avata | tigi

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page 1 AVATA is a recognized leader with deep industry, business, and technology experience specializing in the implementaon of Oracle Cloud, JD Edwards and Supply Chain Management Soluons. Where strategy meets execuon AVATA | TIGI ® Case Study

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AVATA is a recognized leader with deep industry, business, and technology experience specializing in the implementation of Oracle Cloud, JD Edwards and Supply Chain Management Solutions.

Where strategy meets execution

AVATA | TIGI®

Case Study

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Award-winning hairdresser Anthony Mascolo and his brothers started TIGI® to provide the ‘liquid tools’ they needed to fulfill their vision for modern hairstyles. They also founded educational programs to motivate and inspire hairdressers and provide them with the information to create the latest haircuts using TIGI® products. TIGI has since become a considerable global supplier of hair care, styling and hair color products sold through professional salons and beauty stores. Now a part of Unilever, TIGI maintains a globally executive supply chain.

Based in a number of global locations with main hubs being London and Dallas, TIGI oversees the design, sourcing, marketing and sales of its products in nearly 60 countries across the world. It operates an end to end, global and autonomous supply chain with about half a dozen planners being responsible for forecasting and demand management for input to the company’s Oracle planning (ERP) management system.

TIGI’s planning processes up until 2014 were basic. Company leaders recognized the need for better tools to support operations and the need to work towards a Sales and Operations Planning (S&OP) process strong enough to support their global business and its ambition.

PRODUCTS & SERVICES

BED HEAD

BED HEAD COLOUR TRIP

COPYRIGHT COLOUR

CATWALK

S FACTOR

EDUCATION

TRENDS MAGAZINE

LOCATIONS

BRAZIL

FRANCE

GERMANY

ITALY

LATIN AMERICA

AUSTRALIA

NEW ZEALAND

RUSSIA

UNITED KINGDOM

UNITED STATES

AVATA | TIGI®

Case Study

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The first part of their journey involved significant emphasis being placed on planning talent, systems and processes and initially stepped up capability with more sophisticated excel spreadsheets. This enabled ‘proof of principle’ allowing the company to embark on the next stage of reviewing demand planning solutions within the marketplace. TIGI contacted their Oracle team regarding Demantra; Oracle’s unequivocal answer was immediate: use Demantra, and get AVATA to help you. Thus their journey toward S&OP began with implementation of a world-class demand management process, initiated in July of 2015 with a Demantra ‘go live’ date scheduled for May of 2016. Moving from Excel to DemantraTIGI’s journey from Excel to Demantra was more than a simple replacement of one toolset for another. The primary objectives for the demand management phase of the project was to take the skills and capabilities of their own Demand planners and couple that with state of the art system capabilities. Demantra brought the ability to expand their forecasting process to include sophisticated statistical forecasting tools, and the ability to include external influences like promotions, new customers and channels, product line expansion and more to the demand planning function. TIGI has a name for this effort: “professionalizing the supply chain”.

TIGI contacted their

Oracle team regarding

Demantra; Oracle’s unequivocal answer was immediate: use Demantra, and get AVATA to help you.

The Bottom Line...

Excel-based forecasting is necessarily limited, changes were difficult to track and Demand planners were spending more time maintaining the integrity of the forecast than adding value through strong business partnerships. Nevertheless, the forecasts were reasonably good. Most limiting, the Excel-based forecast process was not good at detecting changes in demand early enough to adjust production plans. Detecting a significant shift two months before it takes the market in a new direction is not much help when lead time for getting product into distribution is closer to three or four months.

Case Study: TIGIApril 2017

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So the first step of the implementation was to simply replicate the existing demand planning model in the Demantra system. Once that was accomplished, TIGI was pleased to see that the existing (Excel) forecasts were not very different from those developed in Demantra, and reasonably accurate overall – validating the existing model and assumptions as well as the base forecast developed in Demantra. Now they could add historical and forward views, more advanced statistical forecasting, and the ability bring in those external factors to improve forecasting accuracy, especially in the critical 3 to 4 month horizon that drives production activities.

Working toward S&OPTIGI is not resting on their accomplishments. Work continues on improving the forecast, enabled by measurements of accuracy and bias that were unavailable in the old process. They now feel that they have the tools necessary to really make the forecast and demand management process accurate, reliable, and comprehensive – and they plan to do just that. They are also working on establishing and monitoring a set of KPIs that will help drive the business as they bring things together under one robust S&OP process. And therein lays the real value of the whole effort. With Demantra and S&OP, TIGIs production and financial plans will be fully in sync.

Through S&OP, TIGI will cement the relationship between demand management and production planning. Demantra will help form a strong link between the forecast and the operations plan. They will be able to drive procurement and production from the accurately-forecasted product volumes and keep demand

AVATA really helped us understand the system and how to use it. And they didn’t allow us to get lost in the details. They kept us focused on what we needed to do to make it work for us.

Case Study:TIGIApril 2017

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The TIGI team is quick to acknowledge the valuable contribution from AVATA in their implementation process. “AVATA took us through a very steep learning curve and made it pretty easy – Demantra is a very comprehensive system and there’s a lot to learn. AVATA really helped us understand the system and how to use it. And they didn’t allow us to get lost in the details. They kept us focused on what we needed to do to make it work for us,” according to Tamsin Collins and Tony Herbert, two of the project’s key players. “AVATA is real easy to work with,” they added. “They were very patient and explained everything in clear, plain language; in layman’s terms.”

The Bottom Line...

and supply closely linked. This approach eliminates the gaps that have plagued the company in recent years. As demand varies, as it will do in a fashion-oriented business, those demand changes can be detected more quickly and production/distribution changes can be quickly implemented to get the right product into the right distribution nodes in time to meet customer expectations.

It’s really all about driving the right actions; making sure that production and distribution are totally in sync with the needs of the market. TIGI has established a discipline, a rhythm and a repeatable process. Inherently this is what S&OP is all about.

AVATA | 3000 Youngfield, STE 187 | Wheat Ridge, CO 80215 | 720-400-8898 | www.avata.com | [email protected]

Case Study: TIGIApril 2017

AVATA, a leading strategic partner of Oracle, is recognized for its global capabilities in helping companies solve critical business chal-lenges through people, process and technology. We offer the unique blend of real-world industry experience, best practices, and software expertise that sets us apart from pure system integrators. Leveraging Oracle Cloud, JD Edwards, and Supply Chain Manage-ment solutions, we provide our clients with a strategy that fits their organization and competitive processes that differentiate them in their respective markets and successfully deliver rapid improvements impacting bottom-line performance.