The challenges in successfully managing a global manufacturing organization are numerous, none more important than optimizing the procurement function to improve operational efficiency and increase financial performance. Especially when a company spends more than $2 billion annually to buy and distribute necessities to its plants worldwide.
In an environment where procurement professionals were required to manage thousands of suppliers and tens of thousands of products, complexity reigned. Buyers and senior managers knew they could improve their results, but they faced a basic problem – challenges with their data.
Multiple systems create complexity
|Industry||Automotive and Manufacturing|
|Solutions||Business Intelligence and
Enterprise Data Warehouse
The company’s former infrastructures provided a solid tool, but obtaining and crossing data from the many frameworks was complicated.
There was plenty of historical reporting available – for example, spend by product and by location, but it was static, and prevented detailed analysis of trends. And source data – details about suppliers and products – was stored in multiple enterprise resource planning systems across the globe. In many cases, this data was duplicated, requiring procurement analysts to spend days in Excel massaging data to create a harmonized view.
Creating unity across diverse frameworks
With the help of BlueGranite, the organization decided to tackle these trials head on. In a series of working sessions, a cross-functional team of business and IT met to hash out requirements, analyze business and technical issues in detail, and develop a shared vision for a new and improved solution.
Over the next weeks and months, the team made steady progress in creating a new, purpose-built procurement data repository. It required painstaking effort to eliminate duplicate supplier detail, but it also stimulated higher-level business management needs, which led the team to implement a new classification system to ensure data would remain clean into the future.
At its core, the manufacturer's new solution provides a clean, accurate, and flexible view of procurement data. It includes a utility to allow business users to manage the classification system in reaction to changing business needs, with a solid technical architecture that satisfied the IT organization. But even better, it opened up new types of analysis which led to new insights about spending patterns. A central analytics portal provided a variety of dashboard-style views – top 10 items by spend, buyer, and product line, bottom 10 suppliers by on-time % and defects, and more.
This one-stop shop for procurement and spend analysis means there is no more confusion over who has current, accurate data.
Let us help you identify and solve issues with a custom data analytics solutions that meets your needs. Please contact us today - we'd love to work with you!