Lead times for suppliers are getting longer, from weeks to months. Customer order delivery expectations are getting shorter, from weeks to days. Sound familiar? The gap between supplier lead times and customer delivery expectations continues to widen for many companies. Your company may be experiencing this today, which is likely putting stress on your planning systems and planning teams.
IBM was no stranger to this situation. To address this, the company looked to its planning systems. With most of its tools being 20 to 30+ years old and with less of its workforce being skilled users of those tools, it was time for a change. IBM needed a system that could provide real-time data and what-if analysis on both the demand and supply side. It needed this system to support the tactical side of its S&OP process while giving teams the ability to plan strategically for the long-term. IBM found a solution to its problem with the help of Kinaxis.
Digital transformation increases supply chain agility at IBM
Kinaxis RapidResponse provides IBM with the transparency needed to see how a change in demand affects supply and vice versa, all while having the ability to take in the most current data and run multiple scenarios at a time. “With RapidResponse, everything is integrated so the supply planners can see what the demand planners are doing as they’re putting together the plan,” says Debby Carelli, IT Technical Product Owner, CIO Services at IBM. She goes on to emphasize the value of the what-if scenarios, stating that “This has been very useful during COVID-19 because we have had many demand and supply changes during this time.”
With the help of Kinaxis, IBM continues to see value and make step changes toward a more agile supply chain. Watch our webinar to learn more about IBM’s recent success post-deployment and hear how it is making strides toward improving upon that success in the future.
- S&OP frequently asked questions