF in our lead business, forecast error has dropped Oracle more than 30 percent. Improving forecast accuracy and decreasing inventory are critical business objectives for P&G. Terra has deep knowledge in supply chain planning. They have provided not only a technical solution, but also helpful insight on planning and inventory management. An additional plus is that they are a pleasure to work with.” Small and medium-sized Oracle customers across a broad range of industries — like ABC-Mart, Blue Nile, Master Lock, Otis Spunkmeyer (see above story), SAP Thermos, among many others — can leverage one of four supply chain management product lines to address their Jesta unique requirements across procurement, order management, manufacturing, product lifecycle management, maintenance, logistics and supply chain planning and execution. 1 2 3 1 2 3 Oracle >> “CLARKSTON CONSULTING FOR UNBIASED RECOMMENDATIONS & BUSINESS SAVVY.” >> “COGNOS ENABLES THE ABIILITY TO PULL SALES REPORTS ON 16 | CONSUMER GOODS TECHNOLOGY | JANUARY 2007 | www.consumergoods.com