Aligning Supply Chain Technology with Business Processes

While the organization made necessary technology updates to support constraint based planning and multi-echelon inventory optimization, the client wasn’t convinced about the technology’s alignment with business processes. Gartner helped identify opportunities to improve this alignments.

Most critical priority

The client’s priority was to develop a consistent view and strategy across the organization to better align supply chain technologies and capabilities with business processes.

How Gartner helped

Gartner assessed the current business processes using the Gartner Supply Chain Maturity Assessment. The client used Gartner advisory expertise to engage internal stakeholders on how, who and what was needed to align process and work streams. Gartner found efficiency by aligning and optimizing tools and processes, notably by upgrading systems and tools with the newly aligned demand planning process.

Business impact

The client aligned the cross-functional demand planning team (sales and marketing, finance and supply planning) around forecast analysis. Through alignment of the new business processes and the capabilities of the upgraded technology, the client developed efficiencies in SKU assignments, planning timelines and the DDVN manufacturing process, which resulted in an inventory reduction of $22 million in the first six months.