Mark MandevilleSr. Solution Consultant

OracleWarehouse Management

“Senior level executives now realize that the automated warehouse is as much a part of e-commerce and e-fulfillment as the Internet.”

- Supply Chain Yearbook

InboundInternal

ProcessingOutbound

• Purchases• Mfg / Assembly• Transfers• Outside Processing

• Customer Shipments• Vendor Returns• Transfers• Outside Processing

• Pick• Pack• Inspection• Count

• Assembly• Storage• Move• Replenish

Warehouse Management At-a-Glance

Transaction Velocity / VolumeSmall Large

Pro

duct

/ O

rder

Com

plex

ity

Low

Manual InventoryRecord transactions and

track balances

RF / Barcode OnlyImprove accuracy and reduce latency

of existing transactions

High

Warehouse ManagementImplement a true “execution system” using

system directed tasks and task management

Highly Automated FacilitiesAutomate physical inventory handling

Capabilities

Capabilities

Warehousing Functionality Spectrum

Just-in-Time Delivery• How can I improve the speed

of warehouse operations?

• How do I integrate operations to reduce order processing time?

Guaranteed Availability• How can I improve order

promise accuracy?

• How do I create a global view of inventory?

One Size Fits One• How can I manage

SKU proliferation?

• How do I ensure labeling compliance?

Lowest Total Cost• Where can I reduce

inventory while maintaining high fill rates?

• How do I improve labor efficiency?

                                                    Internal

ProcessingInbound Outbound

Business Pressures

WarehouseSystem 1

ManufacturingProcurement Order Management

WarehouseSystem 2

WarehouseSystem N

RF Middleware RF Middleware RF Middleware

Integration and Operation Complexity, Localized Solutions

Operational Challenges

• Fulfillment Processes Integrated with Partners

• Support All Company Processes (e.g. Service, Mfg)

• Automated Material Handling for Improved Productivity

• Mobile and Automatic Data Capture (e.g. RF, RFID)

• Streamlined Material Flow (e.g. Cross-Docking)

A Need for ChangeLeading Business Trends

How

Delivers

Foundation:Unified Information Architecture

• Common data model enables a single source of truth

• Comprehensive suite of applications designed to work together

• Robust set of integration services based on open standards

• Modular deploymentby business flow

• Single global instance implementations

Customers,

Suppliers,

Products, …

Customers,

Suppliers,

Products, …

Develop

Market

Sell

Order

Plan

Service

Maintain

Finance

HR

Projects

Contracts

WarehouseManagement

Procure

MakeFulfill

• Eliminate Integration

• Reduce Costand Complexity

• Reduce Risk andUpgrade Issues

• Eliminate Problems with Reconciliation

• Simplify Support

Support for the Integrated Enterprise Built-In, Not Bolt-On Functionality

MSCA &WarehouseManagement

Service Finance Planning

Procurement Manufacturing Fulfillment

Apps /Database

RF BaseStation

SQL NetTelnet Over TCP/IPRF Device

Built-in RF Middleware

Built-in Mobile User Interface

MobileTransaction Server

Oracle Mobile Supply Chain Apps (MSCA)Support Basic Warehousing Needs…

Moves, Issues, Returns,

Scrap, Completions, …

Quality Collections, Specifications, …

Misc. Transactions, Transfers, Counts, …

Pick, Confirm, Ship, Confirm, Print, …

Direct, Std, Inspect, Cross-Dock, Print, …

Mobile Manufacturing Mobile Quality

Mobile Receiving Mobile Inventory Mobile Shipping

LAN or WAN

LAN or WAN

WMS Installed, WMS Organization

• LPNs• Cost Groups• Rules• Tasks• Cartonization• Exception Workflows

What Do I get with . . .

MSCA

• Mobile User Interfaces for• Inventory• Receiving• Shipping• Manufacturing• Quality

• Labeling

SeamlessIntegration

Oracle Warehouse Management Solution…or Provide a Complete Warehouse Execution System

RTVs OrdersTransfers

RMAs PurchasesTransfers Tailorable

Rules &Workflow ProcessGlobal Visibility

RF Support

Planning Manufacturing FulfillmentPurchasing

InspectInspectReceiveReceive

ShipShip PackPack DirectedDirected

Pick Pick

CostCost

AssembleAssemble

WIPIssuesWIP

Issues

TransferTransferCountCount

MoveMove

Replen-ish

Replen-ish

LabelLabel

Cross DockPutaway

Cross DockPutaway

Support Lower Cost of Ownership

Increase Warehouse Efficiency

Integrate WMS Throughout the Enterprise

Enables you to…

Oracle Warehouse Mgmt Solution

Rules-Driven ProcessesFlexibly Meet Needs without Customization

User DefinedStrategies & Rules

(e.g. > 30 Days Shelf Life)

Transaction(e.g. Pick)

Suggestions(e.g. LPNs

or Locators)

• Eliminates customizations

• Supports common toolwith examples

• Easily changed and evolved

• Improves ROI andongoing support

• Accelerates implementation

• Increases long-term flexibility

Support for: Directed Picking, Directed Put-away,Tasks Assignment, Costing, Labeling

Additional Ways to Avoid Customization

Characteristics

• Same application for all certified devices

• Automatically adapts to any form factor

RF DeviceIndependence

Lot & SerialAttributes

Lot & SerialAttributes

• User definable fields

• Use throughout WMS (UI, Rules Engine, etc.)

Benefits

• Maximum flexibility of RF device selection

• Lower support costs

• Flexible interfaces

• Support your specific data needs

• Deploy and manage on a single global instance

• Support with single worldwide organization

• Support for statutory and customary local requirements

• Multi-lingual, multi-currency, multi-org, multi-national capabilities

- 30 languages, all installable in same unicode instance

• Deploy and manage on a single global instance

• Support with single worldwide organization

• Support for statutory and customary local requirements

• Multi-lingual, multi-currency, multi-org, multi-national capabilities

- 30 languages, all installable in same unicode instance

Cost-Effective Global DeploymentThink Locally, Act Globally

Support Lower Cost of Ownership

Increase Warehouse Efficiency

Integrate WMS Throughout the Enterprise

Enables you to…

Oracle Warehouse Mgmt Solution

Worker Productivity• Automate Warehouse

Processes

• Optimize Task Assignments

• Reduce Worker Travel Time

Resource Utilization• Optimize Total

Warehouse Space

• Maximize Use of Equipment

• Optimally Locate Inventory to Reduce Travel Time

Warehouse Efficiency

Inventory Utilization• Reduce Inventory

Carrying Costs • Streamline

Material Flow• Reduce Inventory

Obsolescence• Automate

Replenishment

Improve Warehouse Mgmt FunctionsIncrease Efficiency of All Resources

Automated Task ManagementCreate, Organize, Dispatch Tasks to Optimal Resource

• Dispatch Tasks To RF Devices

• Support Multiple Picking Methodologies

• Match Skills and Equipment to Tasks

• Perform Task Sequencing and Interleaving

Pick Wave Task Queue

• Create Paperless, Streamlined Processes

• Align Pick Plan with Business Mix

• Reduce Safety Issues and Training Costs

• Significantly Reduce Travel Time

Split MergeSort

Create & Allocate

Task

Worker Productivity

• Support Numerous Types and Variations of Labels- LPN, LPN content, LPN summary, material, serial, location,

shipping, shipping contents, WIP contents

• Flexible to Meet Your Business Needs- Design and rendering choices

- Highly flexible configuration

- Adapts to changingrequirements

• Data Transmitted via XMLdirectly to printer or via middleware of choice

Print at the Right Time in the Correct Format

Automated Compliance LabelingMeet Customer Specific Requirements

Container and LPN* Support• Supports Infinite Nesting Levels

• Perform Complex Moves via a Single Scan

• Fully Integrated with ASNs

Improves Efficiency,Accuracy, and Tracking

Barcode Support• Automatically Track All

Related Product Information

• Capture All Informationwith a Single Scan

Reduces Cycle Time & Improves Accuracy

Single Unique Numberfor All Information

Multiple Packages and Products

=

*License Plate Number

Barcode & License Plate # SupportPerform Complex Inventory Transactions

ShipShipDropDrop Put-AwayPut-AwayDeliverDeliverInspectInspect

Cross-Dock

Inventory

Direct Ship

PickPickPickPickReleaseReleaseReceiveReceive

Direct Receipt

• Configurable flows

• Express ASN receipt

• Cross-docking

• Express picks & load

• Direct ship

• Adjust implementation to business

• Accelerate receiving process

• Reduce handling and inventory

• Increase operator efficiency

• Support lean mfg processes

Cross-Dock and Direct ShipSelectively Accelerate Warehouse Material Flow

(1) Load of pallets and / or cartons with RFID tags on each

(2) Drive load through RFID Reader in Receiving Dock

(3) Interface to readers, clean and filter data, then pass IDs to application

(4) Access objects associated with theID's (e.g. LPN's on ASN)then raise correctBusiness Event

(6) Process the Business Event, (e.g. Receipt of pallet or carton)

(5) Access associated source document (e.g. the PO’s ASN)

(7) Confirm success or failure (e.g. trigger green light or sound buzzer)

(8) Putaway, rescan or divert material

RFID-Initiated Shipping & ReceivingProcess Transactions with No Manual Intervention

RFID Middleware(Oracle AS)

RFID Event Processor

Application APIs

Response& Exception

Handling

Directed Picking and Put AwayAutomatically Suggest Optimal Locators

• Slot dynamically based on velocity, size, etc.

• Control hazardous materials / co-mingling

• Handle task exceptions with reason codes

• Optimize the use of storage locations

• Minimize inventory fragmentation

• Reduce chanceof obsolescence

Receipt

BusinessLogic

Locator

Locator

Locator

Pick

Resource Utilization

Advanced Inventory CapabilitiesProvide Single Source of Truth for All Inventory

• Maintain Accurate, Real-Time Information- Physical inventory measurement- Holding and other associated costs- Cycle counting

• Manage Inventory Levels- Automated replenishment- Kanban management- Transfers between facilities

• Support Advanced Tracking Capabilities- Material status control- Inventory ownership tracking- Advanced lot and serial control

Inventory Utilization

Performance Management ToolsProactively Manage Warehouse Performance

• View current status, perform transactions and calculate availability via Materials Workbench

• Monitor and refine facility activity via Control Board

• Provide real-time status with active alerts andnotification messaging

• Handle last minutechanges withworkflow exceptions

• Keep key personnelinformed with multiplereporting options

Support Lower Cost of Ownership

Increase Warehouse Efficiency

Integrate WMS Throughout the Enterprise

Enables you to…

Oracle Warehouse Mgmt Solution

Comprehensive Logistics SolutionIntegrated Logistics Adapts to Changes

PlanPlan Book /Tender Book /Tender

ManageWrhs

ManageWrhs

Pick &Label

Pick &Label

Pack &Ship

Pack &Ship Rate Rate Track Track

GlobalCustomers

Continuous Improvement

Integrated Planning & Execution

Carriers /3PLs

InboundSupplySource

OutboundDemandDestination

Collaboration &Event Management

CarrierAnalysis

On-TimePerformance

CustomerSatisfaction

Settle Settle

Comprehensive Logistics SolutionEnables Cross-Functional Process Optimization

Planning(Plan & Monitor)

Warehouse(Store & Manage)

Transport(Move & Track)

Stage &Cross Dock

DynamicRerouting

& Drop Ship

InventoryOptimization

Supply / Demand Matching

WMS and Manufacturing Extends Beyond Sales Order Inputs

• Solution Integration Enables:- Task-managed component picks- Cross-dock to / from manufacturing- Directed ship from manufacturing- Compliance labeling- LPN and lot / serial creation

and tracking

• Supports Full Spectrum of Tasks:- Simple kitting to full BOM / work

order jobs- Seamless CTO flow

SalesOrders

ManufacturingProcesses

WMS Solution

WMS and Service / Spares Integrate all Inventory Transactions

• Provide a single, common view ofall inventory

• Integrate and manage internal and field inventory locations

• Consolidate / coordinate all field requests to maximize DC efficiency

Regional / FieldWarehouses

Field TechnicianStock

Distribution Center

Service / Spares Mgmt

Warehouse Mgmt Manage high volume DC operations (pick, pack and ship) with WMS and leverage internal orders to release parts to the field

Business Intelligence

Integrated Throughout

Entire Offering…

Deliver Daily Business IntelligenceReal-Time Access to Complete Business Information

What is my inventory accuracy for all products?

What are my labor costs for each warehouse?

How is my warehouse space utilization changing?

How are inventory turns and quantities changing?

What are my book-to-ship and receipt-to-putaway cycle times?

– Objective: Set institutional targets – Fact: Provide performance-based metrics– Exception: Continuously evaluate performance

Manage By…

Mfg & Inventory Intelligence: Timely, Accurate, Relevant

• Daily updates on key performance indicators

• Actionable information on savings and incremental revenue opportunities

• At a glance:- Inventory quantity and turns

- Inventory accuracy- Pick-to-ship cycle time- Warehouse labor costs

LinksLinksReportsReports

Real-TimeReal-TimeResultsResults

GraphsGraphs

Flexible Flexible Time PeriodsTime Periods

Flexible Flexible ComparisonsComparisons

PerformancePerformanceMeasuresMeasures

Single global instance, mobile applications, built-in integration, barcode and RF capabilities

Out-of-the-box integration, full logistics support for all SCM flows

Optimized space and warehouse utilization, improved worker productivity, flexible process flows, monitoring and mgmt capabilities

Oracle Warehouse Management Solution

Support Lower Cost of Ownership

Support Lower Cost of Ownership

Integrate WMS Throughout the

Enterprise

Integrate WMS Throughout the

Enterprise

Increase Warehouse Efficiency

Increase Warehouse Efficiency

Inventory ManagementWarehouse

ManagementMobile Supply Chain

ApplicationsLogistics Intelligence

Develop

Market

Sell

Order

Plan

Procure

MakeFulfill

Service

Maintain

Finance

HR

Projects

Contracts

Oracle Warehouse Management Products

Customers,

Suppliers,

Products, …

Customers,

Suppliers,

Products, …

Evolution of Oracle Logistics

New in 11i.9…Base Differentiators…

• Built-in, not bolt-on - RF/mobile technology & transaction integration

• Flexible rules-based processes

• Configurable material flows

• Inbound logistics – receiving, inspections, directed put-away, cross docking, ASN

• Outbound logistics – dock assignment, pick wave selection, picking methods, cartonization / packing, shipment execution, trip & delivery planning

• Advanced inventory mgmt – container & LPNs, lot/serial genealogy, status, Kanban

• Reverse logistics – RMA receiving, supplier returns, refurbishment & recycling

New in 11i.10…

• VMI & consigned inventory

• Task & labor plng control board

• Delivery consolidation by locator and / or LPN

• Cluster picking & WIP picking

• eAM component picking

• UPC & smart barcode support

• Single mobile UI for all receiving transactions

• Additional material handling equipment integration

• Simplified rules engine def’n and examples library

• Load tendering

• Online tracking of ship status

• Carrier selection & freight rating

• Automated shipping processes

• Non-conformance mgmt

• Configurable picking & streamlined shipping UI’s

• RFID-based transactions

• UCC 128 / UCC 14 support

• Work-plan based put-away

• Catch weight support

• Packing workbench

• Over picking & bulk picking

• Inbound transport logistics

• Freight payment & audit

• Delivery consolidation

• Truckload rating

• Transportation planning – load consolidation, continuous moves, automated mode and carrier selection

• International drop shipments

• Logistics-related analytics/KPIs

CustomerCase Studies

• Global manufacturer of insulated food and beverage containers, soft coolers, and lunch kits

• Live on 11i- Warehouse Management, Order Management, Financials,

E-Business Suite On Demand- Saved $665K in one-time and $180K in annually recurring IT costs- On track to save $6.2M through efficiency gains for 222% ROI- Shortened monthly close from 6 days to 2 days

Reduced inventory by $300K, expects to cut an additional $600K

Raised warehouse labor productivity by 15%, expects to reach 29%

“With more demanding on-time requirements, inventory accuracy is essential. With Oracle Warehouse Management we know exactly what product we have, and where, at any point in time and the accuracy level is so high that our auditors no longer require us to take a physical inventory." -- Mike Yeager, Director of Logistics

• Manufacturer, sells and distributes quality informal tableware, cookware and mugs

- Headquartered in the UK with operations in Europe, North America, Australia, Asia,

• Live on 11i- Warehouse Management, Procurement, Financials, Human

Resources- Chose Oracle WMS to streamline supply chain execution from

manufacturing to shipment- Goal: achieve 100% paperless warehouse

Increased small order picking productivity by 200-300% Ship 30% more product without an increase in headcount Increased inventory accuracy to over 99%

Support Lower Total Cost of Ownership

Increase Warehouse Efficiency

Integrate WMS Throughout the Enterprise

Oracle Warehouse Management

Thank You!