IBM aims to practice what it preaches’ The company was quick to support the process fully automated? Such as order management, service requests and work orders from OEM manufacturing? Served to enhance customer satisfaction and operational efficiency’ And over the years, the company has remained committed to continuous improvement through the intelligent application of new technologies, becoming a fully automated business model using the most advanced supply chain solutions and practices’
IBM defines the next level of efficiency of business processes as a model for the application: “An enterprise whose business processes can respond quickly to any customer demand, market opportunity or external threat’” This transparent model requires end-to-end internal business processes to IBM, while the expansion of key partners, suppliers and customers’
THE CHALLENGE
With one of the largest and most complex supply chains in the world, IBM is investing $ 41 billion per year in orders for more than two million pieces per year, with 33,000 suppliers and 45,000 business partners’
“IBM is very focused on creating and building an integrated, end-to-end supply chain,” says Kevin O’Connell, director of IBM’s manufacturing and procurement process’ “Now, we wanted to experience new levels of collaboration’ To achieve our objectives in the implementation, we must expand the integration of business processes in a multi-level and supply chain systems, clients and partners’”
IBM realized that its own supply chain is not sustainable’ With its old system, based on IBM’s suppliers and partners reporting and management systems of the visibility of their supply chain’ Sourcing compliance by electronics manufacturing services (EMS) providers IBM supply base in any near-real time’ Instead, IBM operates in reactionary mode, based on self-reporting and EMS provider for the final quarter of the information’
After a lengthy analysis, IBM decided it needed a standard in the industry supply chain that enables the management solution for the synchronization of supply and demand and visibility in Category 2 and 3, suppliers and manufacturers contract for all manufacturing sites around the world and the divisions of IBM’ The solution should be flexible and robust enough to support customer demand scenarios with proactive planning of supply and demand’
THE SOLUTION
IBM addressed two E2open to provide evidence of customer management solutions in the supply chain:
* E2open supply and demand synchronization solutions: IBM can detect and respond rapidly to changes in supply and demand? Principles of the imbalances and signs of possible shortages’ These capabilities allow IBM to meet its objective of creating an integrated approach throughout the supply chain that meets supply and demand is changing rapidly and accurately’
* Multi-tier Visibility Solution E2open: Provides Level 1, 2 and 3 suppliers consolidated visibility of forecasts, commits, the quantities and positions of inventory? If each level of the supply chain can continue the execution of the supply chain and respond quickly to imbalances, errors and shortcomings’ The scope and depth of visibility is essential for high levels of supply of insurance’
Work together without problems, E2open provide supply chain management solutions provider and IBM with a consolidated view of customer demand, available supply and imbalances’ Enable IBM to proactively manage supply and demand for performance, and recovery of the global pool of IBM through the supply chain, providing a more accurate picture of supply positions’ Using the information gathered by E2open solution, each provider has the information needed to make decisions in the supply chain’
RESULTS
The solution is expanding at 37 manufacturing facilities and 10 of the replenishment (VMI) service centers, representing more than 85 percent of manufacturing costs IBM markets’ IBM and offers levels 1, 2 and 3 suppliers a consolidated view of supply and demand’
E2open with the solution, IBM is able to proactively manage supply and demand for performance, and replenishment of stocks through their global supply chains, and may climb further in resolving the majority of the chain supplies to board members through acquisitions and expansions’
IBM reached very quickly the value of time of rapid global integration and deployment of third party sites and suppliers, reducing the total cost of ownership, the streamlining and increasing the flexibility and response operations within its supply chain’ IBM estimates that 50 percent savings on the costs of deployment and operations in their solution and other approaches’ Benefits include:
* Reduction of supply and demand planning time from 45 to 10 days +
* Increased levels of replacing 85 percent shooting
* Improvement of the alien in the rates of delivery from 90 to 95 percent
* Improved inventory turns over 42 percent
Get time to qualify for less than nine months
These solutions help IBM in its quest to build a chain of highly responsive which can meet customer demand quickly and effectively’
ABOUT E2open
E2open is the leading provider of software for managing the supply chain as service visibility and control over global supply networks’ Industry leaders that power their supply chain with E2open Agere, The Boeing Company, Hitachi, IBM, LG Electronics, Matsushita Electric Industrial (Panasonic), Motorola, Seagate Technology, Solectron and Wistron’ E2open software as a service to recover faster delivery models, increased ROI and reduced risk and require fewer IT resources and business’ Over 15,000 companies worldwide currently use E2open’ Headquartered in Redwood City, Calif’, E2open is a private company’
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