driving a new age of connected planning...13 while there are many planning solutions, many of them...
TRANSCRIPT
Driving a new age ofconnected planning
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1. Need to Connect . . .
.
Exponential Supply Chain Complexity
Pre 1970s
1970s
1990s
2000s
• Ship & Rail• Inventory Mgmt• “Push”
•MRP & spreadsheets Invented• First WMS & DC• Truck and Air Freight
• ERP Invented• Outsourcing• Large MOQ• Co-planning• SCOR
• Information flow• SC Services• Demand Driven networks• Function-specific Tools • Small MOQ • Design and Service• Digital, Omnichannel
Collaboration Across The Network
Raw Material Suppliers
ContractedProducers
3rd Party Logistics
DistributionCenter
Warehouse Customer Channel
Customers
Production Facilities
3rd Party Logistics
Channel Partners
EXECUTION
OrderManagement Purchasing StrategicNetwork
DesignWarehouseManagement
FactoryScheduling
TransportationManagement
DistributionOrderMgmt.
MasterScheduling
MaterialsManagement
Resourcescheduling
SKUProliferation
EscalatingVariability UnevenMarkets Demand
VolatilityLimitedSuppliers
DigitalDIsruption
ShortProductLifecycle RegulatoryChange Emerging
MarketsNatural
Calamities
SUPPLY CHAIN
PLANNINGCustom
REAL WORLD
Value Network Creation
Traditional Planning “Shock Absorbers”
Typical S&OP / IBP “Solution”
ERP System
MES System
Transportation Management System
Warehouse Management System
MRP System
HCM Tool
Ad-hoc reporting and planning tools
Financial Planning system
CRM Tool
S&OP
ManagementReports
DC / WMIInv Mgmt
MPS
Forecasting Tool
StrategicPricing
Supplier Collaboration Platform
OrderFulfillmentATP
Business Decisions Increasingly Made Outside ‘Planning’ Applications
ERP CRM HCM Marketing WMS Mfg.TransactionalSystems
BW Essbase MDM BOBJ TableauData & AnalyticsTools
JDA APO HyperionPlanningApplications
Custom Point SolutionDecision Support
Day-to-day operations
Data Collection
Plan Systems of Record
Ongoing Analysis &
Collaboration
Execute against plan
Enable reporting
against plan
Enter the plan during each
period
Periodic decisions & assumptions
Strategy / Innovation Marketing Sales
Finance&
HR/IT/Assets/ Facilities
Supply Chain and OperationsDecision Makers
Lowest Common Denominator is still …
70%of business users still
rely on spreadsheets for critical portions of
business 1 year after purchasing tool1
1Deloitte; Spreadsheet Management Not What you Figured
Lowest Common Denominator is still …
2Adapted from Rebus; The Real Cost of Manual Analytics in the Supply Chain
88%of spreadsheets contain formulaic or link errors3
5%of an entire
organization’s available time is spend on
“updating or using” advanced supply chain
spreadsheets2
Lowest Common Denominator is still …
3Panko, Raymond R; What We Know about Spreadsheet Errors
5%of an entire
organization’s available time is spend on
“updating or using” advanced supply chain
spreadsheets2
Lowest Common Denominator is still …
70%of business users still
rely on spreadsheets for critical portions of business 1 yr after purchasing tool1
1Deloitte; Spreadsheet Management Not What you Figured 2Adapted from Rebus; The Real Cost of Manual Analytics in the Supply Chain3Panko, Raymond R; What We Know about Spreadsheet Errors
88%of spreadsheets contain formulaic or link errors3
Despite advances in IT tools, 1% of revenue is spent inefficiently making decisions with inaccurate data for supply chain
How do you spend your time?
70%Preparing Data4
30%Making
Decisions
4CrowdFlower – Data Science Report, 2016
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Whiletherearemanyplanningsolutions,manyofthemstruggletoofferasuiteofconnectedplanningcapabilities
Today’sPlanningSystemLandscape
SignificantInvestmentRequirementsHeavyupfrontcosts,waterfallapproaches,andlonglead-times/effortbeforegettingupandrunning
SolutiontoProcessDisconnectsDifficult/unintuitivesolutionsrequiringthebusinesstoadapttothevendor’swayofdoingthings
LimitedCapabilitiesInadequatesupportforconnectedplanningwithinandacrossbusinessfunctionsandlackofanalytics
Sub-OptimalCustomSolutionsorXLSSincetheycan’tfindtheperfectsolution,manysettleforhomegrownpointsolutionsorExceltools
ProcessesAreNotStandardizedPointsolutionsandExcelmakeiteasyforsilostodoittheirwayandinhibit“leadingpractice”standardization
Disparate,FragmentedToolsConnectedplanningisneverattempted,muchlessachieved,andmyriadofsolutionsleadtosystemlandscapeexplosion
CommonChallengeswithPackagedSolutions
CommonResponses
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2. Get Connected . . .
What is connected planning?
Thenewwayconnectedplanning
Anewwaytorunyourbusiness
Across one department or area
Across the company
One business processSingle, secure source of planning and decision dataData
People
Plans
Greater collaboration, deeper insights, faster alignment
Dynamic, continuous planning for any area of your business
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OrganizationalSilos
• Lackofvisibilityofplansacrossfunctions• Legacykingdomswithlimitedsharingofdata
Flexibility• Dynamicchangesandvaryingtimeframesforproductplanning• Difficulttobuildflexibilitytocoverdifferentplanninglevelsordiversecategories
WorkFlow• Differentplanninglevels,horizonsandcycletimes• Inabilitytoquicklychangeplans,performwhat-ifs,flowchanges
Data• Dataavailability,inconsistencyandqualityissues•Multiplesourcesofdatachallengingtoreconcile
Technology•Manuallyintensivetocoordinate,consolidate,andsharedata•Multiplepurposebuilttoolsthatcannotbealigned
WhyisConnectedPlanningSoUnattainable?
Therearefivekeybarriersthatneedtobeaddressed:
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ConnectedPlanning– FundamentalDifferences
IntelligentCapabilities
FlexibleBuild&ModifyCapabilities
Anaplan
§ Cloud-based,in-memoryengine- real-timeplanningatscale§ Intuitive,rolebasedspreadsheet-likeuserexperience
§ Automatedrecommendationstoaccelerateplanningprocess§ User-friendlymanagementandin-modulescenarioplanning
PackagedSolutions
§ Slowtechnologiesthatdonotalwaysreflectreal-timechangesacrossbusinessunits
§ Modificationsareoftenlostorleadtoduplicated,inaccurateinformation
§ Limitedadvancedandpredictiveanalyticscapabilities§ Limiteddashboardsandexceptionmanagementlogic
StandardReports
§ Allreportsupdateinreal-timebasedonchangesmadewithinplanningmodules
§ Easy-to-developadhocreportscomplementstandardreports
§ Reportingislimitedornon-existentinthesolution§ Reportingisadhoc/individualized§ Tendencytodropintoxls tomarrymultipledatasets,
drivingeffortanddegradingtrust
ConnectedSolution
§ ModelsandreportscanbemodifiedspecifictoeachBU/division/geographywithoutdisconnectingplans
§ Aggregationcanbedoneacrossmultipleplansanddimensions(likeaccount,category,andproductattributes)
§ Platformsaredisparateand/orbusinessunit-specific,limitingcross-teamintegration
§ TendencyformanytostilldoheavyliftinginExcelorcopy/pasteintothesolution
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§ Mobile
§ Collaborative
§ Cloud-based
§ Scalable
§ Processingpower
FINANCIALS OTHER
HRCRMERP
PLM
§ Real-time
§ Userdriven
§ Connectedacrosstheenterprise
§ Modeling&PredictiveCapabilities
FINANCE
WORKFORCE
MARKETING
SALES
SUPPLY CHAIN
MERCHANDISING
Integrateandconnectmultipledynamicdatasourcesinreal-time
Infuseanalyticalcapabilitiestodrivebetterplanningthatmatchesdemand
Collaboratewithinandacrosschannelsandbusinessfunctions
ConnectsingleversionofthetruthforplansacrossfunctionsandtowhichtheCompanyisexecuting
Dynamicallyconnect,reconcile,andtrackplans(e.g.,topdownandbottomup)
Reduceoreliminatemultipleplanningsolutionsandofflinespreadsheets
Aligne
dandLinkedConnectedPlanningBenefits
Proven Benefits of Connected Planning
Speed Agility Visibility
Uncovered $15M in “missing” inventoryHigh Tech Manufacturer
Reduced Planning Cycle Time 80%(2 wk to 2 d)Food & Beverage Manufacturer
Increased OM capacity by 150% in 8 weeksHigh Tech Manufacturer
Reduced functional FTE requirement for impacted processes by 40%High Tech Manufacturer
Reduced Order Processing Time 55% from 7 to 2 DaysHigh Tech Manufacturer
Effectively Planned 55% incremental demand via new bundlesHigh Tech Manufacturer
Enabled SKU-level, cross SKU bundles, planningHigh Tech Manufacturer
1.5% sustained increase in Net IncomeGlobal Apparel Manufacturer
Connect - Streamline Decision Making
ERP CRM HCM Marketing WMS Mfg.TransactionalSystems
Business WarehouseMaster Data Mgmt
BOBJ TableauData & AnalyticsTools
JDA APO HyperionPlanningApplications
Day-to-day operations
Data Collection
Plan Systems of Record
Ongoing Analysis &
Collaboration
Execute against plan
Combine analytics &
decision making
Complement or replace
legacy tools
Ongoing analysis and decision making
Data People Plans
Strategy / Innovation Marketing Sales
Finance&
HR/IT/Assets/ Facilities
Supply Chain and OperationsDecision Makers
How could you spend your time?
70%Making Decisions
4CrowdFlower – Data Science Report, 2016
30%Preparing Data
Brand, Portfolio, Platform Planning
Contrib. Margin Analysis
Commercialization& Ramp Planning
ProjectPlanning
ResourceConstraint Mgmt
DemandPlanning
Forecasting(Multi-method)
Demand Sensing& Shaping
Collaborative Planning & Fcst
Merch. & Assort. Planning
Supply Planning
Capacity Planning
Inv. Planning & MEIO
Dist. & Network Planning
Capable to Promise
Product Planning
Demand Management
S&OP/ IBP
Supply Chain Solutions
TradePromotion Mgmt
Best Practice Implementation / Roadmap
Connected Planning Solutions for Supply Chain
NPI / EOL / Cannibalization
S&OP Inventory & Service Policy
What-If Analysis
Margin Management
Scenario Planning
Supply Management
Production Planning
KPIs & Reporting
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Anend-to-endprocessandsolutiontoconnectacrossalldimensionsandbetweenallfunctions
FinancialPlans
Strategy&Hindsight
CategoryPlans
AccountPlans
DemandForecasts
PLM
AssortmentPlans/PDLinesPlans
POs
Size/Pack
Promo&MDPlans
BuyPlan
Sourcing
SpacePlans
SupplyChainPlans
Allocations
FinancialTargets
MarketingPlans
MasterData
IllustrativeFootprint
OTB
Replenishment
Pre-Season In-Season
Clearance
AnaplanEnabledProcessInput LinkedSystemMultipleConnections
ConnectedPlanningFootprint
Fast
Focusedaroundshort,quickreleasesdelivering
rapidvalue
Iterative
Foundationstakeformearly,allowingforiterativerefinement
Collaborative
Focusedoncustomerenablementthroughout
thejourney
What does an Anaplan implementation look like?
Accelerating Success
App
App App App App App App
Single Use Case Multiple Independent Use Cases
Multiple Connected Use Cases
Customer LeadingAnaplan / SI Support
Anaplan Journey
Delivery Model
Evolution
1. Establish 2. Operationalize 3. Scale
• Deploy 1st project successfully• Identify key roles - Executive Sponsor, COE
Lead, Anaplan Architect, Business Lead• Form delivery team• Establish Sprint Cadence
• Establish Data Governance• Identify functional and regional business
owners• Designate overall Solution Architect /
Technical Owner• Identify and train model builders – business
or IT• Define demand management process for
new model requests
• Define COE career path and goals• Adjust centralized vs regional model builder
capacity• Drive Anaplan adoption by identifying
appropriate use cases• Invest in additional Anaplan training for key
COE resources
HUB HUB
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3. Stay connected . . .How to be good at change . . .
• Speed• Flexibility• Visibility• Ability to experiment
Source:HBRsurvey,2016
75%Expect they will
need to planmore frequently
81%Agree – plans change
during execution
5%Strongly agree they
are effective at ongoing course-
corrections
Anaplan Centre of Excellence Model
Move to self sufficiencyDrive improvements in capabilityEnsure resilienceMaintain Consistency & Governance
Data & Meta DataModel designProcessesUser experience
Share learningEmpower organic growth of the business to expand the connections Create a ‘service’ for the business to become more efficient
The Centre of Excellence Model
Self-Sufficiency
Data governanceand integration
Direction and governance
An Anaplan ‘savvy’
Access to support
Access to Knowledge and Best Practices
An implementation approach
Skills and expertise
Change management
Anaplan recognition
2016 CTO Award for Innovation
2017 LEADER
Sales Performance Management Magic Quadrant
2016 VISIONARY
Strategic Corporate Performance Management Magic Quadrant
2016 HYPE CYCLE
Human Capital Management Software, Workforce Planning & Modeling
LATEST MARKET GUIDE
Trade Promotion Management and Optimization
LATEST MARKET GUIDE
Sales and Operations Planning
Sales & Operations Planning
End to End Supply Chain Planning
Supply Planning
Operations
Demand Planning
Trade Promotion
Merchandise Planning
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§ Aconnectedplanningapproachresultsinbetter,morecollaborativelycreatedplansthatareresilientinthefaceofchange
§ Anaplanisauniqueplatformtodevelop,integrate,reconcile,refine,andmanageplans
§ Anaplancapabilitiescanbeimplementedquicklyusingagileprocesses
§ Anaplanishighlyscalableandsupportsverycomplex,financial,productandsupplychainplanningmodels
Keytakeaways Questions