Common issues on the supply side include; lack of adequate visibility
across the supply chain, limited capability to plan and control each
tier, of the supply chain, a function necessary to be responsive in
the marketplace. Excessive expediting efforts, missed volume discounts
due to lack of vendor tracking, stock-outs and idle times due to missed
vendor deliveries, inventory build up for critical items to meet requirements,
excess inventory costs and others.
StarActive's supply side capability includes; supply planning,
collaborative procurement, supply aggregation, supply chain inventory
visibility, purchase order tracking, collaborative supply planning
and supplier coordination, cash outflow optimisation, purchase order
track and trace. Orion Logic's innovation is to link each customer
order to the actual capability and process of each participant in
the network allowing true collaboration and greater responsiveness
to customer's needs, thus leading to increased sales.
How does this impact the bottom line? Reduction in the total costs
of direct materials and MRO goods. Optimised cash outflows for supply
related processes, achieved by sharing purchasing requirements.
Inventory levels and production plans with suppliers in real time,
plus accurate planning and control of deliveries, catering for the
individual relationships with different vendors.