Supply and Production Planning Along the SAP Landscape
Pharmaceutical manufacturing company with an SAP system landscape
Inefficiencies and structural gaps in operations weighed on supply and production planning and drove up inventory and costs.
The challenge
The situation
Inefficiencies and structural gaps in operations impaired both supply and production planning. The existing processes led to suboptimal inventory levels and rising costs.
Our approach
What we delivered
Systematic focus on the use of the SAP systems
Reality-based capacity planning in place of planning figures that did not reflect actual throughput.
Renegotiation of the supply-chain agreements as the third lever alongside SAP usage and capacity planning.
The outcome
Results & impact
+12% OTIF rate
Improved on-time-in-full delivery performance.
-40% inventory costs
Marked reduction in inventory costs.
-20% inventory quantities
Reduced stock levels while maintaining delivery capability.
Mid seven-figure savings
Savings realized in the mid seven-figure range.
In summary
Supply and production planning are integrated across the SAP landscape; delivery performance, inventory levels and cost structure have improved measurably.
Related expertise
Manufacturing & Supply Chain Management →
Production planning, procurement management and logistics across the whole chain
Supply Chain Management →
Robust demand planning and a workable S&OP process
ERP Integration →
GMP process design for batch management, goods receipt and batch release
Supplier Development & Qualification →
Supplier performance management and alternate-source qualification
Similar projects
More on Pharma →
Sources
- Entourage project experience (anonymized)
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