webinar-translating business drivers into technology requirements

8/7/2019 Webinar-Translating Business Drivers into Technology Requirements

1/17

Dr. Hau LeeThoma Professor of Operations Information

and Technology

Stanford Graduate School of Business

David SmoleySenior Vice President and

Chief Information Officer

Flextronics International

John SicardExecutive Vice President Marketing,

Development and Service Operations

Kinaxis

Moderated by:Oliver Sloane, Managing Director, RaptureWorld Ltd.

Presented by:


2/17

Supply Chain Environment

Demand &

supply

uncertainties

Fast-moving fashion

Strong competitive forces

Increasing product variety

Potential of external disruptions

Introduction of product innovations

New emerging supply sources & channels

Frequent product transitions

Manufacturing cost pressures

Outsourced manufacturing partners

Outsourced design partners

New channel partners

Other associated product providers

Short product

& technology

cycles

Multiple

supply chain

partners


3/17

Intelligent S&OP and SCM

Stages

Visibility

Coordination

Integration

Elements

Information sharing andunderstanding (within and

between organizations)

Collaborations on jointplans, coordinated withmultiple inputs

Integrated decisions andcontrol, tightly coupledsense and response


4/17

Visibility Across the Chain

Downstream

demand

visibility

Forward

demand

information

Uncertainty

reduction

Responsive

planning

Improved

performance

Improvedperformance

Responsiveplanning &

reaction

Uncertaintyreduction

Forwardsupply

information

Upstreamsupply

visibility


5/17

Six Sigma

Supply Chains

Identify

Analyze

Act

Measure

1. Track and measure

2. Identification & alerts

3. Root cause diagnosis

4. Action analysis5. Action execution

6. Feedback & updates

Sense

Respond


6/17

6Design. Build. Ship. Service.

Design. Build. Ship. Service.


Using Technology to Accelerate Supply Chain Collaboration

David SmoleySVP & CIO
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7/177Design. Build. Ship. Service.

Flextronics


$30 Billion Revenue

200,000 employees

130 Locations

30 Countries

27 million manufacturing sq ft
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Product Sectors

Integrated Manufacturer/Direct Ship

No/Low Touch/Low Value Add

Value Add/ CTO

High Value/Solutions

Services

MfgSupply Value-Add Logistics Service Replenishment

Direct/Online

Enterprise

Go to MarketStrategiesCompany

Strategy

Business Models

Operations Strategy

Value Chain Strategy

There is no Single Best Supply Chain Strategy

but there is the best strategy given a companys

Business Strategy

Note/Net Books

Servers

Printers Energy/Solar

Power Supplies

Glucose Meters

Routers

LCD TVs

Meters & Controls

PCB/Flex Circuits

Camera Modules

LCD Displays

Cables

Machining

Plastics

Metal Fabrication

SMT Assembly
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Value Chain Strategy Goals

Lowest End-to-End costs thatinclude raw material costs, inbound

supply chain costs, transformationcosts and outbound cost includingduties to the end delivery point.

Flexibility and agility to mitigate risks,sudden changes or unexpected events.

Highest possible servicelevels that meet or exceedcustomer requirements. Keymetrics include order cycletime, on-time delivery, orderfill rate and productavailability

Efficient use of resources,fixed assets and inventoryin the end-to-end valuechain that complimentlower costs and higherservice levels

Lower Carbon Emissions and footprint

that results in a greener value chain



Key Enabling Elements From Data to Intelligent Response

Accelerated Decision making

Beyond just supply and demand visibility

Flexible Velocity for Delivery

More than just demand pull versus supply push

Operational Execution

Analytical Backbone

10

DATA KNOWLEDGE BUSINESS INTELLIGENCE DECISION

FLEXIBILITY + VELOCITY + INNOVATION + ADAPTABILITY


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Enabling Supply Chain Collaboration with Technology

1. Process and organization come first then the IT tools enable,

Partnership & alignment with the business is key,

Enabling business speed and agility is the top priority,

2. Best of breed portfolio of standard tools,

Tools should be able to be coupled/de-coupled,

Ability to span across sites, countries, regions

Rapid deployment

Easy to use, easy to learn

3. Enable collaboration across org boundaries

Desktop video, Meetingplace, Webex

Filesharing via Sharepoint

HD video conferencing


12/17


13/17


Planning Application Suite Example

Standard MRP Logic

Standard MRP Reporting

E&O, Shortage Demand Planning

Demand Fulfillment

Procurement

Customer Collaboration

Supplier Collaboration

FSP

Portals

Re-Order Point Calculation withhighly customizable algorithms

Safety Stock Calculation

Online Customer Collaboration

Customized Supply ChainReporting

Demand Planning

Rapid MRP Regeneration

MRP Simulations, alt. parts

Suggested Changes / Re-Schedule Messages

Rapid ATP

Demand Change ImpactAnalysis - E&O, Shortage

Supply Planning

Multiple tools enablingreal-time collaboration

Any device, anywhereFTPMeetingplace
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Where is the future going?

Social networking tools mature/adopt Cisco, Google, SF.com, Msoft etc

Saas/cloud enablement & virtualization where appropriate

In-memory processing enhances speed/quality of decisions

Open, web-enabled b2b and a2a integration get data in/out fast, large

volumes

Control tower extending the supply chain up/down stream via technology


15/17


Thank you


16/17

Dr. Hau LeeThoma Professor of Operations

Information and Technology

Stanford Graduate School of Business

David SmoleySenior Vice President and

Chief Information Officer

Flextronics International

John SicardExecutive Vice President Marketing,

Development and Service Operations

Kinaxis

Q&A

Please feel free to submit your questions now


17/17

Thank you for joining us

If you have any questions or comments, or would like

to receive a copy of todays presentation please email

[email protected]

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