This document discusses the need for integrated service parts management systems. It notes that original equipment manufacturers are increasingly focusing on after-sales service as new equipment sales decline. Effective service parts management requires connecting various systems for real-time information exchange across the product lifecycle. However, generic supply chain solutions are not sufficient due to the unique needs of service parts planning and logistics. An integrated system is needed to optimize service parts visibility, inventory, distribution and fulfillment to improve customer service and maximize profits.
This document discusses how to improve indirect procurement processes through simplification, alignment, technology, and delegating tasks. It recommends categorizing indirect spend and defining appropriate purchasing channels. Technology like e-catalogs and e-procurement can speed up processes and increase visibility. Alignment between procurement, finance, and operations is important. Delegating non-strategic tasks can allow procurement to focus on strategic activities like spend analysis and supplier development. The document provides examples of how SAP SCM can be used for different purchasing processes.
The world is changing – how about your Operations Strategy?
The world is changing rapidly – same goes for your customers and suppliers. You are required to constantly improve your operations. Is optimising your current operating model sufficient or do you need to rethink?
A great Operations Strategy is what makes the sum of all operational capabilities of your business a competitive advantage.
Does your Operations Strategy fit in relation to environmental changes or changes in future customer demand?
The document discusses various process strategies including process focus, repetitive focus, product focus, and mass customization. It describes the characteristics of each strategy and compares them in terms of factors like volume, variety, equipment used, and costs. The document also covers topics like process analysis and design tools, production technology alternatives, using technology in services, and process reengineering.
This document discusses process selection and facility layout. It begins by explaining that process selection refers to deciding how production will be organized and has implications for capacity, layout, equipment and work systems. There are different types of processes like job shop, batch, repetitive and continuous production. The key aspects to consider for process strategy are capacity intensity and process flexibility. Facility layout refers to the configuration of departments, work centers and equipment to facilitate the flow of work. The basic types of layouts are product layouts for repetitive work, process layouts for varied work, and combination layouts. Cellular production involves grouping similar workstations into cells. Line balancing is designing product layouts to assign tasks to workstations within the cycle time. Transportation costs
The document discusses the four key enablers of supply chain management: organizational infrastructure, technology, strategic alliances, and human resource management. Organizational infrastructure involves business strategies, process flows, cross-functional teams and processes. Technology impacts operations through data coordination and linking SCM to ERP systems. Strategic alliances are built on clear expectations and collaboration. Human resource management includes sourcing skilled employees, compensation programs, and defining job descriptions to manage SCM.
To achieve operational excellence, a business needs strong collaboration and streamline procedures to follow. It also needs proper management of finances and supply chain altogether. And, the key to achieve this is, BatchMaster manufacturing integrated with Microsoft Dynamics GP. Want to know how? Check out the presentation below
Supply Chain Inventory And Logistics PowerPoint Presentation Slides SlideTeam
Presenting this set of slides with name - Supply Chain Inventory And Logistics Powerpoint Presentation Slides. This presentation comprises a total of seventynine slides. Each slide focuses on one of the aspects of Supply Chain Inventory And Logistics Powerpoint Presentation Slides with content extensively researched by our business research team. Our team of PPT designers used the best of professional PowerPoint templates, images, icons and layouts. Also included are impressive, editable data visualization tools like charts, graphs and tables. When you download this presentation by clicking the Download button, you get the presentation in both standard and widescreen format. All slides are fully customizable. Change the colors, font, size, add and remove things as per your need and present before your audience.
This document discusses how to improve indirect procurement processes through simplification, alignment, technology, and delegating tasks. It recommends categorizing indirect spend and defining appropriate purchasing channels. Technology like e-catalogs and e-procurement can speed up processes and increase visibility. Alignment between procurement, finance, and operations is important. Delegating non-strategic tasks can allow procurement to focus on strategic activities like spend analysis and supplier development. The document provides examples of how SAP SCM can be used for different purchasing processes.
The world is changing – how about your Operations Strategy?
The world is changing rapidly – same goes for your customers and suppliers. You are required to constantly improve your operations. Is optimising your current operating model sufficient or do you need to rethink?
A great Operations Strategy is what makes the sum of all operational capabilities of your business a competitive advantage.
Does your Operations Strategy fit in relation to environmental changes or changes in future customer demand?
The document discusses various process strategies including process focus, repetitive focus, product focus, and mass customization. It describes the characteristics of each strategy and compares them in terms of factors like volume, variety, equipment used, and costs. The document also covers topics like process analysis and design tools, production technology alternatives, using technology in services, and process reengineering.
This document discusses process selection and facility layout. It begins by explaining that process selection refers to deciding how production will be organized and has implications for capacity, layout, equipment and work systems. There are different types of processes like job shop, batch, repetitive and continuous production. The key aspects to consider for process strategy are capacity intensity and process flexibility. Facility layout refers to the configuration of departments, work centers and equipment to facilitate the flow of work. The basic types of layouts are product layouts for repetitive work, process layouts for varied work, and combination layouts. Cellular production involves grouping similar workstations into cells. Line balancing is designing product layouts to assign tasks to workstations within the cycle time. Transportation costs
The document discusses the four key enablers of supply chain management: organizational infrastructure, technology, strategic alliances, and human resource management. Organizational infrastructure involves business strategies, process flows, cross-functional teams and processes. Technology impacts operations through data coordination and linking SCM to ERP systems. Strategic alliances are built on clear expectations and collaboration. Human resource management includes sourcing skilled employees, compensation programs, and defining job descriptions to manage SCM.
To achieve operational excellence, a business needs strong collaboration and streamline procedures to follow. It also needs proper management of finances and supply chain altogether. And, the key to achieve this is, BatchMaster manufacturing integrated with Microsoft Dynamics GP. Want to know how? Check out the presentation below
Supply Chain Inventory And Logistics PowerPoint Presentation Slides SlideTeam
Presenting this set of slides with name - Supply Chain Inventory And Logistics Powerpoint Presentation Slides. This presentation comprises a total of seventynine slides. Each slide focuses on one of the aspects of Supply Chain Inventory And Logistics Powerpoint Presentation Slides with content extensively researched by our business research team. Our team of PPT designers used the best of professional PowerPoint templates, images, icons and layouts. Also included are impressive, editable data visualization tools like charts, graphs and tables. When you download this presentation by clicking the Download button, you get the presentation in both standard and widescreen format. All slides are fully customizable. Change the colors, font, size, add and remove things as per your need and present before your audience.
This document discusses operations performance and the key objectives of quality, speed, dependability, cost, and flexibility. It provides examples of what each objective means in different contexts like a hospital, automobile plant, bus company, and supermarket. It outlines the internal and external benefits of excelling at each objective. There is also discussion of using polar diagrams to show the relative importance of objectives for different operations or products, and that trade-offs often need to be made between objectives.
Revenue Recognition is based on the new IFRS-Standard:
IFRS 15 sets out the requirements for recognizing revenue
that apply to all contracts with customers (except for
contracts that are within the scope of the Standards on
leases, insurance contracts and financial instruments).
IFRS 15 is effective from 1 January 2017 but earlier
application is permitted.
• Make Versus Buy
• Benefit of Outsourcing
• Source of Supplier Information
• Strategis Selection
• Supplier Relationship Management (SRM)
• Industry Example
This document discusses supply chain outsourcing and provides examples. It defines various forms of sourcing like outsourcing, insourcing, offshoring, and rural sourcing. Outsourcing is described as contracting non-core activities to specialists. The document discusses why companies outsource, including reducing costs and focusing on core competencies. It provides examples of outsourcing by the Landmark Group in India and Dell's call center operations. The benefits, concerns, risks, and range of activities for supply chain outsourcing are outlined.
The document is a course submission on independent study of ERP systems presented by Joydeep Mukherjee to Professor Sudhir Yadav at the School of Petroleum Management in Gandhinagar. It includes sections on the basics of ERP, literature review on ERP implementations in the oil and gas industry, and details of a research study conducted on ERP implementation in the oil and gas industry.
The document discusses four main process strategies - process focus, repetitive focus, product focus, and mass customization. It provides definitions and examples of each strategy. The process focus strategy involves organizing facilities around specific processes to enable low-volume, high-variety production. The repetitive focus strategy organizes facilities as assembly lines using pre-made modules. The product focus strategy organizes facilities by product for high-volume, low-variety output. Mass customization combines the flexibility of process focus with the efficiency of product focus to enable rapid, low-cost production of customized goods and services.
The document discusses various types of process strategies including repetitive-focused, product-focused, and process-focused strategies. It also discusses tools for process analysis and design such as value stream mapping, flow diagrams, time-function mapping, process charts, and service blueprints. Finally, it covers areas of technology that impact processes like machine technology, process control systems, robotics, and computer-integrated manufacturing.
The document discusses process strategy and selection. It covers various types of process strategies including process focus, product focus, and repetitive focus. Process focus can take the form of job shops, batch processing, repetitive/assembly, or continuous processes. Product and repetitive focused strategies organize facilities by product or assembly lines respectively. The document also discusses technology, automation, facilities layout, tools for process design like flow diagrams and process charts, and techniques for improving service productivity such as separation, self-service, and automation.
Operation management and sustainability in service industryAjeenkya D Y Patil
This document discusses key concepts in operations management for service industries. It defines operations management as designing, operating, and improving systems that deliver primary products and services. Key concepts are efficiency, effectiveness, and value. The transformation process takes inputs, transforms them through a process, and produces outputs. Examples of production systems are given for hospitals, restaurants, automobile plants, and universities. The document outlines the scope of operations management and competitive dimensions. It also discusses challenges in managing services compared to manufacturing.
Huge deviations between actual and planned transport costs? Need for transport cost allocation down to product level? Unclear contribution margins of your customers? More than ten CO2 data requests from your customers per month? Annual requests from rating agencies to supply CO2 data? Carbon reduction goals include logistics? If those challenges are relevant for you, LogCOST can help you!
This presentation describes the ASQ QMD Globalization & Supply Chain Technical Committee efforts to inventory existing supplier scorecards for benchmarking and to support its efforts to create supplier scorecard standards
johncachat@hotmail.com
www.peproso.com
Planning is an ongoing process that happens at different levels and different times dependent on resource availability and this is recognised by the 5 levels of Supply Chain Planning Horizon.
This document discusses key decisions in manufacturing and service processes and layouts. It describes different types of manufacturing processes and how to select them based on product characteristics and volume. It also discusses three dimensions to consider for service processes: the service package, degree of customization, and level of customer contact. Finally, it outlines two approaches for determining process layouts - line balancing and assigning department locations based on interdependencies.
ERP software consists of several key components that represent major functional areas of an organization. These components include financial management, manufacturing, human resources, materials management, production planning, plant maintenance, purchasing, marketing, and sales and distribution. Each component handles important tasks like managing finances, production processes, employee information, inventory, purchasing, and sales.
The document discusses how to develop a high-performance work team to effectively manage maintenance, repair, and operations (MRO) inventory through four pillars: Educate, Empower, Equip, and Excel. It describes how to educate teams on inventory best practices and success metrics, empower teams by involving them in inventory processes and celebrating successes, equip teams with organized storage areas, good inventory data systems, and tools to manage inventory, and excel by establishing metrics to measure performance and recognizing team achievements. The goal is to create self-directed work teams that can continuously improve inventory management.
SCOR is an acronym for supply chain operations reference model, which was developed to assist businesses in understanding, structuring, and evaluating the performance of supply chains.
For a company to continue business, the role of the Spare Parts department is very important. Whether or not the part activities are properly controlled, can greatly influence the company’s success.
The system control among other things is vitally important to the Spare Business Unit (SBU) control, for effective operation of actual SBU.
The document provides an introduction to the Supply Chain Operations Reference (SCOR) model. It describes the five core SCOR processes - Plan, Source, Make, Deliver, and Return. Plan involves balancing resources with requirements. Source includes procurement activities. Make covers production. Deliver encompasses order fulfillment and distribution. Return manages product returns. The document also outlines three primary business processes supported by SCOR: sales and operations planning (S&OP), order fulfillment, and returns management (RMA). It provides high-level descriptions of each as well as their advantages and implementation requirements.
Unless vendor and customer do not work conjointly with each
For implementing an ERP system successfully, the vendor and the customers are jointly involved. The vendor ensures that the ERP system implemented has all the fixes for the business
complexities that the customer faces, whereas the customer co-operates and supports the technical changes brought into the business process. Want to know what are the responsibilities that both of them carry, then check out the presentation or click to know more https://www.batchmaster.co.in/services/erp-implementation.aspx
Com produtos cada vez mais conectados e inteligentes o gerenciamento do ciclo de serviço se apresenta como uma das principais metodologias para controle, entendimento e satisfação do consumidor. Conheça um pouco mais sobre as soluções Siemens que irão revolucionar a nossa relação com os produtos que nos cercam.
Maximizing service profitability at optimized cost to serve: Next generation ...Genpact Ltd
The document discusses building an effective service delivery model for aftermarket services. It suggests implementing key performance indicators centrally and creating next generation processes to optimize cost to serve, increase customer satisfaction, drive service revenue, and enhance service profitability. It also recommends creating a strong backend and service delivery model by de-coupling, consolidating, and centralizing processes. Finally, it positions technology as a key enabler when tightly integrated with processes and people to drive realized benefits across the aftermarket services value chain.
This document discusses operations performance and the key objectives of quality, speed, dependability, cost, and flexibility. It provides examples of what each objective means in different contexts like a hospital, automobile plant, bus company, and supermarket. It outlines the internal and external benefits of excelling at each objective. There is also discussion of using polar diagrams to show the relative importance of objectives for different operations or products, and that trade-offs often need to be made between objectives.
Revenue Recognition is based on the new IFRS-Standard:
IFRS 15 sets out the requirements for recognizing revenue
that apply to all contracts with customers (except for
contracts that are within the scope of the Standards on
leases, insurance contracts and financial instruments).
IFRS 15 is effective from 1 January 2017 but earlier
application is permitted.
• Make Versus Buy
• Benefit of Outsourcing
• Source of Supplier Information
• Strategis Selection
• Supplier Relationship Management (SRM)
• Industry Example
This document discusses supply chain outsourcing and provides examples. It defines various forms of sourcing like outsourcing, insourcing, offshoring, and rural sourcing. Outsourcing is described as contracting non-core activities to specialists. The document discusses why companies outsource, including reducing costs and focusing on core competencies. It provides examples of outsourcing by the Landmark Group in India and Dell's call center operations. The benefits, concerns, risks, and range of activities for supply chain outsourcing are outlined.
The document is a course submission on independent study of ERP systems presented by Joydeep Mukherjee to Professor Sudhir Yadav at the School of Petroleum Management in Gandhinagar. It includes sections on the basics of ERP, literature review on ERP implementations in the oil and gas industry, and details of a research study conducted on ERP implementation in the oil and gas industry.
The document discusses four main process strategies - process focus, repetitive focus, product focus, and mass customization. It provides definitions and examples of each strategy. The process focus strategy involves organizing facilities around specific processes to enable low-volume, high-variety production. The repetitive focus strategy organizes facilities as assembly lines using pre-made modules. The product focus strategy organizes facilities by product for high-volume, low-variety output. Mass customization combines the flexibility of process focus with the efficiency of product focus to enable rapid, low-cost production of customized goods and services.
The document discusses various types of process strategies including repetitive-focused, product-focused, and process-focused strategies. It also discusses tools for process analysis and design such as value stream mapping, flow diagrams, time-function mapping, process charts, and service blueprints. Finally, it covers areas of technology that impact processes like machine technology, process control systems, robotics, and computer-integrated manufacturing.
The document discusses process strategy and selection. It covers various types of process strategies including process focus, product focus, and repetitive focus. Process focus can take the form of job shops, batch processing, repetitive/assembly, or continuous processes. Product and repetitive focused strategies organize facilities by product or assembly lines respectively. The document also discusses technology, automation, facilities layout, tools for process design like flow diagrams and process charts, and techniques for improving service productivity such as separation, self-service, and automation.
Operation management and sustainability in service industryAjeenkya D Y Patil
This document discusses key concepts in operations management for service industries. It defines operations management as designing, operating, and improving systems that deliver primary products and services. Key concepts are efficiency, effectiveness, and value. The transformation process takes inputs, transforms them through a process, and produces outputs. Examples of production systems are given for hospitals, restaurants, automobile plants, and universities. The document outlines the scope of operations management and competitive dimensions. It also discusses challenges in managing services compared to manufacturing.
Huge deviations between actual and planned transport costs? Need for transport cost allocation down to product level? Unclear contribution margins of your customers? More than ten CO2 data requests from your customers per month? Annual requests from rating agencies to supply CO2 data? Carbon reduction goals include logistics? If those challenges are relevant for you, LogCOST can help you!
This presentation describes the ASQ QMD Globalization & Supply Chain Technical Committee efforts to inventory existing supplier scorecards for benchmarking and to support its efforts to create supplier scorecard standards
johncachat@hotmail.com
www.peproso.com
Planning is an ongoing process that happens at different levels and different times dependent on resource availability and this is recognised by the 5 levels of Supply Chain Planning Horizon.
This document discusses key decisions in manufacturing and service processes and layouts. It describes different types of manufacturing processes and how to select them based on product characteristics and volume. It also discusses three dimensions to consider for service processes: the service package, degree of customization, and level of customer contact. Finally, it outlines two approaches for determining process layouts - line balancing and assigning department locations based on interdependencies.
ERP software consists of several key components that represent major functional areas of an organization. These components include financial management, manufacturing, human resources, materials management, production planning, plant maintenance, purchasing, marketing, and sales and distribution. Each component handles important tasks like managing finances, production processes, employee information, inventory, purchasing, and sales.
The document discusses how to develop a high-performance work team to effectively manage maintenance, repair, and operations (MRO) inventory through four pillars: Educate, Empower, Equip, and Excel. It describes how to educate teams on inventory best practices and success metrics, empower teams by involving them in inventory processes and celebrating successes, equip teams with organized storage areas, good inventory data systems, and tools to manage inventory, and excel by establishing metrics to measure performance and recognizing team achievements. The goal is to create self-directed work teams that can continuously improve inventory management.
SCOR is an acronym for supply chain operations reference model, which was developed to assist businesses in understanding, structuring, and evaluating the performance of supply chains.
For a company to continue business, the role of the Spare Parts department is very important. Whether or not the part activities are properly controlled, can greatly influence the company’s success.
The system control among other things is vitally important to the Spare Business Unit (SBU) control, for effective operation of actual SBU.
The document provides an introduction to the Supply Chain Operations Reference (SCOR) model. It describes the five core SCOR processes - Plan, Source, Make, Deliver, and Return. Plan involves balancing resources with requirements. Source includes procurement activities. Make covers production. Deliver encompasses order fulfillment and distribution. Return manages product returns. The document also outlines three primary business processes supported by SCOR: sales and operations planning (S&OP), order fulfillment, and returns management (RMA). It provides high-level descriptions of each as well as their advantages and implementation requirements.
Unless vendor and customer do not work conjointly with each
For implementing an ERP system successfully, the vendor and the customers are jointly involved. The vendor ensures that the ERP system implemented has all the fixes for the business
complexities that the customer faces, whereas the customer co-operates and supports the technical changes brought into the business process. Want to know what are the responsibilities that both of them carry, then check out the presentation or click to know more https://www.batchmaster.co.in/services/erp-implementation.aspx
Com produtos cada vez mais conectados e inteligentes o gerenciamento do ciclo de serviço se apresenta como uma das principais metodologias para controle, entendimento e satisfação do consumidor. Conheça um pouco mais sobre as soluções Siemens que irão revolucionar a nossa relação com os produtos que nos cercam.
Maximizing service profitability at optimized cost to serve: Next generation ...Genpact Ltd
The document discusses building an effective service delivery model for aftermarket services. It suggests implementing key performance indicators centrally and creating next generation processes to optimize cost to serve, increase customer satisfaction, drive service revenue, and enhance service profitability. It also recommends creating a strong backend and service delivery model by de-coupling, consolidating, and centralizing processes. Finally, it positions technology as a key enabler when tightly integrated with processes and people to drive realized benefits across the aftermarket services value chain.
The document summarizes key challenges in the oil and gas supply chain and proposes solutions to address them. It notes that while oil and gas resources are sufficient, the main challenge is efficient production and delivery costs. A solid supply chain can help meet this goal but traditional business silos hinder collaboration and alignment. The document recommends restructuring into a customer-focused, process-centric model with aligned strategies and incentives to reduce complexity and better serve customers.
Case study value of it strategy in hi tech industryiasaglobal
1. The document discusses the value of IT strategy in the high-tech industry and outlines several capability areas and models that an IT strategy should address, including business value, domain modeling, process modeling, and adoption to the operating model.
2. It then provides examples of how IT strategy can help complex equipment manufacturers by enabling multi-tier supply chain planning, efficient production through flow manufacturing, and integrated logistics.
3. Finally, it discusses how enterprise architecture, along with tools like COBIT and ITIL, can be used to provide visibility, control, and efficiency across the business.
This document discusses enterprise architecture and its role in business execution. It provides an overall model with three levels: the operating model which defines business integration and standardization requirements, the enterprise architecture which organizes business processes and IT infrastructure to meet those requirements, and the IT engagement model which ensures business and IT projects achieve objectives. It also describes four common operating models based on levels of business process integration and standardization. The document emphasizes that enterprise architecture should guide the operating model and discusses how the different architecture maturity stages impact flexibility, learning requirements, and outsourcing relationships.
On-Demand Webinar Parts eCommerce & Megatrend Impacts on Aftermarket Parts SalesAshok Kartham
The shift of service-parts to online sales channels is large and growing. Longer-term megatrends will further disrupt OEM parts sales – making your transition to parts eCommerce more urgent – and impacting how best to transition to parts eCommerce.
Download On-demand webinar recording at (https://info.m-ize.com/webinar-on-parts-ecommerce-megatrend-on-aftermarket-parts-sales) hosted by Mize where Ted Fellowes, president of Fellowes Research will share his perspective on Parts eCommerce Megatrends and clarify the opportunities and threats facing OEMs, their dealer networks and other stakeholders. Attendees will come away with insights to guide them through turbulent times ahead.
Webinar Topic: Parts eCommerce & Megatrend Impacts on Aftermarket Parts Sales
Presenters:
Ted Fellowes, President, Fellowes Research
Michael R. Blumberg, CMO, Mize
Eric Marlan, Senior Product Manager, Mize
During this Webinar presented by leading Industry experts, you will learn about:
- OEM ‘AfterSales’ continuing to shift to online channels
- Parts eCommerce reshaping service-parts solutions sector
- Synergies of eCommerce with other fixed-ops solutions driving solution suites
- Advantage partnering with experienced solution providers & experts
Download On-demand webinar recording at (https://info.m-ize.com/webinar-on-parts-ecommerce-megatrend-on-aftermarket-parts-sales)
Sinoptix faster business through application management outsourcingPaul Costea
Application Management outsourcing is an approach that saves clients time and money while giving them the peace of mind that they can benefit from their functionality at the highest level of availability.
Mobility in Field Services Management: Part OneCognizant
We explore the myriad ways mobility can benefit field services management for industrial manufacturing and other sectors. Mobile-based solutions facilitate resolution of service requests, access to service and repair information, retrieval of diagnostic test codes and enhancement of customers' experience.
This document provides an overview of PTC's Service Lifecycle Management (SLM) strategy and portfolio. It discusses how PTC SLM solutions can help organizations transform their service business by improving profitability, increasing revenue, and growing customer value. The document outlines challenges currently faced by service leaders and how PTC SLM addresses these challenges through specialized solutions that are product-smart and service-smart. It also provides examples of how specific PTC solutions have helped organizations like Trane and GE Aviation improve their service operations.
Three steps-to-selecting-a-plm-system-white-paperCBX Software
There are a number of factors to consider when selecting a PLM system, including the return on investment, readiness of internal processes, scalability, integration, ease of use and more.
For over 18 years, we have supported large brands and retailers such as Safeway, Kmart, Migros, Lidl, Carrefour and many others with product lifecycle management and related systems.
Before you select a system or look at upgrading your current one, we hope you will have a look at our white paper on how to select a PLM system.
Please visit our company website to have more information:
http://www.coresolutions.com/
Or give us some comments:
http://www.coresolutions.com/request-a-callback/
Achieving “services” business process excellence: Metrics-driven best practic...Genpact Ltd
With Aftermarket Services (AMS) rapidly becoming both a competitive differentiator and a growth mechanism, manufacturers would do well to shift to a service factory model, which can reduce service costs for AMS by 20% and increase service revenue by 25%.
The document discusses enterprise resource planning (ERP) systems and their use in logistics and supply chain management. It provides an overview of key points:
- ERP systems allow better visibility, automation, and productivity improvements across the supply chain by linking all processes from procurement to manufacturing.
- Businesses are increasingly moving ERP systems to the cloud for benefits like agility, distributed workloads, and cost effectiveness.
- Important considerations for choosing an ERP include visibility across the organization, flexibility, scalability, and compatibility with supply chain processes like procurement and purchasing.
- ERP modules can be implemented individually to address specific business needs and expanded over time as needs change. Finance/accounting is typically the
The document discusses outsourcing network operations and maintenance. It identifies key elements that can be outsourced, including network engineering, construction, documentation, logistics and warehousing. Outsourcing these elements can reduce costs and expenses by 20-30% while improving key performance indicators. However, network planning and some management functions may need to be retained in-house for strategic and security reasons. A business case for outsourcing needs to identify all in-scope costs and activities to quantify potential savings.
5 Challenges that Might be Affecting Your Service Revenue CaptureTrish E. McLoughlin
The document discusses 5 common challenges that technology manufacturers face in optimizing their service delivery and contract renewal processes: 1) Rudimentary tools cannot properly track complex service and product lifecycles. 2) Service data is housed in disparate systems, making it difficult to view lifecycles holistically. 3) Large amounts of variable service and product data requires tailored solutions. 4) Extending business processes to channel partners is complex. 5) Accurate reporting is needed to predict service revenue performance but is difficult without an integrated solution.
Mobility in Field Services Management: Part OneCognizant
We explore the myriad ways mobility can benefit field services management for industrial manufacturing and other sectors. Mobile-based solutions facilitate resolution of service requests, access to service and repair information, retrieval of diagnostic test codes and enhancement of customers' experience.
Engage Patients, Reduce Manual Processes and Drive Key Insights with Interope...Perficient, Inc.
This document discusses healthcare interoperability and integration best practices. It provides examples of Perficient implementing interoperability solutions for clients using IBM Integration Bus and the Healthcare Connectivity Pack. These solutions helped migrate interfaces, improve data sharing and application integration, and increase visibility into data flows. The document also outlines trends in healthcare driving the need for interoperability.
The document discusses modules in product data management/product lifecycle management (PDM/PLM) software and customizing PDM/PLM software. It describes key modules like CAD, CAE, manufacturing process management, and enterprise system integration. It also discusses understanding business objectives, project data management, and process management when customizing PDM/PLM software.
This document provides an introduction to enterprise systems, including ERP, SCM, and CRM systems. It defines enterprise systems as software that ensures information sharing across business functions and management levels. ERP systems integrate business units and processes. An SCM system supports procurement, production, and delivery. A CRM system integrates customer-facing processes like sales, marketing, and support. The document discusses the purpose, components, benefits, and challenges of implementing these enterprise systems.
The document provides an introduction to operations management concepts including defining operations, products, services, and supply chains. It discusses different types of production systems and strategies including mass production, lean production, and agile manufacturing. The document also covers topics like facilities layout, location planning, quality management, and environmental sustainability in operations. It emphasizes the importance of operations management in business strategy and competitiveness.
1. Service Parts Management:
Enabling Organizations to Reach Peak Efficiency
Integrating Systems for Real-time Information
Exchange and Enhanced Parts Visibility
White Paper
Author:
Shishir Choudhary CSCP, PMP
Manager, Service Parts Solutions
YASH Technologies
2. Table of Contents
Why the business outlook is changing towards after-sales............................
Problems the Industry is facing today.....................................................
Need for integration.........................................................................
Why generic supply chain solutions are not enough for service parts...............
Service parts management aligned with diverse business focus......................
Conclusion: Significance of service parts in SLM and after-sales solutions..........
3
3
4
5
5
6
3. Why the business outlook is changing towards after-sales:
With bigger, better, and higher quality machines, original equipment manufacturers (OEM) face continually increasing
challenges. OEMs need to figure out ways to boost overall revenue to encompass more than only the sales of new machines.
Barring few high-tech industries and consumer electronics, a majority of the industrial and commercial equipment sales
are constantly associated with business expansions. With economies saturated in developed countries and decelerating
in developing nations, OEMs will not be able to survive on new machine sales alone.
Consumer analysis shows a steep decline on new equipment spending of consumers over the last 50 years in matured
global markets, but experienced an exponential increase for services. It’s not a secret that with larger, more expensive
equipment and machines, there is more money in helping the buyer with post-purchase services.
This trend of end consumer spending more on service will grow even larger, due to the ease of development using new
technologies like IOT, Telematics, Big Data and cloud.
For survival, OEMs have shifted to being service focused and changed the overall business outlook towards after-sales
and Service Lifecycle Management.
Problems the Industry is Facing Today:
• Parts planning, parts adoption, warehousing, order
fulfilment, parts marketing, and parts pricing are not
threaded together in common processes
• Planning and forecasting based on generic,
manufacturing based principles, not suited for service
parts
• Disjoint from engineering processes and systems with
fragmented technical documentation for parts
• Siloed and poor parts pricing strategies, based mostly
on cost and competition
• Lack of end-to-end service parts inventory visibility
across all levels
• Competition from low value aftermarket part
distributors
• Service parts may not generate profits
• Inflexible, inefficient and slow warehousing operations
• High transportation costs due to inability to optimize
inbound stock and meet emergency demand
• Lack of structure for tracking parts from birth to
obsolescence
• Limited tools for parts customer support
• Velocity to meet rapid turnarounds due to high SLA
expectations
• Direct correlation with customer service levels and
satisfaction
• Service parts can be categorized in a small number
of groups with an endless list of categorizations for
various processes, which can be a challenge to handle.
Weight, volume, dimensions, hazardous, criticality
indicator, returnable, substitution, manufactured
versus procured, ABC classification, profitability,
application age (how old or new is the model), and
competitive factors
• Challenges in keeping associations between machine
and parts over extended timeframes when models
undergo various changes
• Difficulty in correlation with external factors, such
as warranty and part needs for regular preventive
maintenance on machines
• Forecasting miscalculations leading to unnecessary
safety stock and large investments in inventory
• Multiple touch-points - Many organizational processes
need to integrate parts processes, directly or
indirectly, which includes warranty, service shop
operations, customer/technical support, technical
manuals, maintenance schedules, part needs, and
engineering/catalog authoring processes
• With diverse IT tools and systems suppliers, OEMs,
3PLs/4PLs, dealers, and service shops all need to
create a complex end-to-end parts supply chain to
stay profitable and achieve customer service levels
4. Need for Integration:
Process experts would say that every process and system in an organization needs to be interconnected, but that need
is even higher within the service parts industry. Service parts needs to be connected with many systems for almost real-
time information exchange, due to:
• Availability and routing ability
• Frequency of sale and usage in service shops of service
parts can be much higher than machine sales
• Expediting or backorder processing with suppliers
• Dealer business systems for complex order placement
ENGINEERING AND DESIGN Order
Management
Return
Management
Parts Retail
Sale
Invoicing
Forecasting
Back Order
WAREHOUSE MANAGEMENT
CUSTOMERMANAGEMENT
SUPPLIERMANAGEMENT
Outbound
Inbound
Layout designing
Distribution
Requirement
Planning
Inventory
Management
Store
Management
Picking
Procurement
Shipping
Equipment handling Monitoring, Analysis and
Reporting
Technical Manuals/
maintenance Schedules
Parts Catalog Authoring and
Publishing Processes
• Parts of new Model
• New Parts of old Model
• Parts Substitution
• Phasing Out Models
• Non-Moving. Slow
Moving Items
Product Design and
Development
Vendor
Development
Accounts
Payable
Account
Receivable
Marketing
Credit
Check
Catalog
Supplier
Relationship
Management
Customer
Relationship
Management
Approved
Vendor List
Obsolescence,
Salvage and Scrap
Parts Adoption
Process
5. Why Generic Supply Chain Solutions are not enough for Service Parts:
Most OEMs make the mistake of applying generic supply chain solutions for Service Parts. Service parts management
needs to have a completely different focus and hence it demands a different approach. Following are a few
key differences to consider:
• While manufacturing supply chains are more focused on Bill of Materials (BOM) based demands, parts needs to
utilize a probabilistic approach and 100’s of unique parameters to decide stocking levels and availability
• Generic supply chain solutions are more focused on the production side of the operation and not to the
services side
• Planning algorithms within generic Supply Chain Solutions are tailored for high-volume, replenishment-driven
production environments. This is in direct contrast with aftermarket service operations in which low-volumes of
service parts are consumed at multiple, disparate stocking locations across the service chain. Planning in such a
distributed, low-volume environment requires solutions that provide unique service-specific algorithms tailored to
address these dynamics
• Manufacturing supply chain solutions:
• Cannot support Trigger-Based Replenishment
• Cannot allocate inventory Fair Share, and
allocates first-come-first-serve instead
• Cannot automatically balance field inventory
• Does not have a multi-echelon optimization
or planning capability
Service Parts Management Aligned with Diverse Business Focus:
Generally, OEMs fail to tailor its supply chain for service parts to the needs of the end-users. Service Parts planning and
logistics can be very different for asset-focused needs versus the retail availability of a part at a local all-makes shop.
A general trend in the industry is to re-apply manufacturing supply chain processes and solutions on service parts, which
can create much inefficiency. Eventually, the system will not operate at its peak efficiency.
• Distribution to service shops
• OEMs selling repair services
along with providing service
parts required
• High Field Inventory
• OEMs selling repair services
along with providing service
parts required
• Distribution of low to medium
complex parts in large volumes
• High number of stocking
locations
• For OEMs Services handled by
dealers
Distribution Focused
Ensure target fill rate at
lowest supply chain costs
• Distribution of large, complex
and expensive parts
• Services generally handled by
OEMs
• Remanufacturing/Reverse
Logistics
Asset Focused
Achieve target asset availability
within financial targets
Field Focused
Ensure agreed service
levels and maximize profits
Repair Depot Focused
Fulfil agreed service levels
within financial targets
Agriculture, Construction,
Mining, Forestry Machines
Chemicals, Oil & Gas, Metal
Aerospace & Defence
High Tech
Industrial Machinery
Automotive
Consumer Appliances
Medical Equipment
Transportation
Telecom
Utilities