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Logistics Transformation:Cisco’s Next Generation Logistics Transformation Solution
Speakers:-Sree Guru Sankaran (Cisco Systems)Rachna Mittal (Infosys Technologies)
Jan 27, 2015
Speaker Introduction
Rachna Mittal
Principal – Supply Chain
Infosys Ltd
Sree Guru Sankaran
Solution Lead - Supply Chain IT
Cisco Systems
Agenda
Emerging Trends And Supply Chain Implication
Cisco’s Logistics Transformation
Cisco’s Logistics Transformation Solution Highlights
Implementation Journey
Questions and Answers
• Worldwide leader
in networking
• Founded in 1984
• FY14 revenue of $47.1B
• ~70,000 employees
• >165 countries
• >153 acquisitions
Broad range of products, solutions,
and services
Strategy
• Enable the Business• Deliver Operational Excellence• Improve Customer Experience• Differentiate through Supply Chain Innovation• Empower Our Team
Vision
Enable Cisco’s success and unrivaled customer experience by delivering an adaptive, innovative, and scalable supply chain
About Cisco
Emerging Trends in Hi-Tech Supply Chain
Resilient Supply Chain
• More flexible, fast and cost-efficient solutions compliant to sustainability• Supergrid Logistics for orchestration of global supply chain networks
Emerging Market Growth
• Standardized, global platform to enable revenue growth• Plug and Play solution for quick partner enablement
Technological Influence on SC
Visibility• 75% companies struggle for near real time visibility• Analytical visibility with Innovations like Big data, IOE, Mobility
Product and Service
Segmentation• Differentiated distribution for fast and slow moving products• Right mix of logistics services to meet customer service levels
6
Company Growth
Reduced Cost
Visibility & Control
• Leverage OTM as growth driver with integrated services
• TurnKey solution for quick enablement of multiple nodes and partners
• Reduce Transportation costs and prevent spend leakages
• Increased satisfaction levels and ease of doing business
• Control Tower visibility to make informed business decisions
• Analytics to measure, monitor and make improvements
Cisco’s Value Drivers For Supply Chain Transformation
Logistics Transformation
Logistics Transformation At CiscoAny Node Any Product Network Modeling
Configure to Order Flow
Build to Stock Flow
ODM BTS Node
Customer
Destination 3PL
warehouseOption AOption B
Option C
Option D
Contract
manufacturer
Port
Customer
Origin 3PL
warehouse
Destination 3PL
warehouse
Shipment Planning & Optimization Scenarios
• Network selection
• Multiple Nodes
• Dynamic Routing &
consolidation throughout the
move
• 3PL facilities
for cross-docking and
consolidation
• Multiple trading partners
involvement
• Optimization for unlimited legs
with Multiple modes
• Multiple shipments for each
leg
• Support for all modes of
transport like Air, Parcel, LTL,
Truck, Rail, Ocean, etc.
• International shipping
Multi-Tier Distribution
Multi-Leg, Multi-Mode
Contract
manufacturerDestination 3PL
warehouse
Origin 3PL
warehouseCustomer
Houston, US
Houston, US Herkenbosch, NL
EMEA Region
Austin, US
Ciudad Juarez, MX
Origin 3PL
warehousePort CustomerContract
manufacturer
Doumen, CN Hongkong, HKTokyo, JP
Japan
Solution Highlights
System Landscape
Transportation
Orders/Invoices/Allocations
Shipment Plan
& Freight Cost
Using Web
Service
Standard Messaging
Single Sign-on - OAM
INV
APSOM
AR
WIP
WSH
OTM
6.2.8
3PL WMSODM/OEM
Cis
co
Firew
all
Carriers
End to End Process Flow
Web Services
Lane
Selection
Order
Release
Creation
Mode
Selection
Review &
Approve
shipment
Ship
Confirm
Track&
Trace
Audit &
Settle
Order
Mgmt.ASCP Inventory
Shipping
ExecutionPurchasing
• Items,
Products,
• Location
• Sales order
• Move order
• Delivery
• Planned
Shipments
• Shipment
Ack
• Ship
confirmation
• Shipment
Events
Invoice
Financials
Shipping
Control
Load
consolidation
Oracle Transportation Management
Rate
Shopping
Value Chain
Partners
Bulk Plan
/Instant Plan
Shipment
Creation
External Rating Engine
Fusion Transportation
Intelligence• Order
• Shipment
• Invoice
Rate Inquiry
/Response
ET
L
• Route
Inquiry
• Transit
Time
Oracle Capabilities UsedMaximum Leverage of Oracle Transportation Features
Order and
Shipment
Management
• Global design for supply chain flows, Local capabilities per geographic region, product
• Automated Shipment planning and execution
• ANAP – Any Node Any Product, Network Modeling
• Multi-Leg Multi-Mode Consolidation
Visibility and
Event
Management
• Proactive Milestone monitoring for order visibility at global, theater and lane level
• Milestone template definitions, Assignment criteria
• Automated Event management and actions
• Event Validation and Notification to user
Financials
• Payment invoice Integration
• Automation of error prone, time consuming freight payment process
• Invoice match against planned shipments
• Match Failure exception notifications
• Transportation cost allocations
Fusion
Transportation
Intelligence
• Real-time transportation dashboard for your operational and strategic planning needs
• Carrier scorecard, Rogue spend management
• Predictive analytics, KPIs to drive continuous improvement
Capabilities
Supply Chain Event Management ProcessCisco Business Process
• Near real-time status updates to customer
• Ensure Sequence of milestone is validated
• Ensure that the time based SLA between milestones are met
SLC/BTSDestination
GatewayCustomer
Wheels Up
Customs Clearance
Delivered to Customer
Shipment 1 Shipment 2
Wheels Down
36 hrs.36 hrs.
5 hrs. 4 hrs.
Sent by Carrier 1
Sent by Carrier 1 or Carrier 2
523
4Ship Confirm1
Supply Chain Event Management SolutionEnd to End Visibility
Anticipate Analyze
Receive
3B3/3B2
messages
Trigger
workflow
based on
event
Evaluate
incoming
events
Sequence
Validation followed
by time based SLA
Trigger
follow up
action
Notify and Resolve
Notify users
and partners
SLA validation
error
notification
Out-of
sequence
events
notification
Process
iteratively until
resolved
Monitor Planned and Actual Events Evaluate Conditions Notify Affected Parties
• Planned vs. actual milestone tracking
• Proactive monitoring and notifications
• Automated, event-driven processes
• Track & Trace history
Plan
order
release
Plan
order
release
Approve
Shipment
Milestone
Template
Assignment
Reduced Logistics CostImproved Operational
EfficiencyIncreased Control and
Faster Decision Making
Logistics Transformation Benefits
• Improved On time shipments. OTS
increased to close to 98%
• Flexible Lane and partner
enablement from 6 months to 3
months
• Dynamic re-routing of shipments to
avoid delays
• Improved SOX compliance
• Near real time visibility for improved
agility and response to a supply
chain disruption
• ~15~18 Million cost savings per Year
• Network and Inventory optimization
• Load consolidation
• Mode optimization
• Rate shopping
Transformation Journey
Transformation Journey
Foundational
Incremental
Enhanced
Advanced
• Outbound Shipment Planning
• Shipment Execution/Contract & Rate Management
• Business Monitor
• Route Inquiry
• Kewill & CzarliteIntegrations
• Shipping Controls
• Enablement for Emerging countries
• CTO Global Shipping
• BTS Global Shipping
• Freight Audit
• Customer/Product based Planning
• Scheduling based on Transit Pad
• Milestone Management
• OTM Upgrade
• Capacity Carrier management
• Inbound Shipment Planning and Visibility
• Global Trade Management
Implementation Guidelines
Educating Partners about
the changes in processes.
Conducting trainings
within and outside the
organization walls to bring
awareness.
Change Management
Impact on Program
planning and execution
with unplanned ‘Change
Requests’ during the
course of the release
Performance tuning and
load testing with 1.5x
times the production
volume
Post Implementation,
proactively execute
monitoring scripts for
complex business
scenarios like OTS hits
Performance
19
Upfront Engagement with
partners and regular
checkpoints to discuss the
progress.
Regressive partner
Testing of all partner
integration scenarios
Change RequestsPartner On-boarding
If you have any questions, please contact
Sree Guru [email protected]
Rachna [email protected]
TOMORROW
starts here.
Meet Infosys at Booth #204 at the Oracle Value Chain Summit 2015, San Jose
Write to us [email protected]
