Blue Yonder Case Studies Powering Success

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	Powering Success Blue Yonder

Powering Success

Blue Yonder

Technology Category	Functional Applications - Enterprise Resource Planning Systems (ERP)
Applicable Industries	Electronics
Applicable Functions	Logistics & Transportation Procurement
Use Cases	Demand Planning & Forecasting Supply Chain Visibility
Services	System Integration
Challenge	Doosan Electro-Materials, a Korea-based company specializing in the production of high-quality copper clad laminate (CCL) and flexible copper clad laminate (FCCL), faced significant challenges with its inventory management. The company's large stocks of inventory were inhibiting cash flow, hurting profitability, and creating complex supply chain issues. The fast pace of innovation in the electronics industry, where Doosan operates, leads to rapid component obsolescence, making high inventory levels particularly risky. In 2007, Doosan's management team decided to initiate significant changes to optimize its supply chain processes and implement new demand management and product planning strategies. The company's inventory problems were exacerbated by difficulties with its demand forecasting systems, which could only make a demand plan for the next four weeks. Read More
About Customer	Doosan Electro-Materials is a Korea-based company that focuses on the production of high-quality copper clad laminate (CCL) and flexible copper clad laminate (FCCL), which are used in the production of printed circuit boards for mobile phones, televisions, and refrigerators. It is one of only a few manufacturers in the world that can provide a full range of CCLs, from simple single-sided CCL to high-performance CCL for packaging substrate. Because of this diversity, Doosan has a complex supply chain. In 2007, the company realized that it had too much inventory, which was adversely affecting its cash flow and the availability of working capital. Read More
Solution	Doosan carried out a full evaluation of a number of different supply chain management solutions. The manufacturer evaluated technology providers that had strong experience in solving complex supply chain challenges and employed industry best practices that would help Doosan to completely transform its processes and systems. Doosan selected JDA Supply Chain Planner to model its entire supply chain and optimize inventories, production, distribution, and transportation. Doosan also implemented JDA Sales & Operations Planning (S&OP), an advanced demand management solution that enables tight integration between plan and execution and extends traditional demand-supply matching to include reconciliation with financials. The implementation of capabilities from JDA’s Manufacturing Planning solution prompted Doosan to carry out an internal reorganization and introduce new processes for demand management and production planning. Read More Log in to view content
Contents

Technology Category

Functional Applications - Enterprise Resource Planning Systems (ERP)

Applicable Industries

Electronics

Applicable Functions

Logistics & Transportation

Procurement

Use Cases

Demand Planning & Forecasting

Supply Chain Visibility

Services

System Integration

Challenge

Doosan Electro-Materials, a Korea-based company specializing in the production of high-quality copper clad laminate (CCL) and flexible copper clad laminate (FCCL), faced significant challenges with its inventory management. The company's large stocks of inventory were inhibiting cash flow, hurting profitability, and creating complex supply chain issues. The fast pace of innovation in the electronics industry, where Doosan operates, leads to rapid component obsolescence, making high inventory levels particularly risky. In 2007, Doosan's management team decided to initiate significant changes to optimize its supply chain processes and implement new demand management and product planning strategies. The company's inventory problems were exacerbated by difficulties with its demand forecasting systems, which could only make a demand plan for the next four weeks.

About Customer

Doosan Electro-Materials is a Korea-based company that focuses on the production of high-quality copper clad laminate (CCL) and flexible copper clad laminate (FCCL), which are used in the production of printed circuit boards for mobile phones, televisions, and refrigerators. It is one of only a few manufacturers in the world that can provide a full range of CCLs, from simple single-sided CCL to high-performance CCL for packaging substrate. Because of this diversity, Doosan has a complex supply chain. In 2007, the company realized that it had too much inventory, which was adversely affecting its cash flow and the availability of working capital.

Solution

Doosan carried out a full evaluation of a number of different supply chain management solutions. The manufacturer evaluated technology providers that had strong experience in solving complex supply chain challenges and employed industry best practices that would help Doosan to completely transform its processes and systems. Doosan selected JDA Supply Chain Planner to model its entire supply chain and optimize inventories, production, distribution, and transportation. Doosan also implemented JDA Sales & Operations Planning (S&OP), an advanced demand management solution that enables tight integration between plan and execution and extends traditional demand-supply matching to include reconciliation with financials. The implementation of capabilities from JDA’s Manufacturing Planning solution prompted Doosan to carry out an internal reorganization and introduce new processes for demand management and production planning.

Impact #1	Reduced raw material inventory by 58 percent
Impact #2	Reduced global inventory by 40 percent
Impact #3	Decreased factory inventory by 65 percent

Impact #1

Reduced raw material inventory by 58 percent

Impact #2

Reduced global inventory by 40 percent

Impact #3

Decreased factory inventory by 65 percent

Benefit #1	Achieved a savings of $20 million
Benefit #2	Improved forecasting accuracy
Benefit #3	Increased on-time delivery rates

Benefit #1

Achieved a savings of $20 million

Benefit #2

Improved forecasting accuracy

Benefit #3

Increased on-time delivery rates

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Overview

Powering Success

Operational Impact

Quantitative Benefit