Mastering Lean Supply The Unipart Way. Ian Ashley Practice Lead, Supply Chain Ron Swanson Head of IT, Unipart Aftermarket Logistics

Transcription

1 Mastering Lean Supply The Unipart Way Ian Ashley Practice Lead, Supply Chain Ron Swanson Head of IT, Unipart Aftermarket Logistics

2 In this session We will introduce Unipart to you We will discuss our philosophy The Unipart Way We will describe how Unipart supports its Jaguar Aftermarket supply chain by using SAP We will explain how we realize the benefits of SAP implementation through continuous improvement

3 The Unipart Group 10,000 people 1.1b turnover Majority owned by employees 6 divisions Operating in 100 countries worldwide We take a long term view

4 The six Unipart divisions

5 A Selection of Our Clients

6 SAP Related Clients

7 A philosophy of working, underpinned by a set of tools and techniques that: Form part of our knowledge management systems We continuously improve based upon our experience Enable us to improve faster than the best alternative available to our existing and potential customers

8 At the heart of this philosophy is the creation of employee engagement

9 Communication Cells

10 The Jaguar Relationship

11 We have a significant global footprint for Jaguar and Land Rover

12 Scale of the Jaguar Parts Business 7 million customer order lines processed annually 128,000 part numbers and growing Ship to 64 countries Supply direct to around 850 Jaguar Dealers worldwide Over 1,200 vendors worldwide Operate from 12 worldwide locations

13 Services to Jaguar Cars World Wide TRADTIONAL 3PL New Model Programmes Technical Services (inc. service condition decision) Cataloguing (electronic, web-based) Master Data Inventory Forecasting Purchasing INBOUND Global Inventory Deployment (inc. ownership) Supplier Management Supply Expediting Packaging (inc. spec.& design) Packing SQD Distribution Centres (9 (11 globally) Receiving Cross-docking Storage Planning Stock Control / PI Pick Pack Ship OUTBOUND Distribution Planning Freight Freight Management Compliance (C-TPAT accredited) Tracking RFID Warranty FINANCE - IT - HUMAN RESOURCES Dealer Systems (Order/Enquiry + Automatic Replenishment) Customer Order Processing Call Centres (multi-market) Marketing Pricing Reverse Logistics CUSTOMER

14 Jaguar Cars - Global Supply Chain Implementation Business Issues Systems constraining ability to continuously improve operation Cost savings required whilst adding additional value Complete end-to-end supply chain visibility and transparency required (Customer to supplier) Multi language operation What We Did Redesigned world-class global supply chain Educated work force in new operation Implemented SAP to underpin new way of working (including WM into 6 warehouses) Results SAP successfully implemented big bang Substantial IT cost savings and operational benefits

15 Unipart Logistics System proven in managing end to end supply chain Sales and Distribution - Customer ordering, shipping, billing and returns Customer RDCs Warehouse Warehouse Management - Management of highly complex warehouse structures in real time Materials Management - Inventory management, purchasing, planning and physical inventory Financial Accounting - Accounts payable & receivable 1 st Tier Suppliers

16 Successfully deployed a Standard Global Template

17 End to End Supply Chain Visibility & Control The Jaguar Global Control Centre Forecasting / Scheduling Suppliers Packers Central DC Pipelines Regional DC Dealer

18 How did we achieve success?

19 Research told us to expect surprises in implementing SAP 1. Your KPIs plummet & need to be rescued 2. It gets worse before it gets better 9 months of anarchy! 3. Software expectations are not fully met 4. You are now an ERP hostage 5. People are angry, confused & highly irritable 6. You discover that discipline is king 7. You think you know who owns the benefits you don t 8. You have re-engineered whether you planned to or not 9. People immediately forget everything they learned in training 10. Your entire project team is resigning en masse Michael Hammer

20 Through a deep understanding of the need for integration PEOPLE Executing and managing work in a standard manner, embracing continuous improvement and focussed on appropriate KPI s DATA PROCESS Error free, driving Processes designed from decision making the perspective of the end customer rather than the functional needs of organisations within the value chain TECHNOLOGY Appropriate to support delivery of the customer requirements -on time in full -to agreed quality levels.the effective integration of people, processes and system strategies drives business benefits in performance, efficiency and productivity.

21 What is Lean? Complexity and simplicity Process Design Principles - Lean Thinking Pull, Flow, Value, Value Stream, Perfection Minimise / eliminate waste Resource Management Role clarity no ambiguity Sufficient resource available to get the work done Completing a days work in a day no backlogs

22 Lean in an SAP Implementation Standard Operating Procedures Providing a foundation on which Continuous Improvement can be built Linking job roles with physical activity and SAP processes. Visual Control Creating transparency of the operational management of work Business Metrics Development of appropriate KPI s using the Quality, Cost, Delivery framework, aligned to process outcomes Behavioural Development Leadership development focussed on process working rather than functional silos Organisational Design Appropriate organisational structures to support Lean working.

23 Implementation Methodology Accelerated SAP (ASAP) Used in various shapes and forms by the Systems Integrators and Consultancy Practices across the world. Unipart give stronger emphasis to : - process design - de-risking implementation through Prince2 project management - business readiness and use of simulation environment - physical warehouse and supply chain design - enhanced benefits realisation through continuous improvement

24 Go See enabled in a live test environment Unipart Advanced Logistics Centre The best example of a 3D process laboratory I have seen. Sir Nick Scheele CEO Ford Motor Co

25 Questions?

26 Contact Unipart Head of Process, Unipart Expert Practices Head of IT, Unipart Aftermarket Logistics