Recomendados
Mais conteúdo relacionado
Mais procurados
Mais procurados (20)
Destaque
Destaque (13)
Semelhante a Chemical Supply Chain
Semelhante a Chemical Supply Chain (20)
Mais de NatashaS7
Mais de NatashaS7 (20)
Último
Último (20)
Chemical Supply Chain
- 1. Achieving Supply Chain Excellence in the Fast Moving Consumer Goods Industry Thomas Müller-Kirschbaum Düsseldorf, April 21, 2010 © TMK_Logichem 2010 1
- 2. Agenda 1 Company 2 Business Sector & Supply Chain 3 Cheaper, Faster, Smarter: The Challenges 4 Responses 5 Key Take Aways © TMK_Logichem 2010 2
- 3. Three Areas of Competence 134 Years of Brand Success Laundry & Cosmetics/ Adhesive Home Care Toiletries Technologies Quality with Brands & Technologies © TMK_Logichem 2010 3
- 4. Henkel Brands Performance around the Clock © TMK_Logichem 2010 4
- 5. Agenda 1 Company 2 Business Sector & Supply Chain 3 Cheaper, Faster, Smarter: The Challenges 4 Responses 5 Key Take Aways © TMK_Logichem 2010 5
- 6. Laundry & Home Care Product Portfolio • Heavy-duty • Bath and WC detergents cleaners • Fabric softeners • Glass cleaners • Laundry care • Kitchen cleaners products • Specialty • Dishwashing products cleaning • All-purpose cleaners products • Scouring agents • Air fresheners • Floor and carpet • Insecticides for care products household use © TMK_Logichem 2010 6
- 7. 2009 Sales by business sector Sales: 13,573 million euros in million euro Corporate 210 (2%) Laundry & Home Care Adhesive Technologies 4,129 (30 %) 6,224 (46 %) Cosmetics/Toiletries 3,010 (22 %) © TMK_Logichem 2010 7
- 8. 2009 EBIT by business sector Adjusted1) operating profit (EBIT): 1,364 million euros in million euros Adhesive Technologies Laundry & Home Care 506 (36 %) 530 (37 %) Cosmetics/Toiletries 387 (27 %) Excluding Corporate 1) Adjusted for one-time charges/gains and restructuring charges © TMK_Logichem 2010 8
- 9. Supply Chain Design – Basis for Success Key Dimensions One Global SC Organization with • End-to-End Process Responsibility (from the customer to the customer) and • Full Vertical Integration (Global – Regional – Local Level). © TMK_Logichem 2010 9
- 10. Supply Chain – End-to-End Process Extended View of the Value Chain Purchase to pay Order to cash Supplier Production AC / Market / Information flow Warehouse Customer Demand / Order Plan Demand Order Plan Order Material flow Source Make Deliver Make Deliver Source © TMK_Logichem 2010 10
- 11. Supply Chain – Key Elements Planning/Procurement, Production, Distribution Planning Production Distribution & Procurement Single Suppliers Plants Distribution Center past (2005) >2,900 >40 >150 10,000 future (2012) <1,400 <30 <120 Drop points Moving 15,000 SKU © TMK_Logichem 2010 11
- 12. Supply Chain Strategy Pillars Framework for Long-Term Action • Mass products vs. specialties: Optimize total performance decentralized vs. centralized production (Cost, Inventories, Service) • Fully exploit make-or-buy potential • Integrated technology sites Design & implement • Interconnectivity Processes & Systems an extended and • Smart complexity management adaptive supply chain • Integration of customers & suppliers Build on smart • Process simplification technologies, • Integrated supply-chain planning processes and systems • Permanent benchmarking • End-to-end responsibility Design & implement the • Talent management right organizational setup • Clear governance © TMK_Logichem 2010 12
- 13. Agenda 1 Company 2 Business Sector & Supply Chain 3 Cheaper, Faster, Smarter: The Challenges 4 Responses 5 Key Take Aways © TMK_Logichem 2010 13
- 14. Assessment of FMCG Environment 2010+ No Revolution, but Evolution happens • Demand variability increases • Complexity increase and drives late stage differentiation as well as adaptive supply chain designs • Retailer power expected to rise; „smartest players in the value chain“ • Raw material prices continue to be volatile as resources remain scarce; importance of risk management along value chain increases • Distribution cost increases stronger than processing cost • Sustainability emerges a new competitive parameter • Challenge of private label product offerings remains and grows + Supply chain capabilities become a strategic success factor + Human capital in supply chain is a current & future bottleneck © TMK_Logichem 2010 14
- 15. The Future: Balance of Power moves Retailers invest to become the “smartest“ Players A consultants view on the industry: Maturity of overall supply chain knowledge in FMCG 1980's Current 2012+ Uninformed Going to School Suppliers Educated Manufacturers Expert Retailers Most informed Supply Chain Source: AT Kearney (2008) Participant © TMK_Logichem 2010 15
- 16. Key Factors Supply Chain Performance Challenges 2010+ can be clearly identified Volatility in upstream / downstream markets Supply Chain Performance 1 Flexibility Consumer individualization / diversity Changing customer specific supply chains Perfect Order as KPI, OTIF is hygene factor 2 Reliability Full process transparency Fast changing consumer & customer patterns 3 Speed Customization of product offerings Speed of innovation processes Cost & Customer & supplier integration (e.g. VMI) 4 Capital Efficiency Volatility in downstream demand Scarce resources / Energy conservation 5 Sustainability Urbanization / Demographical concentration © TMK_Logichem 2010 16
- 17. Agenda 1 Company 2 Business Sector & Supply Chain 3 Cheaper, Faster, Smarter: The Challenges 4 Responses 5 Key Take Aways © TMK_Logichem 2010 17
- 18. Overview A Integrated Supply Chain Organization B Strategic Network Design C Horizontal & Vertical Cooperation D End-to-End Supply Chain Planning E Smart Complexity Management F Sustainability Matters G KPIs H People make the Difference ! © TMK_Logichem 2010 18
- 19. A Integrated Supply Chain Organization Example Laundry & Home Care Head of Global SC Production Steering Global Global SC Operations Industrial Engineering SHEQ Planning & Logistics Process Technology Regional Head of Regional SC Production Steering / Industrial Planning & Logistics / SHEQ Engineering Engineering Contract Manufacturing Local Head of Plant(s) Head of Local SC Planning Logistics Production/ Industrial Planning SHEQ Engineering Engineering /Logistics © TMK_Logichem 2010 19
- 20. B Strategic Network Design Example European Network Re-Design • Population density drives set-up • Optimum distribution distance to be respected • Country borders do not matter • Minimum number of storage stages for responsiveness and sustainable efficiency Population Density Own factories (2010) Factory closed/sold (2005-2010) Produce & deliver close to customers & consumers © TMK_Logichem 2010 20
- 21. B Strategic Network Design Example Warehouse Concept Eastern Europe Central Warehouse Vienna Achievements since 2006 Reduction of 3 warehouses • Avoidance of 200,000 transportation km / 70,000 liters diesel / xx 185,500 kg CO2 per year Vienna x • Double-digit reduction of logistics costs • Other positive impacts on service levels, inventories and responsiveness increasing quality Warehouses Production Facilities of our service to customers Significant reduction of kilometers & CO2 emissions © TMK_Logichem 2010 21
- 22. C Horizontal & Vertical Cooperation Example HeCoRe Joint warehouses Joint deliveries Savigny ~ 50% deliveries Main Principles Stock level Service St Quentin level ~ 50% deliveries • Carrefour : 23 warehouses (full perimeter deployed) Implemented • Auchan : 2 warehouses • Match : 2 warehouses • Galec : 2 warehouses (joint deliveries with Reckitt) • Increase of delivery frequency Benefits • Improve service level Win-win-situation • Reduce transport costs © TMK_Logichem 2010 22
- 23. D End-to-End Supply Chain Planning Example Improvement Potential DPQ / SFA Sales Distribution Forecast Distribution Center Expected Center Forecast 1 Demand 2 Sales 3 Customer 4 Orders Allocation To Plants 5 6 7 Production Planning Confirmation to Distribution DC Replenish- Centers ment Planning © TMK_Logichem 2010 23
- 24. D End-to-End Supply Chain Planning Example Clear Rules exploit Potential of Tools Monday Tuesday Wednesday Thursday Friday Sales Forecast Direct demands Sales Orders Direct Copacking Dependend demands demands Planning Remaining DC Forecasts Stock Trans- Stock alerts and fer Planning Stock Alerts Production Planning Contract Manufact Planning Alert Mgmt Distribution Center Replenishment © TMK_Logichem 2010 24
- 25. E Smart Complexity Management Example Late Customization of Liquids Past ● 1-Step process ● Batch production Mixer Produkt Filling ● Slow process tanks A ● More cleaning & waste water goin g X-Bo x ● 2-Step process Now ● Continuous production XBoX ● Fast change-over Mixer tank for tank for type type Filling ● Less cleaning & Conti Post-addition waste water Post-Addition of perfume, color, actives, salts, citric acid First pilot 2004 Result: -70% in base formulas © TMK_Logichem 2010 25
- 26. F Sustainability Leading Position in External Recognition Member 2009/10 Member 2008/09 Member 2007/08 2009 WORLD‘S MOST ETHICAL COMPANIES WWW.ETHISPHERE.COM Germany’s most WalMart sustainable brand Sustainability Award Henkel © TMK_Logichem 2010 26
- 27. F Sustainability Matters Corporate CSR/Sustainability Targets for 2012 – 15 % – 10 % – 10 % – 20 % further reduction further reduction further reduction further reduction in in in in energy water waste occupational consumption* consumption* generated* accidents Long-term target: Zero occupational accidents. * Targets per metric ton of output. Base year: 2007 © TMK_Logichem 2010 27
- 28. Focus on Entire Value Chain Raw Packaging Detergent and materials Retail production transport Consumers Waste & recycling Washing Packaging Raw machine and Retail materials production transport Contribution to carbon footprint in %: ~ 20% ~ 10% ~ 70% Raw materials Production, packaging, Consumer use transport, retail, phase recycling © TMK_Logichem 2010 28
- 29. Performance based on Sustainability: Leading through Focus on Total Value Chain and Consumer Information 1000 Average scenario 30°C 800 60°C 600 400 200 0 Raw Materials Production Packaging Transpor- Purchasing Product Disposal Total tation Usage Henkel products stand for innovative sustainable consumption © TMK_Logichem 2010 29
- 30. How to Improve Sustainable Consumption & Production 1 Less Energy Consumption 2 Global Carbon Cycle 3 Biodegradability 4 Biodiversity © TMK_Logichem 2010 30
- 31. Sustainable Consumption Index (SCI) E • BIO • DIV SCI ~ GWP E: Efficiency in relative units of detergency BIO: Biodegradability in total oxygen consumption DIV: Biodiversity contribution in comparison to existing solutions GWP: Global Warming Potential in g CO2 equivalent © TMK_Logichem 2010 31
- 32. G KPI – Supply Chain KPI Master What you measure is what you get! • Integrated set of KPI linked to business strategy • Basis for continuous improvement Changes Changes realized planned • Bottom-up reconciliation and benchmarking 2005-2008 2005-2010 Headcount Productivity (tons per headcount and year) +19% +51% Processing Cost (EUR/ton) (powder/liquid) -3% -10% Transport & Whse. Cost (EUR/ton) -2% -2% Inventories (% of sales) -6% -16% Total Supply Chain Costs (% of sales without materials) -150bp -220bp # SKUs -13% -20% Service Level (%) +1.7% +1.5% Quality-in-the-box (%) +30% +30% Incident Rate (accidents per 1 mill. working hours) -38% -48% © TMK_Logichem 2010 32
- 33. H People make the Difference! Example for Developping & Retaining HR Right organization template & governance Less, but higher qualified resources Initiatives @ Supply Chain Henkel 1 Succession Planning Levels 1 – 3 2 Talent Development Programme 3 Supply Chain Academy © TMK_Logichem 2010 33
- 34. Agenda 1 Company 2 Business Sector & Supply Chain 3 Cheaper, Faster, Smarter: The Challenges 4 Responses 5 Key Take Aways © TMK_Logichem 2010 34
- 35. Key Take Aways • FMCG environment changes expected to Supply Chain Management Award happen in an evolutionary way (based on last 2-3 years experiences) • Flexibility, Speed, Reliability and Efficiency are „Classic Challenges“ joined by Sustainability being a competitive factor • Strategic responses focus on structural Awarded by: and process improvements as well as clear metrics along the integrated supply • Supply Chain Management Institute, European Business chain process School • PRTM Management Consultants • Technology is a must, People will be the • Trade Magazine, Logistik Heute „true“ differentiator in Retail-FMCG Supply Chains of the Future © TMK_Logichem 2010 35