Supplier Collaboration - Doing it the right way

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Supplier Collaboration - Doing it the right way
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Top 10 benefits of an Integrated Supplier Portal

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Supplier Collaboration - Doing it the right way

  1. 1. Supplier Collaboration doing it the right way !!Retail & CPG Supply Chain SummitLondon, June 20th, 2011.By: Hiren Doshi (hiren.doshi@manthansystems.com) 1
  2. 2. Evolution of Supplier Collaboration Value Collaboration Chains Primarily Around Inventory CPFR Technology Primarily Web Services Around Document Exchange ECR GDSN Internet EDI Quick Response XML Just in time EDI 20101980 2
  3. 3. Supplier Collaboration has come a long waySource: Gartner Supply Chain Hype Cycle 2010 3
  4. 4. Departmentalized approach to CollaborationSUPPLIER RETAILER Order Mgmt Finance Finance Invoice/ Marketing Payments Marketing Commercial PIM Buying Manufacturing Scorecard Technical Logistics Auctions Demand/Logistics Order Logistics Order Process IT Product Intro IT Registration 4
  5. 5. Leading to multiple supplier systemsSUPPLIER RETAILER EDI Finance Custom Finance Applns Marketing Marketing Commercial Phone Buying Manufacturing Technical Email Logistics Demand/Logistics Fax Order Order Process Spread IT sheets IT Portals 5
  6. 6. An example from a $5Bil Retailer Warehousing agreements Document Exchange SC conflict resolution Payments ASN and GRN Product Private label Mgmt & orders Self Service for AP Cost negotiations documents 4 4 Vendor promotions Supplier complaints VendorPromotions Campaigns Management Cost checking Rebates and discounts Trading agreements 3 3 = 14 Supplier Systems 6
  7. 7. Inherent Deficiencies• No Data Integration• No Decision Support Capabilities• No Process Integration or Automation• Restricted 2-way communication• Primarily focused on top suppliers 7
  8. 8. Future of Supplier CollaborationSUPPLIER RETAILER Single Supplier Collaboration Finance Platform Finance Marketing Marketing Orders/ Payments Buying Commercial Vendor Mgmt Technical Manufacturing Product Mgmt Logistics Demand/Logistics Promotion Mgmt Order Order Process IT IT 8
  9. 9. Top 10 Benefits of anIntegrated Supplier Portal 9
  10. 10. Automate Process not just Activities1. NPI De-list Store 1 Campaign Promotion Store 2 10
  11. 11. Process + Data = Intelligence2. 11
  12. 12. Enables a two-way communication3.2. 12
  13. 13. Comprehensive and Actionable Information 4. 13
  14. 14. Automate larger Supplier Community5. 14
  15. 15. Scalability beyond just the Top Suppliers 6. 15
  16. 16. Find your true Mate 7. 16
  17. 17. Every one speaks the same language8. Margin OTIF OOS Sell through Margin OTIF Margin OOS OTIF Sell through OOS Sell through 17
  18. 18. Take it to the next level across your organization9. Commercial Supply Chain Merchandising 18
  19. 19. Almost Always Self funded 10. 19
  20. 20. What is available today?• Would it be nice if a single product can handle all Retailer-Supplier interactions and collaborative processes?YES• Does such a product exist today? 20
  21. 21. Introducing Manthan SPA Supplier Portal & Analytics promises to OPTIMIZE PROCESSES & ENHANCE PERFORMANCE between retailer & supplier– Automates and enables complete visibility across all the transactions between supplier & retailer– Optimizes the process between supplier & retailer by providing close loop BI capabilities– Provides a true 2-way collaborative platform to improve product, inventory, promotion and supplier performance 21
  22. 22. SPA Functional Capabilities Automation of Collaborative Business Process Planning for Price, improving accuracy Promotion, and visibility Inventory Ex. PO Approval to stock delivery Ex. Promotion plans, Price to payments negotiations, New product introductions VendorSharing of criticalinformation for SPA Management, Contract andtimely actions Master Data Ex. Supplier stock visibility and Ex. Vendor sign-up, delisting, sales info sharing article updates Analytics for Better Negotiation and Strategic Planning better business with Suppliers decisions Ex. Supplier performance scorecards; Ex. Joint Business Plan, OTB SKU performance Plan 22
  23. 23. A Complete Supplier Portal ORDERS VENDOR RELATIONSHIP PROMOTIONS NEW STORE PRODUCT PAYMENTS MGMT MANAGEMENT OPENING NEW VENDOR ASSORTMENT SUPPLIER VENDOR PURCHASE REMITTANCE TERMS OF DELIVERY DETAILS FOR THE INITIATED INITIATED ORDER ADVICE TRADE SCHEDULE UPDATE VENDOR PROMOTION PROMOTION VENDOR PACKAGING DEBIT MERCHANDISE STORE STORE PROFILE SALES PLAN PROMOTIONS LIST NOTES HIERARCHY PROMOTIONS LAYOUTS AMENDMENTS SUPPLIER SUPPLIER NEW CREDIT REBATES & GANDOLA INVOICE DELIVERY OTB PLAN PRODUCT FILL RATES NOTES DISCOUNTS HIRE SUBMISSION CALENDAR INTRODUCTION STATEMENT PRODUCT ASN/ CONTRACTS & BUSINESS CAMPAIGN FILL RATE OF DETAILS SHIPMENTS DOCUMENTS REVIEW BOOKINGS DISCREPANCY ACCOUNTS AMENDMENT PRICE LABEL VENDOR REVIEW & PROMOTION AND MARKETING RECEIPTS COST PRINTING SCORE CARD CALENDAR AMENDMENT OUT OF STOCK RETURN TO ADVISORY BY VENDOR VENDOR OBSOLETE STOCK ADVISORYROLE BASED PENDING SEARCH MY STORE USER INFORMATION CHAT BOX MY ALERTSDASHBOARD TASKS & ACT MESSAGES LISTING PROFILES CALENDARADVANCED PROCESS KPI – VENDOR SPACE SALES INVENTORY PROMOTIONS ASSORTMENT FINANCE PO, PRODUCTANALYTICS PERFORMANCE ANALYTICS PROMOTIONS 23
  24. 24. Real life Business Benefits• Purchase order corrections reduced by 15%• Supplier led promotions increased by 30%• Vendor fill rate enhanced by 5%• OOS during promotion reduced by 15%• New Vendor Registration time reduced by 70%• New product introduction time reduced by 50% 24
  25. 25. Thank You 25

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