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THE JOURNEY TOWARDS A
CUSTOMER CENTRIC SUPPLY CHAIN
22
SETTING THE SCENE:
INTRODUCING THE
CUSTOMER CENTRIC
SUPPLY CHAIN
How we want to inspire you today?
TRANSLATING THE SCENE:
THE CUSTOMER CENTRIC
SUPPLY CHAIN STRATEGY
SETTING THE SCENE:
INTRODUCING THE
CUSTOMER CENTRIC
SUPPLY CHAIN
TRANSLATING THE SCENE:
THE CUSTOMER CENTRIC
SUPPLY CHAIN STRATEGY
5
Customer Centricity Introduction
“Where is
my order?”
“Are you
capable or
reliable?”
“Can I get
my goods as
promised?”
gATP capability
(Planning)
Track & trace capability
(Logistics)
Differentiated KPIs
Customer Service will not be able to operate differently and differentiated based on customer value,
if we do not ensure the back-bone SCM-processes are enabling this difference as well.
“Can we change
shipping
location?”
Shipment
(Logistics)
…?
…
?
What customer are requesting in today’s world - - - - > Answering depends on full SC Capabilities
6
Seeing the bigger picture – customer centric supply chain
Don’t be mistaken customer centricity is not a customer service or sell & support objective only
The end of Supply Chain as we know it… Introducing the next gen supply chains…
Introducing a connected, customer centric & digitalized Supply Chain
Planning
DistributionOperations
Finance
Customer
Sales &
Marketing
Customer centricity &
digitalization
We are embracing people diversity every day!
It’s time to embrace customer diversity as well…
…and understand their flavours of value
GOOD GREAT
It’s all about making the right sound
The right one, differentiated for your customers
FLEXIBILITY
AGILITY
RELIABILITY
E2E
VISIBILITY
COST
FOCUS ON THAT ASPECT TO AMAZE INSTEAD OF BEING GOOD AT ALL THE BUZZS…
9
From customer segmentation to value segmentation
Important input to design a customer centric supply chain is defining your value segmentations
Segmentation
Geographical
Markets
Client history
Demographical
Customer
Lifecycle
Behavioral
Service &
collaboration level
Customer journey type
Integration level
Responsiveness, agility,
flexibility categories
Online/Off-line
Rethink your segmentation, use value segmentation angles instead of customer angles.
The result will be a simplified portfolio with clear customer centric supply chain
1010
Value segmentation – in practice
Traditional Segmentation
Typically driven by relevance, revenue,…
Use for certain prioritization, price setting,…
Customer Value Segmentation
Driven by value typologies (e.g. innovation, quality,
reliability,.) use for process differentiation in supply
chain/service providing (e.g. service catalogue,..)
Mixed Segmentation
Use a combination of segmentation: Combine Strategic and
Value Segmentation to define how to operate e.g. claim
handling, ATP…
A
Looking into value segmentation typically
result in enriching traditional
segmentation with different angles and
use different segmentation angles in
different parts of the process.
Augmentation & different angles
B
C
1111
Winning the customer experience race
WHAT WE BELIEVE IS SUCCESFULWHAT WE SEE HAPPENING
CX projects at the sideline
Customer Service Initiatives
Capturing parts of the VoC
Digital improvements pocs
Traditional customer segmentation
Project with departmental focus
Customer Centricity as
strategy
OWNING A FULL CUSTOMER CENTRICITY SC TRANSFORMATION VISION
Rethink the full
Supply Chain
Full Process focus: E2E,
Integrated, insights-driven
Rethink organization:
customer differentiation
Mindset, communication &
change management
Full business
transformation
SETTING THE SCENE:
INTRODUCING THE
CUSTOMER CENTRIC
SUPPLY CHAIN
TRANSLATING THE SCENE:
THE CUSTOMER CENTRIC
SUPPLY CHAIN STRATEGY
OUR VISION IN A NUTSHELL
13
Establish amazing
customer experience
(CX) as a
competitive edge
14
RESULTING IN OUR NEW SUPPLY CHAIN MISSION
Establish CX as a competitive advantage by creating a
customer-centric and integrated supply chain approach
Customer Centric Competitive Advantage Integrated Approach
CC mindset & culture
change along entire chain
Accept customers value
perspective as north star
Digital capability help to
overcome pure functional
view
NCustomer
Lifecycle
Customer
Experience
Customer
Value
THIS REQUIRES CHANGING TOWARDS OUTSIDE-IN
15
TO BE SUCCESSFUL WE NEED TO LEARN WHAT CUSTOMERS VALUE
To OPERATIONALIZE the vision and make it concrete & real,
we identified what customer value and how we could
impact CX if we differentiate.
7 FOCUS AREAS WILL SUPPORT THE CC SC
TRANSFORMATION GOING FORWARD
16
Performance Management & Data Analytics1
Customer Centricity
Ability to pro-actively feed
reliable & value-driven
information to the customers
with a 360° view on their
customers
Linking the flexibility & agility of
planning to the customer value
needs, resulting in distinct
planning & promise logic
Bringing customer integration &
collaboration to the next level by
introducing a logistic menu
Customer Service2 SC Planning3 Logistics4
People: mindset, culture, capabilities5
Master Data Management6
Sustainability & Risk Management7
D
I
G
I
T
A
L
I
I
D
G
T
A
L
THE MISSION: WHAT DO WE WANT TO ACHIEVE?
17
PUTTING OUR VISION IN PRACTICE
Customer Satisfaction
Competitive position
Experiences whishes
Customer Values
Current Pain points
Improvements tips
Capturing to understand: As continuous input to (re-) define & prioritize:
HENKEL’s CC ROADMAP
1. Foundation building Projects
2. Customer Centric Initiatives & Projects
3. Smaller continuous improvement initiatives
4. End-to-end initiatives (beyond SC)
BOOST SALES
through value
creation & loyalty
DIFFERENTIATIE IN CX
Deliver amazing
Customer Experience
as competition edge
Continuous
Outside-In Capturing
Doing the right things
Improving the Customer Experience
Establish a
Competitive Edge
A FIRST DISCOVERY GIVEN US A VOC BASELINE
18
SOME STATISTICS
11 SBU’s
participated
15 Customer
Journeys
2 sessions each
1416 Sticky
Notes
Posted
+ 88 active
session
contributors
+ 50 hours of
collaboration
time
+26 customer
interviews
conducted for
10 customers*
• Team highly appreciated cross-functional customer journey mapping („collaborative“)
• Well-balanced journey map discussions – stimulated cross-team exchange beyond sessions
• All customer interviews in open and collaborative atmosphere („open ears“)
*For 12 customers out of 15 interviews will be conducted
INSIGHTS IN OUR ACTIVITIES IN THE DISCOVERY
19
OUR EXECUTION APPROACH & RESULTS
“Inside-out” bottom-up approach “Outside in” qualitative & quantitative input
“Asking the customer”
Value- & experience-oriented interviews
Digital workshops focusing on customer journeys:
Discussing value perception, touchpoints, customer centricity mindset status, data drive
Resulting in 15 conclusions summary :
Full journey map & highlights/summary per customer available
Resulting in inside-out vs outside-in conclusions:
Difference in how we think we are doing & perceived versus how customers rate Henkel
WHERE ARE WE TODAY
MOVING FORWARD WITH HENKELS AMBITIONS
DISCOVERY PHASE
▪ 6 months focussing on
outside-in customer view
▪ Customer insights generated
Top SC CC Priorities
DESIGN PHASE
▪ Develop a roadmap for
strategic initiatives
▪ Assign projects, resources and
identify deliverables
IMPLEMENTATION
▪ Execute the projects and
implement new
systems/processes
▪ Deliver customer values
21

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The journey towards a customer centric supply chain

  • 1. THE JOURNEY TOWARDS A CUSTOMER CENTRIC SUPPLY CHAIN
  • 2. 22
  • 3. SETTING THE SCENE: INTRODUCING THE CUSTOMER CENTRIC SUPPLY CHAIN How we want to inspire you today? TRANSLATING THE SCENE: THE CUSTOMER CENTRIC SUPPLY CHAIN STRATEGY
  • 4. SETTING THE SCENE: INTRODUCING THE CUSTOMER CENTRIC SUPPLY CHAIN TRANSLATING THE SCENE: THE CUSTOMER CENTRIC SUPPLY CHAIN STRATEGY
  • 5. 5 Customer Centricity Introduction “Where is my order?” “Are you capable or reliable?” “Can I get my goods as promised?” gATP capability (Planning) Track & trace capability (Logistics) Differentiated KPIs Customer Service will not be able to operate differently and differentiated based on customer value, if we do not ensure the back-bone SCM-processes are enabling this difference as well. “Can we change shipping location?” Shipment (Logistics) …? … ? What customer are requesting in today’s world - - - - > Answering depends on full SC Capabilities
  • 6. 6 Seeing the bigger picture – customer centric supply chain Don’t be mistaken customer centricity is not a customer service or sell & support objective only The end of Supply Chain as we know it… Introducing the next gen supply chains… Introducing a connected, customer centric & digitalized Supply Chain Planning DistributionOperations Finance Customer Sales & Marketing Customer centricity & digitalization
  • 7. We are embracing people diversity every day! It’s time to embrace customer diversity as well… …and understand their flavours of value
  • 8. GOOD GREAT It’s all about making the right sound The right one, differentiated for your customers FLEXIBILITY AGILITY RELIABILITY E2E VISIBILITY COST FOCUS ON THAT ASPECT TO AMAZE INSTEAD OF BEING GOOD AT ALL THE BUZZS…
  • 9. 9 From customer segmentation to value segmentation Important input to design a customer centric supply chain is defining your value segmentations Segmentation Geographical Markets Client history Demographical Customer Lifecycle Behavioral Service & collaboration level Customer journey type Integration level Responsiveness, agility, flexibility categories Online/Off-line Rethink your segmentation, use value segmentation angles instead of customer angles. The result will be a simplified portfolio with clear customer centric supply chain
  • 10. 1010 Value segmentation – in practice Traditional Segmentation Typically driven by relevance, revenue,… Use for certain prioritization, price setting,… Customer Value Segmentation Driven by value typologies (e.g. innovation, quality, reliability,.) use for process differentiation in supply chain/service providing (e.g. service catalogue,..) Mixed Segmentation Use a combination of segmentation: Combine Strategic and Value Segmentation to define how to operate e.g. claim handling, ATP… A Looking into value segmentation typically result in enriching traditional segmentation with different angles and use different segmentation angles in different parts of the process. Augmentation & different angles B C
  • 11. 1111 Winning the customer experience race WHAT WE BELIEVE IS SUCCESFULWHAT WE SEE HAPPENING CX projects at the sideline Customer Service Initiatives Capturing parts of the VoC Digital improvements pocs Traditional customer segmentation Project with departmental focus Customer Centricity as strategy OWNING A FULL CUSTOMER CENTRICITY SC TRANSFORMATION VISION Rethink the full Supply Chain Full Process focus: E2E, Integrated, insights-driven Rethink organization: customer differentiation Mindset, communication & change management Full business transformation
  • 12. SETTING THE SCENE: INTRODUCING THE CUSTOMER CENTRIC SUPPLY CHAIN TRANSLATING THE SCENE: THE CUSTOMER CENTRIC SUPPLY CHAIN STRATEGY
  • 13. OUR VISION IN A NUTSHELL 13 Establish amazing customer experience (CX) as a competitive edge
  • 14. 14 RESULTING IN OUR NEW SUPPLY CHAIN MISSION Establish CX as a competitive advantage by creating a customer-centric and integrated supply chain approach Customer Centric Competitive Advantage Integrated Approach CC mindset & culture change along entire chain Accept customers value perspective as north star Digital capability help to overcome pure functional view NCustomer Lifecycle Customer Experience Customer Value
  • 15. THIS REQUIRES CHANGING TOWARDS OUTSIDE-IN 15 TO BE SUCCESSFUL WE NEED TO LEARN WHAT CUSTOMERS VALUE To OPERATIONALIZE the vision and make it concrete & real, we identified what customer value and how we could impact CX if we differentiate.
  • 16. 7 FOCUS AREAS WILL SUPPORT THE CC SC TRANSFORMATION GOING FORWARD 16 Performance Management & Data Analytics1 Customer Centricity Ability to pro-actively feed reliable & value-driven information to the customers with a 360° view on their customers Linking the flexibility & agility of planning to the customer value needs, resulting in distinct planning & promise logic Bringing customer integration & collaboration to the next level by introducing a logistic menu Customer Service2 SC Planning3 Logistics4 People: mindset, culture, capabilities5 Master Data Management6 Sustainability & Risk Management7 D I G I T A L I I D G T A L
  • 17. THE MISSION: WHAT DO WE WANT TO ACHIEVE? 17 PUTTING OUR VISION IN PRACTICE Customer Satisfaction Competitive position Experiences whishes Customer Values Current Pain points Improvements tips Capturing to understand: As continuous input to (re-) define & prioritize: HENKEL’s CC ROADMAP 1. Foundation building Projects 2. Customer Centric Initiatives & Projects 3. Smaller continuous improvement initiatives 4. End-to-end initiatives (beyond SC) BOOST SALES through value creation & loyalty DIFFERENTIATIE IN CX Deliver amazing Customer Experience as competition edge Continuous Outside-In Capturing Doing the right things Improving the Customer Experience Establish a Competitive Edge
  • 18. A FIRST DISCOVERY GIVEN US A VOC BASELINE 18 SOME STATISTICS 11 SBU’s participated 15 Customer Journeys 2 sessions each 1416 Sticky Notes Posted + 88 active session contributors + 50 hours of collaboration time +26 customer interviews conducted for 10 customers* • Team highly appreciated cross-functional customer journey mapping („collaborative“) • Well-balanced journey map discussions – stimulated cross-team exchange beyond sessions • All customer interviews in open and collaborative atmosphere („open ears“) *For 12 customers out of 15 interviews will be conducted
  • 19. INSIGHTS IN OUR ACTIVITIES IN THE DISCOVERY 19 OUR EXECUTION APPROACH & RESULTS “Inside-out” bottom-up approach “Outside in” qualitative & quantitative input “Asking the customer” Value- & experience-oriented interviews Digital workshops focusing on customer journeys: Discussing value perception, touchpoints, customer centricity mindset status, data drive Resulting in 15 conclusions summary : Full journey map & highlights/summary per customer available Resulting in inside-out vs outside-in conclusions: Difference in how we think we are doing & perceived versus how customers rate Henkel
  • 20. WHERE ARE WE TODAY MOVING FORWARD WITH HENKELS AMBITIONS DISCOVERY PHASE ▪ 6 months focussing on outside-in customer view ▪ Customer insights generated Top SC CC Priorities DESIGN PHASE ▪ Develop a roadmap for strategic initiatives ▪ Assign projects, resources and identify deliverables IMPLEMENTATION ▪ Execute the projects and implement new systems/processes ▪ Deliver customer values
  • 21. 21