Supply chain planning is by its nature a difficult exercise, and it becomes even more challenging if you have to take into account profitability. Costs need to be kept down, working capital needs to be optimized, and operational incidents need to be avoided, otherwise your EBITDA will go down fast.
Every supply chain decision inevitably impacts your revenue and margin. Postponing or accelerating a product launch? Shutting down a production line? Opening a new distribution center? Rerouting the production of a high runner? Increasing a plant’s capacity? Lowering product inventory levels? You’ll want to know the immediate financial impact of each of these decisions, as well as the long-term side effects.
That’s where OMP comes in. The solution balances difficult trade-offs by design, allowing all supply chain planners to work in unison for a smoother operation with no unpleasant surprises ruining your financial targets. Inventory levels are managed to reduce working capital without compromising efficiency and service. Utilization of valuable assets is maximized. Bottlenecks and conflicts are taken care of.
Financial reporting is available throughout. OMP also allows you to simulate different scenarios and evaluate the results in financial terms, based on the cost and margin information you provide. This is a great support when it comes to making difficult decisions for both the short and the long term.
And every OMP project comes with a mutually agreed value plan. Financial value targets are tracked and measured over time, giving insight into all the benefits gained. Solid!
What drives satisfaction with supply chain planning software? And what are the key requirements for solution providers? Discover the revealing results from an independent survey by Supply Chain Insights.Download results
What are the expected financial benefits of using supply chain planning software? Learn about the potential gains to be made with OMP.Download results
The OMP Solution instantly visualizes the financial impact of any change and takes into account all complexities with its constraints and industry-specific rules. Abhi Patel breaks it down for you.
“Companies think about digitization in the supply chain mainly in terms of how it can reduce their costs and how it can improve the utilization of their assets and equipment. Digitization is also a tool to increase effectiveness, not just efficiency. That is what many companies seem to ignore.”
Ann Vereecke, Professor of Operations and Supply Chain Management at Vlerick Business School
How does OMP keep track of the value it promises to deliver to customers? First, you need to understand what the target improvements are and then identify the value drivers that are going to be impacted. So that when the project is completed, you can quantify your overall impact. David Joiner explains more about OMP's value management program.
Stéphane Roux, Chief Information Officer at Eramet
Gérard Serre, Logistics Manager at Yoplait
Rainer Fretzen, Head of Performance Intermediates at Evonik
Heidi Behiels, Group Planning Manager at Betafence
Ghislain Ysebaert, Vice President M.I.S. & Marc Mortaignie, M.I.S. Project Manager at Samsonite