Multinational high-tech firm transforms supply chain procurement processes
Exception-driven supply chain processes were tribal and inconsistent
Developed exception management platform
Buyers enabled to make more informed decisions
"We learned more, and we had more opportunities to continuously improve the process. The results were that the buyers themselves were able to process twice the work."
The Business Issue
This multinational chipmaker had a goal of transitioning into a more data-focused company. With its 20,000 trading partners and suppliers and internal and external manufacturing arms, this goal was particularly pertinent to the supply chain organization which was facing the following issues:
- Exception-driven decision making
- Siloed and tribal buying processes that required specialized knowledge
- Inconsistent prioritization leading to delays and increased costs
A growing number of customers and product offerings meant that the current way of doing business was unsustainable. In order to scale up, they needed to bring more structure into its procurement processes
The company created an exception management platform that identified business exceptions as they occurred. Exceptions were prioritized and displayed in a web portal where buyers could quickly begin working on a task.
To balance the workload, knowledge was centralized within the platform. Buyers who were unfamiliar with particular tasks received guidance by the system on how to execute processes. Data was also aggregated and summarized visually to assist in decision making.
By giving buyers the tools they needed to make informed decisions, the organization saw the following results:
- 50% productivity increase
- 50% late order reduction
- Excess inventory cost reduction
- 50% cycle time reduction
- 95% of work fungible/interchangeable
- 80% user satisfaction
Industry Group: 製造
課題: オペレーショナル エクセレンス