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Order Automation
Pays
Customer Management
Breakout Session –
inSIGHT 2013
Presented by Gary Neights
Elemica’s Customer
Management Suite
Touch-less order processing
Increase the “perfect order”
percentage
Improved supply chain
reliability
Reduces errors
Improved customer service
Faster invoice payments
Agenda
Elemica Insights on Customer Management
– Direct research
• Surveys and user group
• CCSMG (business chapter of ICSA)
– Secondary research (Gartner, Aberdeen)
Solution Updates
– QuickLink Email and FORM
– Delivery Forecast
– Vendor Managed Inventory
People Value
Automation
Holiday, sick days, and training
coverage is easier with
standard, automated processes.
Protects our business. Servicing
more customers, more
efficiently keeps us strong and
profitable.
Frees up time for the important tasks like …
• Product availability and allocation
• Order growth and contract consumption analysis
• Exchanges, swaps, tolls, and transportation
• Maintaining customer data
Fewer orders miss cutoff
times when they flow
into automated work
processes.
How do I automate
all my customers?
Automation impacts different
people in different ways…
Automation solves issues with incorrect product
identifiers, getting orders inside cutoff times, and
high fulfillment costs in our specialty business.
Elemica has solved the problem of smaller
customers ordering with the wrong unit of measure.
My business sells commodity products. Automation
fixes issues related to shipping the right product to the
correct location on the right date.
This results in 30% order cycle time improvements, 8-9%
improvement in on-time delivery and fill rates, and 75% fewer
order entry errors.
Best practices to get there
Process Design
• Automate the routine:
– Transactions (order, invoices)
• Standard instructions to CMIR
– 24x7 portals
• Status, trace, and reports
• Free up brain power
– Customer inquiries / training
– Expedite special instructions
– Exceptions / complex orders
– Customer insight / relations
Process Enablement
• People
– Management buy-in & budget
– Staff motivation and skill set
• Process
– Automate transactions
– People manage master data
– When to involve people
• ATP Accuracy
• Technology
– Right tools for the job
– Data integrity
ELEMICA
PRODUCT
UPDATE
The Elemica Supply Chain
Operating Network
Analytics
Universal Business Concepts BI
Applications
Universal Business Concepts RulesApps
Social UI
Discovery
Onboarding
Collaboration
Apply
the Right
Process
Derive
Insight
Document
Stream
Document
Stream
Enterprise
Systems of
Record
Enterprise
Systems of
Record
Universal Business Concepts
Network Master
Data ManagementConnectivity
Network
Speak
the Same
Language
Automation
Value
$
Process
Enablement
$$
Market
Insight
$$$
Elemica Research on Order
Automation Value
Lower error correction costs
– Data keying
– Paper handling
– Convert/ correct data
Improve agility in operations
– Less overtime & rush
shipments
– Faster Payment
Better data quality
– Bad data costs you money
– Better analytics
By automating customer and purchase orders, you can…
80% Total Cost Reduction
9
Customer Management
Design Concept
• Customers manage their business process in their system
• Customer service manage their business process in their system
• Elemica ‘standardizes and harmonizes’ the disparate processes
• Internal IT focused on uptime, data accuracy, and process optimization
10
EDI/XML Orders
Complexity
ERP Process-
able Orders
Your Customers
Your Systems
Single Channel to Manage
QuickLink
Simplify and Standardize
Elemica Products
Customer Sends Seller Receives
ElectronicOrders
ElectronicChanges
EmailOrders
PrintOrders
YearsOrdersinExcel
InventoryLevels
Demand
DeliveryReceipt
ShipmentStatus
DeliverySchedules
ElectronicOrders
ElectronicChange
Ordersqueued
Sales Order Management ✔ ✔ ✔ ✔ ✔ ✔
Repeat Order Entry ✔ ✔ ✔
Vendor Managed Inventory ✔ OP OP OP ✔ ✔
Rail Car Fulfillment ✔ ✔ ✔
Delivery Forecast ✔ ✔ ✔ ✔
11
Variation and Complexity Simplicity
OP = optional
SALES ORDER
MANAGEMENT
Today: QuickLink
ERP and Email
Customer population
Order
Volume
QuickLink™ Email
• Customer emails customer format.
• Non-structured data.
• Little customer data sync.
QuickLink™ ERP.
• Customer B2B.
• Standard formats (x12, etc).
• Code values (product ID, etc).
• Data synch.
Typical Order Curve
QuickLink Email
QuickBooks, SAGE, Excel,
Word, SAP, etc.
Email
Orders
Email
Confirmations
1
3
Buyer’s
Systems
Seller’s
System
Automatic
Integration
2
Automates customer’s email orders with 100% accuracy. Customer
needs no IT infrastructure other than email.
 Non-structured data to structured
 Error detection and alerting
 Cross-reference and logic
QuickLink Email Statistics
Period: June 2011 to May 2013.
Customers >1000
Addressing the Long
Tail
Customer population
Order
Volume
QuickLink™ Email
• Customer emails customer format.
• Non-structured data.
• Little customer data sync.
QuickLink™ ERP.
• Customer B2B.
• Standard formats (x12, etc).
• Code values (product ID, etc).
• Data synch.
ERP Characteristics.
- Volume = highest
- Data quality = highest
- Value to automate one customer: highest
Mail Characteristics.
- Volume = high to low
- Data quality = medium
- Value to automate one customer= medium
Long Tail Characteristics.
- Volume = low
- Data quality = lowest
- Value to automate one = low
Automating all customers
in a segment has value.
QuickLink Automates
Each Customer Segment
Customer population
Order
Volume
QuickLink™ ERP. Real-time system integration
using EDI and XML. Code values (product ID, etc).
Connect:$$$ Run:$$$ (Customer B2B)
QuickLink™ FORM. Customer emails
Elemica FORM. Form stops errors.
Connect:$ Run:$ (No customer B2B)
QuickLink™ Mail. Customer emails customer
format. Few code values. We fix their errors.
Connect:$$ Run:$$ (No customer B2B)
DELIVERY
FORECAST
Delivery Forecast
Supports plant scheduling processes used by
automotive and CPG customers
Delivery Forecast 2.0
Major Upgrade
2013
Q2/Q3: 2013
Develop and test
Q4: 2013
Available in Test and Prod
Customer business scenario improvements:
• Orders / changes inside or close to cutoff dates
• Exclude requirements from processing based on shipment
• Plant or product specific processing variations
Self-service and audit
• Setup screens and process
• Self-service inquiry screens:
• Requirement history
• Setting traceability
Code re-engineering
VMI
Vendor Managed
Inventory
Supports automated fulfillment of bulk tanks
and discrete warehouses
QUESTIONS/
COMMENTS
?
?
?

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Gary Neights – Customer Management “Order Automation Pays”

  • 1. Order Automation Pays Customer Management Breakout Session – inSIGHT 2013 Presented by Gary Neights
  • 2. Elemica’s Customer Management Suite Touch-less order processing Increase the “perfect order” percentage Improved supply chain reliability Reduces errors Improved customer service Faster invoice payments
  • 3. Agenda Elemica Insights on Customer Management – Direct research • Surveys and user group • CCSMG (business chapter of ICSA) – Secondary research (Gartner, Aberdeen) Solution Updates – QuickLink Email and FORM – Delivery Forecast – Vendor Managed Inventory
  • 4. People Value Automation Holiday, sick days, and training coverage is easier with standard, automated processes. Protects our business. Servicing more customers, more efficiently keeps us strong and profitable. Frees up time for the important tasks like … • Product availability and allocation • Order growth and contract consumption analysis • Exchanges, swaps, tolls, and transportation • Maintaining customer data Fewer orders miss cutoff times when they flow into automated work processes. How do I automate all my customers?
  • 5. Automation impacts different people in different ways… Automation solves issues with incorrect product identifiers, getting orders inside cutoff times, and high fulfillment costs in our specialty business. Elemica has solved the problem of smaller customers ordering with the wrong unit of measure. My business sells commodity products. Automation fixes issues related to shipping the right product to the correct location on the right date. This results in 30% order cycle time improvements, 8-9% improvement in on-time delivery and fill rates, and 75% fewer order entry errors.
  • 6. Best practices to get there Process Design • Automate the routine: – Transactions (order, invoices) • Standard instructions to CMIR – 24x7 portals • Status, trace, and reports • Free up brain power – Customer inquiries / training – Expedite special instructions – Exceptions / complex orders – Customer insight / relations Process Enablement • People – Management buy-in & budget – Staff motivation and skill set • Process – Automate transactions – People manage master data – When to involve people • ATP Accuracy • Technology – Right tools for the job – Data integrity
  • 8. The Elemica Supply Chain Operating Network Analytics Universal Business Concepts BI Applications Universal Business Concepts RulesApps Social UI Discovery Onboarding Collaboration Apply the Right Process Derive Insight Document Stream Document Stream Enterprise Systems of Record Enterprise Systems of Record Universal Business Concepts Network Master Data ManagementConnectivity Network Speak the Same Language Automation Value $ Process Enablement $$ Market Insight $$$
  • 9. Elemica Research on Order Automation Value Lower error correction costs – Data keying – Paper handling – Convert/ correct data Improve agility in operations – Less overtime & rush shipments – Faster Payment Better data quality – Bad data costs you money – Better analytics By automating customer and purchase orders, you can… 80% Total Cost Reduction 9
  • 10. Customer Management Design Concept • Customers manage their business process in their system • Customer service manage their business process in their system • Elemica ‘standardizes and harmonizes’ the disparate processes • Internal IT focused on uptime, data accuracy, and process optimization 10 EDI/XML Orders Complexity ERP Process- able Orders Your Customers Your Systems Single Channel to Manage QuickLink
  • 11. Simplify and Standardize Elemica Products Customer Sends Seller Receives ElectronicOrders ElectronicChanges EmailOrders PrintOrders YearsOrdersinExcel InventoryLevels Demand DeliveryReceipt ShipmentStatus DeliverySchedules ElectronicOrders ElectronicChange Ordersqueued Sales Order Management ✔ ✔ ✔ ✔ ✔ ✔ Repeat Order Entry ✔ ✔ ✔ Vendor Managed Inventory ✔ OP OP OP ✔ ✔ Rail Car Fulfillment ✔ ✔ ✔ Delivery Forecast ✔ ✔ ✔ ✔ 11 Variation and Complexity Simplicity OP = optional
  • 13. Today: QuickLink ERP and Email Customer population Order Volume QuickLink™ Email • Customer emails customer format. • Non-structured data. • Little customer data sync. QuickLink™ ERP. • Customer B2B. • Standard formats (x12, etc). • Code values (product ID, etc). • Data synch. Typical Order Curve
  • 14. QuickLink Email QuickBooks, SAGE, Excel, Word, SAP, etc. Email Orders Email Confirmations 1 3 Buyer’s Systems Seller’s System Automatic Integration 2 Automates customer’s email orders with 100% accuracy. Customer needs no IT infrastructure other than email.  Non-structured data to structured  Error detection and alerting  Cross-reference and logic
  • 15. QuickLink Email Statistics Period: June 2011 to May 2013. Customers >1000
  • 16. Addressing the Long Tail Customer population Order Volume QuickLink™ Email • Customer emails customer format. • Non-structured data. • Little customer data sync. QuickLink™ ERP. • Customer B2B. • Standard formats (x12, etc). • Code values (product ID, etc). • Data synch. ERP Characteristics. - Volume = highest - Data quality = highest - Value to automate one customer: highest Mail Characteristics. - Volume = high to low - Data quality = medium - Value to automate one customer= medium Long Tail Characteristics. - Volume = low - Data quality = lowest - Value to automate one = low Automating all customers in a segment has value.
  • 17. QuickLink Automates Each Customer Segment Customer population Order Volume QuickLink™ ERP. Real-time system integration using EDI and XML. Code values (product ID, etc). Connect:$$$ Run:$$$ (Customer B2B) QuickLink™ FORM. Customer emails Elemica FORM. Form stops errors. Connect:$ Run:$ (No customer B2B) QuickLink™ Mail. Customer emails customer format. Few code values. We fix their errors. Connect:$$ Run:$$ (No customer B2B)
  • 19. Delivery Forecast Supports plant scheduling processes used by automotive and CPG customers
  • 20. Delivery Forecast 2.0 Major Upgrade 2013 Q2/Q3: 2013 Develop and test Q4: 2013 Available in Test and Prod Customer business scenario improvements: • Orders / changes inside or close to cutoff dates • Exclude requirements from processing based on shipment • Plant or product specific processing variations Self-service and audit • Setup screens and process • Self-service inquiry screens: • Requirement history • Setting traceability Code re-engineering
  • 21. VMI
  • 22. Vendor Managed Inventory Supports automated fulfillment of bulk tanks and discrete warehouses