Over the past few years, leading cosmetics company Coty has been reevaluating its planning process at its Ashford plant in South-East England to bring it in line with value stream optimization principles and assure compliance with the company’s SAP ERP platform. OMP helped to redesign the process and put in place a comprehensive planning and scheduling solution with seamless SAP data exchange processes. The solution significantly increased Coty’s capability to efficiently manage assets.
Coty produces no fewer than 7,000 cosmetic products at four factories globally. The almost 15,000 SKUs involve more than 6,000 different components, subassemblies, bulk products and raw materials. At Ashford, Coty took the opportunity of a recent ERP rollout to reevaluate its planning process. “This was a must-have improvement to our ERP solution,” says Akil R. Lile, Director of Planning at Coty. “We recognized we needed breakthrough planning capability, and OMP delivered that.”
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Various planning systems and solutions were evaluated and compared before they chose OMP as strategic partner to take the planning process to a higher level of maturity. “We had good reasons for this,” explains Adam Dunworth, Planning Manager at Coty. “As a planning solution, OMP clearly outperforms other systems, just based on its ability to transform planners into decision makers. OMP also provided tailored services to help us redesign our planning processes. They have in-house expertise in how the consumer goods industry works and the challenges we face with our fast-moving product lines, the disruptive impact of promotions, and the interdependence of bulk and finished goods manufacturing.
OMP implementation dramatically improved Coty Cosmetics operational planning and detailed scheduling. Akil Lile: “The new solution allows us to run our scheduling every day, with capacity planning integrated, and this speeds up how we respond to demand changes. It also gives us a clear view on bulk item and critical component availability, and automatically alerts us if there are issues or conflicts. We can even optimize the usage of older components."
"The solution also fully integrates with packaging line scheduling, which we now run just in time without the need for large stocks of bulk product. And the intelligent scheduling automatically minimizes setup times and means we can plan campaigns by shade, by format, or by product family. All this allows us to reduce inventory levels, shorten lead times and avoid waste.”
Akil R. Lile, Director of Planning at Coty
Superior planning performance then, but what about integration with the SAP ERP platform? Xavier Rodriguez, responsible on the IT planning system, says: “SAP integration was indeed crucial, because it was decided at corporate level to keep most of the master data in SAP ERP. And OMP has a certified SAP connector, allowing seamless data flows in both directions.”
“Transactional data such as stock levels, sales and purchase orders, purchase requisitions, deliveries, and returns are all continuously interfaced from SAP. OMP plans and schedules are uploaded to SAP on demand. This makes for very efficient communication between the planning, manufacturing and purchasing teams.”
The planning project led to significant performance improvements at Coty Ashford. For example, customer service improved by more than 5%, supply chain costs and waste levels dropped more than 10%, and capacity utilization is more stable and more predictable.
“And don’t forget planner efficiency. With all the built-in intelligence, the solution allows our planners to focus on what really matters, and that is adding value. Mission accomplished,” concludes Akil Lile.
Adam Dunworth, Planning Manager at Coty
OMP helps companies facing complex planning challenges to excel, grow and thrive by offering the best digitized supply chain planning solution on the market.
Its Unison PlanningTM concept has a unique approach. It handles all supply chain planning challenges in a unified way, synchronizing all planning stages, horizons, functions and roles. From source to deliver. From strategic to operational planning. From leadership teams to schedulers.
Hundreds of customers run OMP’s cloud-based solution to generate more value by making informed decisions. Valued as a thought leader by experts as Gartner, OMP invests one out of every three dollars earned into innovation.