Digital Supply Chain and Transformation. Michael Tung Senior Executive Manager, Centre of Excellence, SCM DKSH

Transcription

1 Digital Supply Chain and Transformation Michael Tung Senior Executive Manager, Centre of Excellence, SCM DKSH

2 Contents Transformation never stop in the last 150 years, it just gets faster with Internet DKSH s digital solution suite DKSH s approach to Omni Channel Results and key learnings Page 2

3 A 150+ years of journey

4 Transformation never stops, it just goes faster with Digital and Internet of Things Experience in Asia dates back to the 1860 s when our founders ventured to Asia We have built sustainable relationships with international companies and local business communities Now we are the No. 1 Market Expansion Services provider with a focus on Asia Trading companies Specialized services provider Market Expansion Services provider

5 Access to internet changes brand interactions Increased access to the internet and the rise of mobile technology are dramatically changing the way that consumers are interacting with brand owners. Page 5

6 Clients Customers with a comprehensive, tailor-made portfolio of services Market Expansion Services goes beyond offering individual services it is about the integration of many different services to meet the needs of business partners Sourcing Market analysis and research Marketing and sales Distribution and logistics After-sales services Tailor-made, integrated service portfolio Backflow of information from customers to clients enabled by fully integrated and centralized IT platform

7 We link business partners and add value to businesses Client Consumer goods, healthcare products Customer B2B/B2C Manufacturer Market insights Market insights Retailer Manufacturer B2B We support our clients in marketing, selling and distributing products, provide after-sales services and market insight in new and existing markets Specialty chemicals and ingredients, analytical instruments, capital investment goods We support our customers in getting the best raw materials, products and brands at the best price and we provide them with knowledge and market insights

8 Our current solutions and services 1. Digital Marketing 2. Online Channel Management 3. E-Fulfillment 4. Data Analytics

9 1. Digital Marketing Provide strategic direction Search marketing Social media marketing marketing Display marketing Video marketing Content marketing Introduction and application of data analytics Execute digital marketing campaigns Agency partners

10 2. Online Channel Management (1/2) Price and promotion management Product onboarding and management < Technology integration Channel strategy and consultation Order management Inventory transfer and management Order fulfillment and delivery Financial reconciliation Fulfillment facilities Customer care Returns management Technical monitoring

11 2. Online Channel Management (2/2) Products SKU Retail Price Promotions Available Stock Orders Sales Returns Billing Reporting Client Internal DKSH Online Channel Management Listings Management Inventory Allocation Order Consolidation Reporting and Analytics Q3 Q3 Q3 Q4 Q4 SAP plays primary role for Management of Product Information, Price & Promotions, Orders, Inventory, Warehouse, Billing, Accounting SelluSeller plays primary role in Product Content Management, Order Status Management, Interfacing with 3 rd Party Marketplaces

12 3. E-Fulfillment Distribution Center B2C fulfillment area Same facility Different pick and pack process Last mile orchestration

13 4. Data Analytics Data and Insights from Channel Partners Data and Insights by DKSH

14 DKSH s approach to Omni Channel

15 DKSH s online customer engagement platform Through DKSH Connect, we empower our business partners to manage and grow their businesses at their convenience 24 hours a day, seven days a week Page 15

16 DKSH Connect is an online tool. It enables you to: Browse our catalog of products Place orders Track shipping Make payments and view statements Page 16

17 It s available anytime, anywhere with any device

18 Increased visibility and access of our client s products, back by seamless supply chain for efficient consumer response Page 18

19 Key learnings

20 Results and key learnings 1. After 3 years, DKSH is selling 400 brands online in 9 Asian countries. 2. Omni-channel business development value proposition to our clients 3. Client expects DKSH to operates as ONE services provider in agility 4. Build strategic channel partnerships in the region 5. Consumer centricity know the needs and ensure superior shopping experiences both online and offline 6. Turning data into valuable asset, strengthened by digital transformation 1 Omni-channel BD value proposition 3 Strategic channel partnership 5 Data-driven 2 One DKSH 4 Consumer centricity Page 20

21 Business partners can be both competitors and complementors Fast-changing and more complex relationships Future scenarios for online ecosystem in SEA Complementor Competitor Infrastructure efficiencies Online channel partner Platform to sell directly to consumers Local heroes scenario China fast track scenario Channel consolidation Outsourcing partner Offering e-mes services Status quo China slow track scenario CBT partner Platform to sell directly to consumers The industry is still being shaped as players change their strategies constantly DKSH needs to build strategic relationships with key players Source: McKinsey

22 Thank you for your attention

23 Disclaimer Due care has been used in preparation of this presentation and DKSH makes every effort to provide accurate and up-to-date information. Nevertheless, this presentation may be subject to technical inaccuracies, information that is not up-to-date or typographical errors DKSH does not assume liability for relevance, accuracy and completeness of the information provided. DKSH reserves the right to change, supplement, or delete some or all of the information on this presentation without notice The layout, graphics and other contents in this presentation are protected by copyright law and should not be reproduced or used without DKSH s written permission Page 23