Professional Documents
Culture Documents
P&G
4,000,000,000 people and 118 countries Collaborative planning forecasting and replenishment (CPFR) Helped reduce Bullwhip Effect Customer Driven Supply Network (CDSN): Customer demand drives manufacturing and replacement Control Tower Programme Supplier Diversity Software is placed between suppliers, distributers and retailers Lean Supply Chain Responsive Supply Chain Track Products Adjusted manufacturing plants to be more flexible and quickly adjust to demands Minimize holding cost and minimize missed sales due to stock out situation EPC (Electronic Product Code), VMI (Vendor Managed Inventory), Shelf Back Design,
PRE-CPFR
Separate forecast by players in Supply Chain Price fluctuations due to promotions / discounts Rationing and shortage gaming
CPFR CHALLENGES
Selection of partners Trust based Relationship Detailed Definition of Systems Capabilities Senior Management were prioritized and dedicated to project
Collaborativre Process Integrated Planning and Forecast Replanishment Process SCM For Improving Inventory and reducing out of stock
CPFR BENIFITS
Improves responsiveness to consumer demand Greater forecast accuracy Increase in Sales Cost Reducation Improved relationship with partners Inventory Reduction
CDSN
CDSN Initiative
48% times products were unavailable, when customer wanted to buy Connection bet actual sales and SCM Now term Supply Network was used To create responsive Network to meet varied demand
CDSN Challenges
Meeting diverse markets like India Reach global large scale retailers
Output:
1. Daily Estimates for next 42 days 2. Refresh Daily
Results
Forecasting Accuracy improved by 30% Shelf-Level Out of Stock decreased from 10% to 5% in 8 months Supply Chain response time decreased to 2 months from 6 months Reduced safety inventory by 10% Pricing Design Implementation Sales increase 15% Net Profits 19 % (Topline Bottom Line)
Implementation
Web Order Management Allowed retailers to access scheduling, inventory and replenishment Multifunctional resources, joint scorecards technology
GODREJ
Plant
PWH
RWH
CFA
Distributer
Retailer
Consumer
Benefits
Sampark : Connectng distributors Sahayog: Connecting suppliers SAP