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Building Outside-in Planning Processes

Founder and CEO of Supply Chain Insights em Supply Chain Insights, LLC
21 de Sep de 2022
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Building Outside-in Planning Processes

  1. Imagining Supply Chain 2030 GLOBAL SUMMIT
  2. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. Helping supply chain leaders to change their stripes Project Zebra
  3. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. Why Project Zebra?
  4. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. What Is Project Zebra? 4 Project Zebra is an open-innovation and collaborative effort to define outside-in processes and redefine decision support technologies. • Kick-off: November 2020 • First phase: Chartered advisory group 02/21-11/21 • Training: 01/22-03/22 • Second phase: Second advisory group 03/22-present • 09/14-16: Executive Retreat • Then ???
  5. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. BSH Case Study
  6. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. BSH Latency Distortion Market Latency Demand Latency Process Latency 49% 7 months 2 weeks 4 weeks
  7. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. Input Engine Plan Historic View
  8. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. Data Multiple Inputs Changing in Relative Importance Engines Plans by Role Role Based Outputs Planning Master Data Outside-in View
  9. o9 Solutions, Inc. Confidential and Proprietary. Your use of these materials is governed by the terms of your written agreement with o9 Solutions. All unauthorized use and reproduction or distribution is prohibited. Bi-directional Orchestration Orchestration Channel Sensing Sensing Supply Sensing Variability: Cycles, conversions, and grades Growth Customer Service Margin Inventory Turns Safety Return on Invested Capital Balanced Scorecard Listening Post Pattern Recognition of Channel Data Interest Social Graph Mining Contract Manufacturing Alternate Sourcing Alternate Bill of Materials Bi-Directional Orchestration Architect/Design Planning Master Data Baseline Demand Plan Feasibility Events Risk Sensing Demand Shaping Portfolio Shifts Quality Sensing Logistics Sensing Leadtime Variability Commodity Price Shifts Platform Changes Social Sentiment Weather Conversion Rates Yield Maintenance Schedules Reverse Bill of Materials Alternate Routing Factory Reliability/Capabilities Alternate Distribution Alternate Channel Images Market Shifts Weather Pattern Recognition Images Postponement Calendar(s) Replenishment Policies Allocation Market-Driven Knowledge Graph
  10. Imagining Supply Chains in 2030 IMAGINE 2022 LKQ Network Diagram Central Warehouse LT= ~1 day Branch1 Branch2 Branch3 • Baseline Forecast : Generated for individual branches based on historical Sales from their branches • Net new requirements are generated based on the • available inventory at Branches • In transit inventory to Branches • Open PO, yet to be shipped by the CDC • Replenishments are done when the on-hand falls below the Re Order point and up to the Max. • Min(ROP) = Safety stock + Demand over lead time • Max = ROP + EOQ/OOG
  11. Imagining Supply Chains in 2030 IMAGINE 2022 LKQ Demand Insights LKQ o9 Enterprise o9 Market Driven Inputs Shipments Sales Invoices Sales Invoices + Market Signals Demand Latency Unknown Unknown ~6 weeks Forecast Value Added (FVA) 8% 9.9% 17.3% Forecast Bias Positive Negative / Balanced Balanced Bullwhip Amplification 48% 52% 37% COV Analysis Insights: ● Item/Branch locations is not forecastable ● o9 outputs improved by using COV analysis to forecast in the hierarchy
  12. Imagining Supply Chains in 2030 IMAGINE 2022 Lead Time Analytics (all SKUs combined) Period –2019 to Q1 2022
  13. Imagining Supply Chains in 2030 IMAGINE 2022 LKQ Supply Insights LKQ o9 Enterprise (Sales invoices) o9 Market Driven (Purchase Order Request Receipt) Lead time variability Not Utilized Initial Load Synchronized Planning Master Data Bullwhip Amplification 48% 52% 37%
  14. Imagining Supply Chains in 2030 IMAGINE 2022 Optical Communications 14  Global leader in connectivity solutions for carrier, enterprise and wireless networks, and the expanding frontier of consumer electronic devices  For more than four decades, our innovations have continually increased the performance, lowered the cost, and improved the installations of optical networks  Products include:  Corning® ClearCurve® – Bend-resistant fiber to provide reliable transmission in complex installation environments  Corning® ONE™ Wireless Platform – All-optical solution that converges an enterprise’s cellular, Wi-Fi, and Ethernet into a single unified infrastructure  EDGE8™ Solutions – Reduce space-requirements and increase transmission speeds of data centers
  15. Imagining Supply Chains in 2030 IMAGINE 2022 Optical Wireless Multidwelling Units Data Centers Cities Central Office Or Headend Hotels Public Venues Small Cells Single-Family Homes Rural Areas WE BUILD CONNECTIONS SO THE WORLD CAN MAKE THEM.
  16. Imagining Supply Chains in 2030 IMAGINE 2022 Optical Wireless Multidwelling Units Data Centers Cities Central Office Or Headend Hotels Public Venues Small Cells Single-Family Homes Rural Areas WE ARE FOCUSED ON THE FASTEST-GROWING SEGMENTS Fixed Access Networks FTTH and MSOs In-Building Networks LAN, DAS, Small Cells Data Centers Hyperscale and Enterprise Wireless Networks 4G  5G
  17. Project Zebra Pilot Deana Denton Director of IT Strategy: Digital Supply Chain Services, Corning Nicole Miara Digital Transformer LKQ Europe Panel
  18. Imagining Supply Chains in 2030 IMAGINE 2022 Buses leave at 6:15 for the Air and Space Museum
  19. Join the Guiding Coalition for Change.
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