Vendor-Managed Inventory

GPA - GMA

Gestion Partagée et Gestion Mutualisée des Approvisionnements

Sharifah Norazehan SYED YASINGEB master 2011

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Summary1. Introduction2. GPA

A. Definition and conceptB. Process step-by-stepC. Co-Managed Inventory

3. GMAA. Definition and conceptB. Process step-by-stepC. Multipick and Multidrop

4. Key points in implementation5. Softwares6. Study Case

A. STMicroelectronicsB. Cadbury/Sara Lee

7. ConclusionGPA-GMA

SYED YASIN – GEB 2011

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Introduction

•Procurement management :▫Number of orders▫Number of suppliers▫Accuracy of forecasting▫Cost

Introduction

GPA

Definition and concept

Process Step-by-Step

Co-Managed Inventory

GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

GPA-GMASYED YASIN – GEB

2011

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GPA : Definition and Concept

Client accepts to delegate parts of its procurement activity and warehouse

management to the supplier

Introduction

GPA




GMA



Key points

Software

Study case

STMicroelectronics

Guinness GB

Discussion

Installation

TrainingTest

Go Live


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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GPA : Process step by stepIntroduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion


2011

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GPA : Co-Managed Inventory

•another option of GPA

•involves a more actively collaboration between a supplier and its client client can modify order proposals

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion


2011

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GMA : Definition and Concept

•Opportunities for several different suppliers to combine their logistic and supply chain structures

•Based on GPA

•Multipick/Multidrop

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion


2011

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GMA : Process Step-by-StepIntroduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion


2011

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GMA : Multipick/MultidropIntroduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

Multidrop : Delivery from a single point of departure, the supplier to a group of clients

Multipick : Responsibility is given to a group of suppliers to manage customer's inventories


2011

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Key points in implementation

Communication Precision

Reliability Test

Process Time and money


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Softwares


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Study Case

•GPA : STMicroelectronics

•GMA : Cadbury/Sara Lee


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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STMicroelectronics

•Fifth largest semiconductors producers

•Large products portfolio

•Clients : DELL, Nokia, Samsung

•Application : consumer electronics, telecommunications, smart cards and automobiles


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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•4 weeks for the customer to plan their demand

•4 weeks for the supplier to build the orderTotal : 8 weeks

•requirements may change over the eight weeks

•diversified customer : each product co-designed with the customer.

STMicroelectronics


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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•Problems: ▫Manual process to match

demand and production capacities

▫Process : time-consuming and sometimes inaccurate, inefficiencies in system

▫Late response to clients


2011

STMicroelectronicsIntroduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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STMicroelectronics


2011

Result : Increased accuracy of 50%

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Cadbury/Sara Lee

•Improve cash and cost management

•Product in the same sector and same transport requirements

•Use multipick solution


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Cadbury/Sara Lee

•A warehouse in Neuville-aux-Bois ▫27 000m² for Cadbury▫9000m² for Sara Lee

•Storage, order preparation and loading

•Improvement of stock decrease of 19% and in the quality of services


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Conclusion

• Advantages▫ Optimization of

forecasting and replenishment

▫ Improvement of service rate

▫ Continuous and smoother inventory flow

• Limits▫ Cost and budget▫ Time consuming▫ Changes in

organistaion

New concepts are created in SC▫ CPFR▫ Lean and Agile

SC

Set goals and vision

Measure performance

Evolve and grow


2011

Introduction

GPA




GMA



Multipick/Multidrop

Key points

Software

Study case

STMicroelectronics

Cadbury/Sara Lee

Conclusion

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Thank you for your attention!

Questions?

Sharifah Norazehan SYED YASINGEB master 2011

Vendor-Managed Inventory

Business

Transcript of Vendor-Managed Inventory