Sonata helps a Precision Component Delivery System leader improve Inventory Management Efficiency using AI/ML based Demand Forecasting Model and Intelligent Data Insights

When a US based Precision Component Delivery Systems Leader embarked on a digital transformation journey, they turned to Sonata to help build the overall digital framework planning and accelerate the modernization programs with primary focus on Data Modernization. With Sonata’s PlatformationTM Methodology, they were able to trigger data driven transformation through data platform, in operations, starting with Inventory Management and Supply Chain using advanced analytics and forecasting models, improving the efficiency by nearly 30%.

Customer Context

The company, with facilities spread across North America, Asia, and Europe, supports the global production of the world's electronics manufacturers and offers products used in the assembly process of devices including computers, mobile phones, medical components, smart appliances, and automobiles.

Partnership Highlights

Sonata was chosen as thestrategic partner due to ourMicrosoft Full Stack Capabilitiesand unique PlatformationTM

approach to help realize DigitalTransformation agenda. Sonatahelped engineer the platformwith a combination services thatinclude Azure Digital Services tobuild data storage components,custom data platform andmodernizing digital processeswith Dynamics 365.

About the Company

The organization’s digital transformationinitiatives were aimed at scaling theoperational model to match thebusiness expansion plans. With thescale of operations spread across theglobe, the organization dealt with hugevolumes of data that needed to bemanaged and processed continuouslyfor both reporting and forecastingpurposes to ensure operationaltransparency and efficiency.

• One of the imminent challenges thecompany was dealing with was thelack of a unified data managementmodel, to handle the volume andvariety of data churned out byvarious systems within theecosystem. This impacted thereporting and forecastingefficiencies.

• Sonata with its PlatformationTM ledapproach helped build a datamanagement platform with AIbased forecasting algorithms anddata insights that helped improvedthe data trust ratio amongst thebusiness operations, resulting inhigh forecasting accuracy andbusiness responsiveness.

• The data modernizationengagement also helped acceleratethe digital transformation through athree stage data transformationengagement that laid thefoundation for accelerateddigitization. This led to upgrade ofthe current dynamics platform,modernization of the transactionalERP database, building a dataplatform for analytical insights andpredictive analytics.

• The platform leveraged Dynamicsand Microsoft Azure Stackcapabilities including AX 2009, DataGateway, Data Warehouse, AzureData Factory, Dynamics 365, AzureSQL, Azure Data Lake Storage,Power BI, Azure Machine LearningStudio and Azure MonitoringServices.

Solution Facts

The solution involved the upgrade of the dynamics implementation onto D365,modernization of transactional ERP and building a data platform to support consolidatedreporting, predictive analytics, data insights and forecasting algorithms.

Key Highlights of the solution include -

• Upgrade their existing MicrosoftDynamics AX 2009 instance for alltheir 10 Entities / Division ontoMicrosoft Dynamics 365 finance andoperations on Cloud andconsolidating data from AX2009 andD365 data systems for reportinguniformity

• Building Predictive Analytics on theconsolidated data layer

• Leveraging D365 integration withAzure Machine Learning Studio andbuild multiple forecasting models thatincluded ML based model for itemswith limited variations and MovingAverage Model for items withsignificant amount of variations

• Building Enterprise AssetManagement Model

• Anytime access to consolidatedhistorical and real time data for theBusiness teams to run forecast reports

Business BenefitsThe engagement with Sonata resulted in benefits like:

Pre-defined reports and analytics and real time insights into operations provided a comprehensive view of operation status and transparency to all stakeholders

Improved reporting accuracy and access to all stakeholders, enabling transparent, faster and smarter decision making

Improved order processing efficiencies due to higher forecasting accuracy and data trust

Enhanced sales with automated accurate demand forecast updates based on the historical data

WHY SONATA?

Sonata is a global technology company, that enables successful platform based digital transformationinitiatives for enterprises, to create businesses that are connected, open, intelligent and scalable.Sonata’s Platformation™ methodology brings together industry expertise, platform technologyexcellence, design thinking-led innovation and strategic engagement models to deliver sustained longterm value to customers. A trusted partner of world leaders in the Retail, Manufacturing,Distribution, Travel, services and Software industries, Sonata’s solution portfolio includes its owndigital platforms such as Brick & Click Retail Platform©, Modern Distribution Platform©, RezopiaDigital Travel Platform©, Kartopia E-commerce Platform©, Halosys enterprise developmentautomation Platform©, and CTRM Commodity trading and risk management Platform©, KODO - AIpowered customer experience (CX) Platform, Sonata’s Platformation realization services have beenspecifically designed so that implementation of services on Microsoft Dynamics 365, Microsoft Azure,AWS, Cloud Engineering, Managed Services as well as on new digital technologies like IoT, ArtificialIntelligence, Machine Learning, Robotic Process Automation, Chatbots, Block Chain and CyberSecurity, deliver to the Platformation promise. Sonata’s people and systems are nurtured to bringtogether the depth of thought leadership, customer commitment and execution excellence to make adifference to business with technology.

Sonata helps clients unlock value andgrowth through Platforms with Sonata’sproven Platformation services. We alsohelp enterprises in shaping their DigitalAgenda, Platform thinking and inreimagining Platform business models andecosystem.

Sonata’s platformation approach helpsclients to choose a solution that best fitstheir needs; balancing readily availableplatforms and solution customization

1. Sonata READY: End-to-end, industry-specific digital business platforms

2. Sonata ACCELERATE: Deploy popularhorizontal platforms adding requiredfunctionality

3. Sonata CUSTOM: Engineer customplatforms that deliver unique digitalcapability and scalability

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