Download - Center for Enterprise Resource Planning (ERP) - …web.mst.edu/~erpcenter/erp/posters/external/SCM_poster1.pdfCenter for Enterprise Resource Planning (ERP ... 2006-2007 Growth (%)

Center for Enterprise Resource Planning (ERP)Center for Enterprise Resource Planning (ERP)

Company2007

Revenue2007

Market Share (%)

2006 Revenue

2006 Market

Share (%)

2006-2007 Growth (%)

Worldwide Supply Chain Management Software Revenue Estimates for 2007 (Millions of U.S. Dollars)

Value ChainNetwork

Complexity

Value ChainNetwork

Complexity

SAP 1,334.4 22.4 1,011.6 20.0 31.9Oracle 955.2 16.0 757.5 14.9 26.1JDA

Software229.6 3.9 137.2 2.7 67.4

Ariba 160.3 2.7 150.7 3.0 6.3ManhattanAssociates

152.2 2.6 134.6 2.7 13.0

Others 3,131.5 52.5 2,878.5 56.8 8.8Total 5 963 2 100 0 5 070 1 100 0 17 6

Managing ComplexityIntegrate and continuously SCM is coordination of

d t/ t i l i f tiSD

Sales &Distribution

MMMaterials

Mgmt.PP

ProductionPlanning

QM

FIFinancial

Accounting

COControlling

AMFixed Assets

Mgmt.

PS

SAPStrategic

Enterprise

SAP B2BProcure-

ment

SAP Sales

SAP Marketing SAP Service

Info DB

SAP CRM

BW

FunctionalComplexity

EnterpriseComplexity

Ability toManageSupply Chain

Complexity

FunctionalComplexity

EnterpriseComplexity

Ability toManageSupply Chain

Complexity

Total 5,963.2 100.0 5,070.1 100.0 17.6improve: operational excellenceCompress the supply chain to eliminate wasted time and inventory

product/material, informationand Payment flows.

Five major SCM decision areas:

1. Location Decisions

9

QualityManagement

PMPlant

Maintenance

HRHuman

Resources

PSProjectSystem

WFWorkflow

ISIndustrySolutions

Management

ManagementCockpit

SAP LogisticsExecution

System

SAP BISAP SCM

SAP APO

BW

Ability to Manage Supply Chain RelationshipsIntegration Collaboration Synchronization

Ability to Manage Supply Chain RelationshipsIntegration Collaboration Synchronization

yCreate new reserves to allow flexible response to the unexpected

Managing RelationshipsIntegrate technologies to extend into

li d t

2. Production Decisions3. Inventory Decisions4. Transportation Decisions5. Information

Supply Chain intelligence consists of four basic analytical domains, each based on broadly defined set of supply chain functions. These domains are:

ProductionPlanning

TransportationPlanning

GlobalATP

CollaborativePlanning

Demand & SupplyPlanning

S l

suppliers and customersBuy, build & borrow new capabilities from the best companiesSupply chain human performance‐engaging your peopleBuild demand chain synchronization pp y

‐ Inventory Analysis‐ Procurement Analysis‐ Supplier Production Analysis, and ‐ Sales and Logistics Analysis

The domains map to the key functional areas where analytics can provide significant value

DataWarehouse ERP CRM SEM …

Integration LayerPlug-In’s, Business Connector, APX, BAPI, XML, …

liveCache

InfoCube

Solvers

Online

Store

capabilities

Main DCPlant 1

Prio 2

Capacity: 200

Prio 2

Prio 1

analytics can provide significant value. Store

Plant 2

Supplier B

Customer JapanSupplier A (Comp C)

Demand: 300

Prio 2

Capacity: 400

Prio 1

Local DC Supplier B (Comp C&D) Customer Australia

Demand: 500Customer

CollaborationPlan

Supply Chain Performance ManagementMeasure

D n

ERPSupply ChainAnalytics

Private

Exchanges

Vendor Customer

Supplier RelationshipM t

Source DeliverAvailability Check

(ATP)

Make

Production Planning/

Demand Planning(DP)

Supply Network Planning

(SNP)

Dyn. Supply C

hain Coop pp

ly C

hain

Coo

pera

tion

Private

ExchangesPartners

SupplierCollaboration

Partner Partner

Management(SRM)

Scheduling agreement release

(ATP)Transportation Planning

(TP/VS)

gDetailed Scheduling

(PP/DS)

Supply Chain Event Management

Monitor

peration

Dyn

. Sup

SharedInformation

Data source: SAP AG Gartner Group Principles and Tools for Supply Chain Management by Scott Webster 1st Edition 2008 McGraw‐Hill

Center for ERPCenter for ERPDirector : Dr. BihDirector : Dr. Bih--Ru Lea ([email protected])Ru Lea ([email protected])107B Fulton Hall, Rolla, MO 65409107B Fulton Hall, Rolla, MO 65409--0320 Phone: 5730320 Phone: 573--341341--6436 Fax: 5736436 Fax: 573--341341--4812 4812 Center Email: [email protected] Web: http://web.mst.edu/~erpcenterCenter Email: [email protected] Web: http://web.mst.edu/~erpcenter

Data source: SAP AG, Gartner Group, Principles and Tools for Supply Chain Management by Scott Webster , 1st Edition 2008. McGraw Hill