alex albertini from pacific sunwear and matthew tabisz from samsung on manage supply chain risk...
TRANSCRIPT
2 2
Agenda
Steps for Collaboration Implementation
Pre-Collaborative State
Agenda
Post-Collaborative State
Questions
4 4
Pre-Collaborative State
Forecasting
• Limited accuracy
• Lack of information
Production Planning
• Plan must be locked further out than desired
• Increased bullwhip effect
87
73
83
90 95 96
89 85
91 98
93
60
70
80
90
100
Accura
cy
(%)
Month 1 Month 2 Month 3
5 5
Pre-Collaborative State
Order Preparation L/T
• Reduced time to pick, prepare, and ship orders
• Reactive mode
• Queuing for transportation optimization is not feasible
Days Of Sales
• Excess carrying cost
• Greater exposure to obsolescence
< 3 hrs
5%
3-6 hrs
9% 6-12
hrs
24%
> 12 hrs
63%
Order Preparation L/T Weeks of Sales
02468
1012
7 7
Material Management
Operation Optimization
Delivery CPFR
Improved forecast
and order processes
Implement Safety Stock to support operations
Convert Planning
from As-Is to To-Be
Improve OTQR
Steps for Collaboration Implementation
Phase I Phase II Phase III Phase IV
8 8
Present Replenishment
Partner
View
Forecast
Partner Samsung
Production
Plan
Shortage/
Stock out
Poor Supply Visibility
Target Replenishment
Consensus Forecast
Partner Samsung
Production
Plan
Expected
Supply
Improved Supply Visibility
9 9
Steps for Collaboration Implementation
Collaboration
Sales
IT
Business Planning
Operations
QA/Eng
10 10
Post Collaborative State
• Plans integrated with supply chain partner • System-System integration • Exception-based planning & mgt. • Risks and rewards are shared between partners (KPIs)
60
80
100
Fore
casting A
ccura
cy
Ord
er Pre
p L
/T
< 3 hrs
1%
3-6 hrs
5%
6-12
hrs
13%
> 12 hrs
81%
02468
101214
Weeks
of
Sale
s