A BearingPoint Accelerator

Transcription

1 > SC Planning Excellence Toolkit A BearingPoint Accelerator Today s businesses operate in continuously changing, more volatile and complex environments, driving the need for higher flexibility, agility and thus better operational planning processes, systems and methods. The BearingPoint Supply Chain Planning Excellence Toolkit contains a combination of field proven tools and methods that empower businesses to analyze and design their ideal planning landscape.

2 Contents Market Drivers Our Approach Client Benefits References Contact

3 Market Drivers Current markets force Supply Chains to deal with many challenges - Excellence in planning gains significantly in importance Key Supply Chain Challenges Supply Chain Challenges drive pressure on Planning Processes Globalization Volatility Complexity Competition further geographical expansion of companies and their supply chains as well as higher probability of adverse events increasing impacts of political and cultural environments as a result increasing levels of demand and supply uncertainties and increasing levels of instability or unpredictability faced by companies and supply chains increasing diversity of products, business partners, systems and operations in supply chains increasing market pressure and rivalry between companies, supply chains and markets Supply Chain requires more Flexibility, Responsiveness and Adaptability Improving Planning supports companies in dealing with these challenges

4 Our Approach Realizing benefits in planning requires a holistic view on what are the requirements to enable valid steering and controlling of the business Holistic BearingPoint Integrated Planning Framework and Approach Assess planning environment and complexity Market Complexity Product Complexity Integrate different Planning Spheres Sales & Demand Planning Supply & Production Planning Financial Planning Define relevant planning dimensions Process Steps Organizational Setup Planning Methods Tool Support Transparency KPIs Align plans with strategic corporate goals Planning Environment and Complexity Supply & Production Planning Process Tools Organization Integration & Strategy Alignment KPIs Methods < < Financial Planning < Sales & Demand Planning

5 Our Approach Follow three phases to lift planning to the next maturity level Improve Planning Maturity in Three Phases See Create Top Management Awareness and Identify Strategic Vision Assess Status-Quo Maturity and Quantify Benefits Understand Detailed To-Be Design Plan and Design Improvement Initiative Setup Performance Tracking Act Apply Measures - Change Organization, Processes, Tools, etc. Monitor Performance Accompany Transformation Journey with adequate Change Management

6 Our Approach BearingPoint recommends a 5 step approach to design improvements in planning with a clear focus on value creation Initial Approach to improve Planning Maturity 1. Initial Situation Analysis Create Awareness & Identify Strategic Vision 2. Fit-Gap Analysis 3. Business Case 4. Prioritization/ Roadmap Plan & Design Improvement 5. To-Be Design Description Client s Status Quo on planning analyzed by interviews, data analysis and questionnaires Create transparency on gaps to leading practice Validate and align gaps Vision for future plan content and structure Bottom-up analysis of value levers for planning improvement Top-down validation of benefits Prioritization of identified working fields Definition of work packages Plan timeline Design of future planning organization, IT and process landscape Key questions answered What is the planning complexity How well do current operations perform and collaborate Which plans exist and how are they created In which fields is there room for improvement What elements in current processes and organization or IT need to be addressed to achieve leading practice Does the organization validate the improvement initiatives What are the improvement levers and what is their impact on benefits What are their cost and investment impact and benefits What are the specific improvement measures What additional measures need to be considered to support the transformation Which planning concept supports the defined business strategy best How processes should be designed What type of planning organization should support the process Which IT systems should be used

7 Client Benefits Planning projects create value - focus is on generating additional topline revenues while reducing cost base and increasing customer satisfaction Improved Planning Value Drivers Value Driver Tree Impact Earnings after Cost of Capital EBIT Cost of Capital Improve Financial Figures (example) Metric in % +20% 55% 75% Forecast Accuracy As-Is Forecast Accuracy Target Contribution Margin Fixed Cost Impact in m EUR -18% > > Inventory Value Reduced Target Inventory Interest rate 10% Revenue Variable Cost Benefit in m EUR 1,1 Annual Savings in Cost of Capital Improved planning enables you to replace inventory by information work smarter, not harder - eliminate non-value-creating activities and automate wherever possible increase collaboration with suppliers and customers to reduce delivery times reduce complexity manage the cross-functional process and not the individual functions focus on an aligned set of metrics to measure overall company performance With a big impact on a variety of value drivers, improvements in planning typically show a quick return on project investment

8 References Introducing BearingPoint s references in the area of planning by combining Consulting & Technology Expertise Summary* of our references showing our experience around planning optimization World s largest chemical producer New integrated planning process implemented across the supply chain Strong set of rules/ clear accountabilities to drive operational performance Milk processing company Redefining the business processes in SCM and operational planning Implementation of a new S&OP process at 10 locations Organizational adjustments SAP ERP implementation Industrial machine manufacturer Developed a demand planning process and implemented it in SAP BI Integration demand planning in existing capacity and budget planning Pharmaceutical Company Define planning process and tool implementation Strategic planning and demand planning Support project planning and implementation across Europe Cosmetic & beauty company S&OP gap analysis Forecasting tool for Eastern countries, interfaced with SAP ECC and SAPBO On-site coaching and hands-on support for operational teams Energy Supplier Corporation Integration of operational sub plans and financial plans Accounting for services is planed with BI-IP; Depreciation for new investments is simulated, etc. Improved data integrity and quality Food producing Corporation Configure supply-chain to be more responsive and efficient Scoping and international deployment of its new commercialization model Extractor of natural gas Design and implementation of first stage S&OP processes Technical integration of first stage solution with SAP BPS, Aspentec, SAP PI using Digital Sign Cash-processing company More responsive and better use of business assets S&OP integral part of ExCo discussions New ways of working *) Selected examples Apparel designer & manufacturer Monthly industrial long-term planning process shared between the sales and industrial departments Supported client on 3 S&OP cycles Pharmaceutical Company Development of SCM model Integration of corporate planning and forecasting functionalities into ERP system Definition of demand planning process and implementation in SAP BI Jewelry Designer Establishment of S&OP process including terms of references, redesigned control system and forecasting process and organizational structure Identification inventory reduction potential including recommended actions

9 < Contact Dr. Stefan Penthin Partner BearingPoint Germany Philippe Chaniot Partner BearingPoint France Christian Opitz Senior Manager BearingPoint Germany About BearingPoint BearingPoint consultants understand that the world of business changes constantly and that the resulting complexities demand intelligent and adaptive solutions. Our clients, whether in commercial or financial industries or in government, experience real results when they work with us. We combine industry, operational and technology skills with relevant proprietary and other assets in order to tailor solutions for each client s individual challenges. This adaptive approach is at the heart of our culture and has led to long-standing relationships with many of the world s leading companies and organizations. Our global consulting network of 9,700 people serves clients in more than 70 countries and engages with them for measurable results and long-lasting success. For more information, please visit: BearingPoint. All rights reserved