7136841 Logistics Oracle Proposed Solution

8/6/2019 7136841 Logistics Oracle Proposed Solution

1/46

Oracle LogisticsKnow More. Do More. Spend Less.


2/46

Logistics Management At-a-GlanceSource Planning & Execution Network Design, Carrier Contracts Carrier Selection, Freight Rating

Destination

Storage

Resource & Space Utilization Pick, Pack & Ship

Tracking In-transit Shipment Status Event Management, Notifications

Forward-thinking manufacturers use logistics strategically to reduce safety stocklevels and improve customer service and hence profits through better information. Bottom line, logistics is a new game, and the old rules simply do not apply. -Research Analyst, Logistics Resource Mgmt Executive White Paper


3/46

Business PressuresCustomer Expectations How do I improve the speed and visibility of shipments? How can I improve globalorder promise accuracy?

Variable Demand How do I account for higher volume from Internet selling? What adjustments do I

make in planning for mass customization?Planning & Execution Planning & Execution Storage Storage Tracking Tracking Destination Destination

Source Source

Increased Complexity How can I manage product proliferation? How do I balance global supply and demand to ensure on-time delivery?

Margin Pressure Where can I reduce costs to maintain competitive prices? How do I differentiate

my logistics offerings?


4/46

Operational ChallengesYour CompanyPlanning Execution

Carriers

Warehouses

Customer

Fragmented Communication & Visibility

Manual Processes

Multiple, Non-Integrated Systems

x

Expediting and missed shipments


5/46

A Need for ChangeLeading Business Trends Fulfillment Processes Integrated with Partners Streamlined Material Flow (e.g. Cross-Docking) Mobile Solutions for Increased Visibility/Passive Tracking Consolidation & Outsourcing of Shipping Activities Reverse & Service Parts Logistics Management


6/46

Logistics Management OpportunitiesOn-Time Deliveries Improved Capacity Utilization Warehouse Labor Hours Direct Transportation Spend Total Inventory Shipping Errors 10-20% 5-10% 10-30% 5-25% 5%80-100%

Lilly, Intermec, eSync, Tompkins, Meta Group, Telia Networks


7/46

How Oracle Delivers


8/46

Oracle: Complete E-Business SuiteMaintain Service Fulfill Make ProcureLogistics ManagementAll Product, Customer, & Supplier Information

Finance

HR Projects

Automate Key Internal Business Processes Extend Automation to Your Trading Partners Drive Continuous Improvement with Real-Time Intelligence

Develop Market

Plan

Order

Sell


9/46

Oracle Logistics SolutionGlobal Customers

Carriers / 3PLs Collaboration & Event Management

Inbound Supply Source

Plan

Rate

Book / Manage Pick & Tender Wrhs Label

Pack & Ship

Track

Settle

Integrated Planning & Execution Continuous ImprovementOn-Time OnPerformance Customer Satisfaction Carrier Analysis

Outbound Demand Destination


10/46

Oracle Logistics SolutionDimensional ConsiderationsTimeDynamic Operational Tactical Strategic Facility Local Area

PlaceDomestic International

Logistics Management

ModeTruck Rail Air Ocean Outbound Inbound

FlowIntra-Org Returns


11/46

Oracle Logistics SolutionEnables You To

Integrate Planning and Execution Collaborate with All Trading Partners Streamline Global Shipments Drive Continuous Improvement


12/46

Integrate Planning and ExecutionSeamless Flow of Information

Strategic

e.g. Distribution Network

Network Designe.g. Performance

e.g. Planned Shipments e.g. Load Plans

Supply & Demand Planning

Transportation Planning*

e.g. Shipment Schedule

e.g. Dock Scheduling e.g. Load Confirmation

Transportation Execution Warehouse Management

e.g. Actual Shipments e.g. Shipment Exceptions

Event Management Operational Minutes Hours/Days

e.g. Delivery Confirmation

Weeks/Months

Quarters

Years

* Coming in 11i.10


13/46

Minimize InventoryProvide Single, Consolidated View of All Inventory Provide inventory visibilityIn-Transit

In-transit inventory At trading partners Between operations

Enable postponementWarehouse

Consolidated Inventory Status

Optimize inventory location (manufacturing, distribution centers, central warehouses)

Plan for demand and supplyWIP / Planned Production

variability


14/46

While Maximizing Service LevelsImprove Customer Satisfaction More Accurate Promise Dates In-Transit Warehouse

Promise orders based on material availability; supplier, manufacturing and transportation capacity Allocate supply & capacity by channel, customer or product En

able Capable to Deliver

Consolidated Delivery Status

Increase Delivery Efficiency

Minimize expediting charges Eliminate manual transfer processes Improve warehouse pick and carrier delivery accuracy

WIP / Planned Production

Proactively Respond to Exceptions


15/46

Optimize Asset UsageLeverage All Assets to Reduce Operating CostsWarehouse Space Vehicles

Slot based on space utilization People

Deliver using full truck loads Capital

Reduce manual labor

Reduce capital invested


16/46




17/46

Logistics CollaborationShare Information Real-Time with Trading PartnersYour CompanyCapacity Rating Book Dispatch Track Invoice

Carriers / 3PLs

CustomersOrder ASN Track Payment Deliver ScheduleTrack


18/46

Logistics CollaborationReduce Uncertainty with Improved Visibility Increase delivery status visibility Improve customer service with betterorder promising

Decrease in-transit and delivery issueresponse time

Reduce planning cycle time and revisions Reduce tender rejections


19/46

Multiple Collaboration MethodsDrive Lights-Out ConnectivityWeb Online portal access for all trading partners Secure remote access from anylocation XML Support for OAGI XML standards Secure, guaranteed, one-time only delivery Trading partner specific data mapping EDI Support for industry standards(X12, EDIFACT, etc) Partnerships with major EDI translators Email Interactive, easy access, no integration Notification of activity on business documents


20/46

Supply Chain Event ManagementException Monitoring and NotificationCustomer

Reduce communication latencyNotifications and Corrective Action

Notify all tiers simultaneously Get visibility to fulfillment, purchasing, inventory, and manufacturing events Identify exceptions faster Automate exception handling

Reduce expediting costs

Carrier DelayShipper

Reduce inventory

Provide real time inventory visibility to suppliers Enable Vendor Managed Inventory Automate replenishment process

Improve fulfillment cycle time


21/46




22/46

Cost-Effective Global DeploymentThink Locally, Act Globally Deploy and manage on a single global instance Support with single worldwide organization Support for statutory and customary local requirements Multi-lingual, multi-currency, multi-org, multi-national capabilities- 30 languages, all installable in same unicode instance


23/46

Support International Trade ManagementContent via Standard PartnershipsCompliance Enable denied party screening Provide embargo license detection Identifies boycotts

Benefits

Ensure regulatory compliance Minimize government audits

Export Screening

Export, Import Documents

Prepares standard paperwork for shipping regulations (e.g. customs clearance paperwork)

Eliminates costly delays Ensures on-time deliveries


24/46




25/46

Drive Continuous ImprovementImprove Performance Through Integrated IntelligenceEstablish Targets Perform Transactions Measure Results

Logistics Plan

Exceptions

Adjust Plan

Notifications

Out of Tolerance?


26/46

Daily Business IntelligenceReal-Time Access to Complete Business InformationWhat percentage of outbound shipments are delivered What is my variance in costHow are my expediting

on-time?

per shipment?

costs changing?

Which carriers are providing the best cost and service? How are inventory

turns and quantities changing?

Manage By

Objective: Set institutional targets Fact: Provide performance-based metrics Exception: Continuously evaluate performance


27/46

Warehouse and Transportation Intelligence*: Timely, Accurate, RelevantFlexible Time Periods Flexible Comparisons

Real-Time RealResults

Daily updates on key performance indicators Actionable information on savings and incremental revenue opportunities

Links

Performance Measures Reports

At a glance:-

Graphs -

On-time departure and delivery, cycle time Shipping cost / weight Inventory quantity, turns, and accuracy Pick-to-ship cycle time Warehouse labor costs* Coming in 11i.10


28/46

Oracle Logistics SolutionKey Capability SummaryNetwork Design Define all characteristics of the distribution network Specify details such as lanes, distribution centers, etc. Supply and demand planning across network Transportation planning including load planning, mode / carrier optimization, load configuration Freight rating, automated mode/carrier selection Loadtendering, shipment pickup requests Global track and trace, settlement Automate

d, tailorable warehouse functions (e.g. pick, pack) RF barcoding support Advanced inventory management capabilities

Supply Chain Planning

Transportation Execution

Warehouse Management

Event Management

Monitor shipments Handle exceptions and notify all trading partners


29/46

Oracle Logistics SolutionIntegrated supply, demand, and transportation planning with transportation/warehouse execution Real-time information sharing, event management Integrate Planning and Execution

Collaborate with All Trading Partners

Single global instance, international trade management

Streamline Global Shipments

Integrated performance measurement and analysis

Drive Continuous Improvement


30/46

Oracle Logistics ProductsMaintain Finance HR Service FulfillInventory Management Warehouse Management Mobile Supply Chain Applications Transportation Logistics IntelligenceAll Product, All Product, Customer, Customer, & Supplier & Supplier InformationInformation

Projects

Make Procure

Develop Market

Plan

Order Sell


31/46

Evolution of Oracle LogisticsCurrent Differentiators New with 11i.9 Coming in 11i.10

Built-in, not bolt-on - RF/mobile VMI & consigned inventory technology & transaction Task & labor plng control board integration Delivery consolidation by Flexible rules-based processes locator and / or LPN Configurable material flows Cluster picking & WIP picking Inbound logistics receiving, eAM component picking insp

ections, directed put-away, UPC & smart barcode support cross docking, ASN Single mobile UI for all Outbound logistics dock receiving transactionsassignment, pick wave selection, picking methods, cartonization / packing, shipment execution, trip & delivery planning Advanced inventory mgmt container & LPNs, lot/serial genealogy, status, Kanban Reverse logistics RMA receiving, supplierreturns, refurbishment & recycling

Configurable picking &

streamlined shipping UIs RFID-based transactions UCC 128 / UCC 14 support Work-plan based put-away Catch weight support Packing workbench Over picking & bulk picking receiving transactions Inbound transport logistics Additional material hand

ling Freight payment & audit equipment integration Delivery consolidation Simplified rules engine defn Truckload rating and examples library Transportation planning load Load tendering consolidation, continuous Online tracking of ship statusmoves, automated mode and Carrier selection & freight rating carrier selection Automated shipping processes International drop shipments Non-conformance mgmt Logistics-related analytics/KPIs

The following is intended to outline our general product direction and is intended for information purposes only. The development, release and timing of any features or functionality remains at the sole discretion of Oracle. This presentation is not a commitment to deliver any material, code or functionality.


32/46

Superior Architecture


33/46

Foundation: Common Data ModelA Single Source of TruthLogistics Purchasing

Store all data in a single databaseFinance Common Data Model (9i Platform) Manufacturing

Consolidate data from multiple systems Eliminate need for integration and redundant systems Scale to meet growth demands

Planning

Inventory

Contracts

Service


34/46

Modular ArchitectureImplement Based on Your Business PrioritiesImplement by Business Flow Start with one flow, demonstrate initial success Add more flows to expand business coverage Support changing business needs

Time

Flows are Seamlessly Integrated Replace disparate systems Eliminate data synchronization Decrease time and costto implement


35/46

Tailorable ArchitectureWorkflow Driven Business Rules Flexible drag and drop interface Workflow driven processes with common engine Rules-based architecture requires no customization Open APIs for extensibility


36/46

Lower Total Cost of Ownership (TCO)Run on a Single Global InstanceRoles: Roles: App Admin DB/AS Admin Sys Admin

E-Business On DemandNeeds: Needs: Availability Security Performance Change Problems You Manage: Oracle Manages: 50% Lower Cost 50% Better Svc Core Competence Predictable Cost

Consolidate Data Centers and Databases

HW Admin

Low Cost Linux Hardware3x faster, 5x cheaper Easy to Automate en Mass Highly Reliable

Standardized Open Integration Platform Business events infrastructure Industry standard protocols Centralized integration repository

Oracles Experience with LinuxProduction midtiers Production DB Demo environments Development Outsourced Customers 100% Linux RAC Cluster (Unix) 100% Linux 90% Linux 70% Linux

Simplify B2B Integration, Application Connectivity, and Process Management


37/46

Customer Success


38/46

A Few Logistics Customers


39/46

American Power Conversion Corp

$1.4B world leader in IT equipment power protection

16 manufacturing & 25 distribution sites worldwide, serving 120 countries OrderMgmt / Shipping, Manufacturing, Purchasing, Planning, Financials, HR Adding Mobi

le Supply Chain Apps, WMS, Configurator Upgraded from 10.7 to 11i Consolidated 13 systems into a single global instance 3200+ users (700 concurrently), 3600 order lines/day across 50+ organizations at 10 sitesHaving an integrated set of application modules in a single instanceyou get a global perspective in one place in real time. -- Lisa Sipe, CIO, APC

Live on 11i -- single data center in Rhode Island

Integrated order/shipping info to reduce fulfillment cost/time Leveraging globalATP to improve on-time delivery performance Reduced raw material inventory by 56%


40/46

$345M leader in high-performance enterprise Storage Area Network systems

950 employees across the U.S., Europe and Asia Manufactures and markets high-performance switching equipment and heterogeneous network mgmt software Replaced Siebel and SAP with Oracle Warehouse Management, Configurator, Order Mgmt, Discrete Mfg, Purchasing, Financials, TeleService, Depot Repair, Service Contracts Proj

ects a five-year cumulative ROI of 352% on Oracle E-Business Suite implementation Support complex configure to order fulfillment process

Live on 11i

On-time shipments increased from 79% to more than 97% Reduced total inventory 75%


41/46

Leader in wireless communications products and services

Over 6,000 employees at 40+ facilities in 18 countries Order Management, Warehouse Management

Currently implementing 11i

Using Oracle WMS business based rules engine will ensure a rapid, low cost implementation since we do not have to customize it. The flexibility to match the waywe work in a wireless environment, and the containerization of product represents a significant workload reduction. Tom Fisher, VP Information Technology

Expect significant workload reduction and flexibility Predict rapid, low cost implementation without customizations


42/46

Guided by Our CustomersLogistics Customer Advisory BoardAbbott Labs Agere Agilent Alcoa Dana Donaldson Esco FEMSA/Solistica Hafele IKONIsraeli Air Force Knouse McGraw-Hill Millipore Pella Qualcomm Seagate TektronixToshiba (TABS) WC Bradley (Charbroil)


43/46

Summary


44/46

Oracle Logistics Solution

Integrated Planning and Execution Trading Partner Collaboration Streamlined Global Shipments Continuous Improvement


45/46

Know More. Do More. Spend Less.


46/46