”Smart SCM” is drawing attention lately by enabling quick, highly productive demand and supply planning decisions through profit simulation, enabling flexible responses to drastic business environment changes. ABeam Consulting supports BPR and IT system implementation to achieve Smart SCM, and has proprietary templates for SAP Integrated Business Planning (SAP-IBP) based on abundant consulting experience.
We often hear the following about SCM reform amid drastic business environment changes, such as a sharp rise in materials costs due to climate or exchange rate fluctuation and value chain complexity due to globalization of supply locations.
As noted above, it is tough to respond to drastic business environment changes with existing SCM models based on individual high-efficiency. It is now becoming vital to focus on SCM profitability, integrating SCM department efforts with those of other departments involved in the business plan, and with high‒efficiency operations in line with management strategy.
Creating multiple SCM business scenarios by management review and comparing the profit forecasts for each scenario is crucial for a SCM department in integrating its plans. Management and operation can in this way be connected consistently, and the profit forecast can be visualized with high accuracy. Also, understanding the profit forecast enables each department to adjust demand and supply planning autonomously in line with the business plan, and the productivity of SCM can be improved as a result. This high-productivity planning and quick decision making for flexible responses to drastic change and enormous uncertainty represent the aim of Smart SCM reform, and IBP supports it powerfully.
For IBP implementation, ABeam applies SAP-IBP provided by SAP, adopting the optimal template reflecting our wealth of demand and supply planning reform consulting experience. This enables us to cut the initial investment cost and time compared with conventional IT implementation. Also, ABeam powerfully supports Smart SCM reform including SCM operations by combining the implemented IBP system and the SCM enterprise system provided by ABeam Cloud®.
Utilizing a high-quality IBP template enables us to start the new planning process in a shorter time frame than with the conventional system implementation approach. Also, ABeam applies our abundant business transformation consulting experience to involve management and each department in companywide reform.
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