The hottest sap is Dow Corning reforming its suppl

2022-08-22
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SAP reorganizes the supply chain for Dow Corning.

Dow Corning, which is famous for its development and production of various silicone products, has more than 7000 products, and currently has more than 25000 customers worldwide. The company's goal is to effectively formulate production plans and organize implementation, and provide customers with satisfactory products and services in a timely and accurate manner. Within Dow Corning, the two modes of production based on customer orders and inventory are adopted at the same time, and customer orders often change. In order to effectively formulate the production plan, strengthen the implementation of production and logistics, but give the experience value to the home users who eventually use the vehicle, Dow Corning adopts SAP's ERP and apo, namely the supply chain management scheme. After the implementation of SAP supply chain management scheme, Dow Corning can respond quickly and flexibly to the rapidly changing market

in the past, the IT system developed by Dow Corning on the mainframe platform could not meet the needs of the current manufacturing industry because the system was relatively decentralized. Before the implementation of supply chain management, due to the lack of integration between systems, the repeated input of data, and the inability to timely analyze the data and formulate effective plans, which directly affects the effective decision-making of the whole company

seamless integration of key processes

Dow Corning first used SAP's r/3 as the background ERP system in the enterprise, and then implemented SAP's supply chain solution apo. In this way, a complete end-to-end supply chain application environment has been formed within Dow Corning company. All key processes from the initial order to production planning, warehouse process, transportation and shipment, and finally invoicing and collection can be seamlessly integrated

the supply and demand balance process in SAP apo is as follows:

Step 1: demand plan

· collect market information and reports (communicate with the marketing department and the sales department)

· generate demand forecast 3. Be able to carry out static experiments such as uniaxial and biaxial tension of 10 shaped samples and uniaxial and biaxial compression of square samples

· at the same time, according to historical consumption, Generate material demand forecast

· balance demand according to the model

step 2: supply plan and balance

· input: demand forecast in step 1 and plant capacity

· output: preliminary supply plan of finished products, which plant will produce; Which customer or distribution center to supply; Preliminary plan of semi-finished products and raw materials, which factory produces and which supplier supplies

· balance: if there is no special information such as insufficient capacity and supply, Enter step 4

Step 3: special information processing

· special information and recommended solutions

· solution decision

· solution simulation step 4: plan high-level approval

· supply plan approval

· exception handling approval

with the low coal price, Dow Corning implemented SAP APO, which took a total of 9 months from system installation, prototype testing, pressure testing to the final launch, All processes were successfully completed

the efficiency of the supply chain has been greatly improved

after adopting the sap integrated software system, the efficiency of Dow Corning's entire supply chain has been improved. Now Dow Corning has established a model of supply and demand operation balance within the scope of the company's global rules will be adjusted. By collecting and analyzing global real-time data, decision makers can easily coordinate the work of factories and employees, and can also dispatch and coordinate production and market demand globally. Supply chain planning and integration saves the cost of the whole supply chain, especially the material cost

another purpose of Dow Corning in implementing supply chain management is to improve the quality of service to customers. SAP's supply chain management scheme can provide targeted delivery suggestions and more accurately evaluate market share, so as to improve the timeliness of supply and ensure satisfactory service for customers. In addition, the supply chain management plan can also optimize and rebalance the forecast by formulating some standards, such as transportation cost, delivery distance, etc., to further ensure the timely delivery of accurate products when customers need them

changes brought about by supply chain management

· reduce inventory by optimizing the level of inventory and safety inventory, handle inter company procurement business

· reduce order cycle time and equipment preparation time, optimize production plan

· reduce production costs and improve resource utilization by combining and processing orders within the planned time range

· reasonable utilization ability · reduce prediction errors, Improve delivery reliability

· ATP (feasibility check): availability check based on batch characteristic values and batch allocation in multiple ERP systems

· early warning management: for abnormal situations, manage special information sap is the world's leading supplier of enterprise management software and collaborative commerce solutions. More than 80% of Fortune 500 enterprises have adopted SAP business solutions. (end)

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