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Blue Yonder - End To End Supply Chain Operating System
Blue Yonder - End To End Supply Chain Operating System
December 2023
Agenda
Transportation Management
Blue Yonder
Automotive Industry Perspective
Business Outcomes
Service Level Increased Forecasting Premium Freight Inventory Reduction Planner Productivity Reduce Manual
Improvement by Accuracy by 20% Reduction by 40% by 20% Improvement by 40% Order Updates
10% by 50 to 80%
OEM’s
Supplier
eCommerce Finished MFG Raw Material Network
Goods DC Plants DCs
Distributors
Dealers/Retailers
Supplier
Network
PDC CDC/Master
Depot
Dealers
Supplier Supplier
eCommerce Network Network
Final Assy Powertrain
Plants Plants
Private Fleet
Supplier Supplier
Network Network
Power train assembly , Machining and Foundry capacities to • Global sales volume and mix planning with 700+ users
constraint plan representing 140 markets Sales Volume and Mix
• Planning
Allocation of supply to power train demand Close the demand planning process using the Blue Yonder solution
Distribution of components and intermediates between plants within the first week of the month
• Capacity
Steer sales Gaps quickly from industry volumes at market level
forecast
Visualization
to model forecast and a feasible mix
• Run several scenarios to generate final consensus forecast
Multi Echelon Capacity Planning
• Capacity Planning
Mix validation constrained by feasible combination of
versions/options
• Feasible production volumes on completely defined vehicles
generated using options planning solver
Integrated
• Reconciliation
Supply offer planning deployed to 40 plants worldwide.
• Maintain production schedules once demand at fully specified
level is available
Supplier Constraints
• Run scenarios to finalize production schedule Market/Partner
Results: Improve margins, increaseAllocations
customer satisfaction and Net
• Generate Demand-Supply gaps based on latest demand picture
Present Value of 100M€ for
Market Distribution
Realized after 3 years
the month and multiple constraints such as Powertrain, key parts
Vehicle Plant Schedules
“While navigating through the COVID crisis with all its uncertainty, the
Suppliers
and other supplier constraints Power Train Plans
BlueYonder solution is of great value. Whereas the carflow process used
Forecast Order Generation
to take about six weeks, we are now able to complete a full simulation
cycle (Demand, Supply, P&L, Cash Flow trade-offs) in hours” – Florian ,
Copyright © 2020 Blue Yonder, Inc. GVP Renault
End-to-End
Synchronized Execution
Companies Are Struggling With a Patchwork of Solutions…
Online Omni-Channel Order Warehouse Operations Customer Space & Floor Lifecycle
Commerce Sales Management Management Management Management Planning Pricing
Product &
Inventory Employee Supplier Store Reporting & Real-Time
Menu Fulfillment
Management Management Collaboration Execution Analytics Dashboards
Management
Confidential
TRADITIONAL MODERN
PROCESSES SUPPLY CHAIN
SILOED
COMPOSABLE
MICROSERVICES
LINEAR
COGNITIVE
ORCHESTRATION
HIGH COST,
HIGH COMPLEXITY
UNIFIED
EXPERIENCES
MANUAL
COMMON
DATA CLOUD
to
LOGISTICS PLANNING
• Linear supply chains with static, disjointed and • Closed-loop, connected with synchronized decisions
siloed decisions • Edge-connected information in real-time leveraging Data
to
• High TCO and latency in information flow Cloud
Sub-optimal
Existing systems are not intelligent Siloed
enough, don’t use AI/ML to produce Increased blind spots with lack of
optimal decisions end-2-end awareness
Inflexible
ERPs are complex and not nimble
enough to support changing market
needs
Disconnected
Execution data are distributed across
systems leading to incoherent
decisions
Batch-oriented
Batch-oriented systems don’t react and
respond to sudden disruptions
What might you hear from supply chain execution teams…
Transform supply chain agility & resiliency, decision-making, customer experience through
our Unified Supply Chain Execution platform, harnessing AI, ML, microservices, unified
data models, and cognitive intelligence improving margins, and revenue growth.
2023 - 2024
Level 3
2023
Cognitive Orchestration
Level 2 Unlock performance and build sustainable
2022
Business Process Interoperability supply chain resilience
Level 1 Optimize speed, performance and
System & Data Interoperability AI & ML learning occurring between
scalability
systems, resulting in an autonomous
Level 0 Facilitate inter- and intra-enterprise orchestration and accelerated innovation
Workflows are built cross systems,
Legacy Batch Processing coordination
supporting systems working in harmony and
Project built integration sharing of data in near real time.
Systems communicate with each other with
bi-directional data exchange, occurring
System integration often built point to intra-day.
point and based on custom interfaces
owned by a company’s internal IT teams
Increasing interoperability maturity
Synchronized Execution for E2E Supply Chain Execution
• Inventory Updates • Inventory Positioning
• Order Updates • Allocated ATP
• Cut-off Availability • Sellable/Unsellable
• Replenishment Orders
Microservices
Unified Cognitive
data model Intelligence
• Fleet constraints
• Storage Constraints
• Labor Constraints
• Capacity Constraints
• Labor Capacity
• Labor Costs
Suppliers
Vehicle
Processing
Center
Plants
[NA +Overseas]
Logistics Procurement & Dynamic Pricing Load Planning & Optimization Transportation Modelling
Transportation Management
BUSINESS OUTCOMES
• Inventory – E&O
• Planner Productivity
• Freight Spend
• Optimal utilization of assets
• End to End Visibility
Copyright © 2021 Blue Yonder, Inc. Confidential. | For internal use only.
Vehicle Accessorizing and Scheduling
Demand Planning
Business Objectives
Improve forecast accuracy & predictability
Reduce inventory
Increase service levels & in-stocks
Drive forecast consensus
Improved visibility into risks and opportunities
Business Benefits
Reducing Forecast Error by 20%
Reduce Inventory Write-off by 10% - 30%
Improved Margin Rate by 10% - 20%
Increased Planner Efficiency by 15-30%
Reduce Inventory by 10% - 30%
Business Benefits
End to End visibility at a granular level
Maximizing on-time delivery , improved customer
service and reduced inventory levels by 5%-10%
Reduce expedited logistics, SG&A expenses by
10%-30%
Eliminate latency with fast and responsive
planning
Increase Planner Efficiency and productivity by
10% - 20%
Copyright © 2017 JDA Software Group, Inc. Confidential
Vehicle Accessorizing and Scheduling
Inventory Planning
Business Objectives
Improve service levels and reduce cost
Improved Margin Rate through profitable
segmentation
Maintain optimal inventory levels & mix across
multi-echelon supply chain network
Determine postponement and stocking strategies
Business Benefits
Increase service levels by 5%-25%
Improved Margin Rate by 15 – 100 bps
Reducing Overall inventory investment by 10%-
30%
Reduce Inventory write-off by 20%-50%
Labor Efficiency: Improve by 18%-30%
Business Benefits
Increased visibility at a granular level
Increase in asset utilization 40%
Increase in Service Levels from 60% to 95%
Increase in Planner Productivity 20%
Inventory Reduction by 15% - 30%
Business Objectives
> Offer differentiated service levels to channels and
customers
> Balance manufacturing, transportation and order-
level constraints to deliver customer satisfaction
> Provide prescriptive steps and strategies for
resolving problem orders
Business Benefits
> Improved operating margins by reducing freight
and expediting costs by 15% - 30%
> Increase in On-time Performance 30%
> Improved delivery reliability through accurate
promise dates
> Increase in Planner Productivity 30%
> Improve Fill Rate 10-20%
31
Real-Time Visibility &
Orchestration
. Real-Time Visibility & Orchestration KEY PERSONAS
• Logistics Planners
• Supply Planners
• Material Planners
Monitor exceptions Drive resolution
● Monitoring network for demand exceptions ● Set-up Situation Rooms to address critical gaps
● Monitor network supply exceptions ● Invite stakeholders to collaborate around
● Identify critical gaps for resolution resolution options
● Automate common resolutions with playbooks
BUSINESS OUTCOMES
• Inventory – E&O
• Freight Spend
• Planner Productivity
• End to End Visibility
KEY DIFFERENTIATORS
Set-up digital twin of network Create alerts Compile insights for playbooks
● Represent end-to-end supply chain ● Shipment disruption ● Occurrence of specific exceptions
• End-to-end visibility, real-time
network in digital model, including ● Production disruption ● Impact of specific interventions
items, locations and inventory
• Ecosystem of logistics partners
● Stock out
● Order delays • Intuitive user experience
• Situation room collaboration
Copyright © 2021 Blue Yonder, Inc. Confidential. | For internal use only.
Real-Time Visibility and Orchestration
Shipments ETA vs PTA
Blue Yonder’s
Footprint in
Automotive: Automotive Production Line
Production Line & Spare Parts
(UK+IT)
Logistics Delivery (ES)
Production Line
Delivery (BE) Spare Parts &
New Cars (NL)
ADDITIVE BENEFITS OF BY
Increased engagement
4PL Platform
3PLs
BY Platform
Ecosystem Load
Visibility Boards YMS Edge
IoT
Copyright © 2020 Blue Yonder, Inc.
Carrier Network Integrated Planning & Execution
TMS
IoT API ELD GPS
APIs APIs
Multi
Modal WMS SCP YMS OMS
Easy System Setup Plan Transportation Execute to Plan Track Freight Financial Settlement
• Dynamic vs. Static • Track all parts across the network • User configured reports &
(inbound/outbound, international) dashboards
• Inbound & Outbound Planning &
Visibility • Proactively manage exceptions • Transportation specific modeling &
analysis
• All modes, single solution • Freight Audit & Approvals
• Rate Procurement and Contracting
• Dock door scheduling • Leverage ML to predict future
challenges • Supplier Forecast Collaboration with
• Automatically re-plan when there PO lifecycle
are delays