For Blue Diamond, bringing together demand and supply planning with real-time logistics visibility led to benefits bigger than any one solution could have provided.
Here Comes Major Hurricane Nigel Yet Another Atlantic System Poised For Rapid Intensification Forecasters SaySteve Birgfeld, the vice president of information technology & services at Blue Diamond, said that during COVID “the Port of Oakland became a real point of congestion. Where it used to take two to five weeks to get your container booked was now taking up to three months.”
Blue Diamond had the usual master data and change management challenges with implementing SCP. Nor has the project really ended, they continue to optimize the solution to improve the planning. The company is now in the process of incorporating demand sensing. Demand sensing improves forecasting by incorporating short-term demand signals like point of sale data.
In addition to increased agility, the use of SAP IBP enabled Blue Diamond to reduce inventory by 20%, improve on time in full shipments to customers, and reduce transportation costs by over a million dollars because of a better understanding of what the facility-to-facility shipments needed to be.“The TM/LBN solution was always on our roadmap,” Mr. Birgfeld continued.
But not only is it possible to get better ETAs, it is much easier to access this data. Blue Diamond used to have a team of people that would go onto every carrier’s website a few times a day to gather ETA information. “That whole process got eliminated by this LBN implementation.”
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