SUPPLIER COLLABORATION PORTAL Case Study Anantara Solutions Private Limited the power of the continuum The information contained in this document is highly confidential and privileged. No part of this document may be copied or circulated without express written permission from Anantara Solutions Pvt. Ltd. This document is for discussion purposes only. Table of Contents Project drivers Project Objectives Supplier Collaboration Portal : Functionality Solution Architecture benefits for Client and Suppliers © Anantara Solutions Private Limited 2012. All rights reserved Project drivers External Suppliers of FG were treated at arms length Suppliers had little visibility of client’s supply chain Client had little visibility of Suppliers’ supplies Supply was largely on a Made-To-Order (MTO) basis Long lead times Little room for flexibility Client purchased very little FG from Suppliers. i.e. If client do not make, they do not sell ! Supply chain is not optimum High levels of stocks and yet poor availability Lack of supplier collaboration is a root cause Supplier Collaboration Turning the Finished Goods Suppliers to Supply Chain Partners © Anantara Solutions Private Limited 2012. All rights reserved Project Objectives Improved forecast accuracy Significantly improved supply chain Reduced lead time from FG suppliers Reduced lot size Flexibility - ability to react to short term changes in demand Create a tool and process that will enable launch and marketing of new products successfully sourced from external Suppliers Build a tool and process to collaborate with external Suppliers Real time visibility (daily) of our net requirement Mother stock concept (FG, SFGs like Died Threads, Grey Threads) Real time visibility of fulfilment from suppliers Automatic changes to purchase order due dates Advanced Shipping notifications creating inbound deliveries. Capturing of stocks at supplier (at all levels) Maintaining history. Auditing suppliers adherence to medium term plan © Anantara Solutions Private Limited 2012. All rights reserved Supplier Collaboration Portal Supplier Collaboration Portal is a proven tool for online and real-time collaboration between OEMs and their suppliers on Planning and Purchasing processes. It provides a platform for to integrate all the collaborative processes like Planning, Order Acknowledgement, Reporting Schedule Delays, Advance Shipment Notifications, and is integrated seamlessly with the backend SAP ERP and SCM systems. Control , Visibility and Flexibility in the Supply Chain © Anantara Solutions Private Limited 2012. All rights reserved Supplier Collaboration Portal : Functionality Planning process Suppliers can view and download the Demand Forecast from Client Suppliers can send the FG and SFG stock details to client Manually enter the stock details Upload the stock details from Excel file Purchasing process PO Acknowledgements Confirm PO without changes Confirm PO with changes in Quantity and Ship date Confirm PO with changes via Excel file (Mass changes) Report delays on committed dates Enter changes in quantity/ship date manually Upload the changes via Excel file (Mass changes) Shipments process Supplier can view PO lines ready for shipment Supplier can send ASN details Enter ASN manually Upload ASN from Excel file Suppliers can request for PO closure © Anantara Solutions Private Limited 2012. All rights reserved Solution Architecture SAP APO Planning PO Reports Rolling demand forecast Stocks snapshot Supplier Portal Report Schedule Delays Order Acknowledgment Claims Review PO Shipments Changes SAP ECC © Anantara Solutions Private Limited 2012. All rights reserved Order changes ASN and Packing lists Supplier Planning SAP APO Master 2 Planning 4b 4a 3a 3b 1b Procurement Proposals Master data Open SO, Open PO, Stocks 1a 3c SAP ECC © Anantara Solutions Private Limited 2012. All rights reserved Planning PO Reports Supplier Portal Report Schedule Delays Claims Supplier Review PO Shipments Changes Purchasing Process: Different dates involved Date Description Events Original Ship Date Original ship date (calculated) based on the Original Delivery Date expected by OEM and Transport lead time PO generation Original Delivery Date Original delivery date expected by OEM PO generation Confirmed Expected Ship Date Shipment date confirmed by the Supplier at the time of order acknowledgment Order Acknowledgement Confirmed Expected Delivery Date Expected delivery date (calculated) at OEM warehouse based on the Confirmed Expected Delivery Date from Supplier and Transport lead time Order Acknowledgement Current Expected Latest shipment date from the Supplier based on the Ship Date work progress Reporting delays Latest delivery date (calculated) at OEM warehouse Current Expected based on the Confirmed Expected Delivery Date from Delivery Date Supplier and Transport lead time Reporting delays Actual Ship Date Actual shipment date from the Supplier Expected Receipt Expected receipt date (calculated) at OEM warehouse Date based on the Actual Ship Date and Transport lead time © Anantara Solutions Private Limited 2012. All rights reserved ASN ASN Order Acknowledgment SAP APO 6b Planning PO Reports Supplier Portal 7a 7b Report Schedule Delays Claims Supplier Review Review PO PO Changes Changes Shipments 6a SAP ECC 5 PO Generation 7c 8 PO Confirmations © Anantara Solutions Private Limited 2012. All rights reserved Report Schedule Delays SAP APO Planning PO Reports 9a Reports ship dates changes Supplier Portal Report Schedule Delays Claims Supplier Review Review PO PO Changes Changes Shipments SAP ECC 9c 10 PO updates © Anantara Solutions Private Limited 2012. All rights reserved 9b Report split delivery schedule Shipments SAP APO Planning PO Reports Supplier Portal Report Schedule Delays Claims Supplier Review Review PO PO Changes Changes Shipments 9a 11a SAP ECC 10 Inbound Delivery 9b 11b 12 PO marked for closure © Anantara Solutions Private Limited 2012. All rights reserved Overall benefits for Client and Suppliers • Improved responsiveness to consumer demand. • Greater forecast accuracy with single shared forecast. • Improved relationship between trading partners. © Anantara Solutions Private Limited 2012. All rights reserved • Increase in sales • Inventory reduction • Cost reduction • Improved production capacity utilisation • Reliable and shorter lead times • Smaller lot sizes Thank You ! The information contained in this document is highly confidential and privileged. No part of this document may be copied or circulated without express written permission from Anantara Solutions Pvt. Ltd. This document is for discussion purposes only.