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Nothing Can Stop A Runner how a leader sport goods retailer can achieve the operational excellence running the leader software in enterprise applications

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Page 1: Nothing Can Stop A Runner - LinkedIn

Nothing Can Stop A Runner

how a leader sport goods retailer can achieve the operational excellence running the leader software in enterprise applications

Page 2: Nothing Can Stop A Runner - LinkedIn

All characters and corporations or establishments appearing in this work are fictitious. Any resemblance to real persons, living or dead, or other real-life entities, past or present, is purely coincidental.

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Andrea RicciarelliRunnerSupply Chain SpecialistSAP

The Race of Logistics powered by

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Agenda powered by

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The Warm Up: Challenges and Goals

Agenda powered by

Page 7: Nothing Can Stop A Runner - LinkedIn

The Warm Up: Challenges and Goals

The Run: Operational Excellence powered by SAP

Page 8: Nothing Can Stop A Runner - LinkedIn

Agenda powered by The Race of Logistics powered by

The Warm Up: Challenges and Goals

The Run: Operational Excellence powered by SAP

The Finish Line: Key Takeaways

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AmbitionCreate excitement and make sport’s pleasure and well-being accessible to everyone

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AmbitionCreate excitement and make sport’s pleasure and well-being accessible to everyone

Strategic Vision• Enable International Growth• Accelerate Innovation • Improve Value / Cost ratio of

product range

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Ambition Strategic Vision

Operational Excellence a Key Milestone

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Ambition Strategic Vision

Operational Excellence a Key Milestone

Cost Visibility Efficiency

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Where are you today?

Page 15: Nothing Can Stop A Runner - LinkedIn

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Where are you today?

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Missing Sales Opportunities€€€

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Where are you today?

?Limited Stock in Transit

visibility

???

Store

Store

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Inefficient & Inconsistent Logistics Process

Store

Store

DC

DC

Employee

Employee

Missing Sales Opportunities€€€ Delays Affect the

Perception of Service Quality

(Manual & Error Prone)

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Where are you today?

?Limited Stock in Transit

visibility

???

Store

Store

Page 18: Nothing Can Stop A Runner - LinkedIn

?Limited Stock in Transit

visibility

???

Store

Store

Inefficient & Inconsistent Logistics Process

Store

Store

DC

DC

Employee

Employee

Missing Sales Opportunities€€€ Delays Affect the

Perception of Service Quality

(Manual & Error Prone)

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Increase Transportation Spend Under Management %

Reduce Expediting Costs

7.35%

2013

Transportation spend (as % of revenue)

2014

Where do you want to be?

Page 19: Nothing Can Stop A Runner - LinkedIn

?Limited Stock in Transit

visibility

???

Store

Store

Complete Stock in Transit visibility

Store

Store

Inefficient & Inconsistent Logistics Process

Store

Store

DC

DC

Employee

Employee

Missing Sales Opportunities€€€ Delays Affect the

Perception of Service Quality

(Manual & Error Prone)

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Increase Transportation Spend Under Management %

Reduce Expediting Costs

7.35%

2013

Transportation spend (as % of revenue)

2014

Where do you want to be?

Meeting Sales Opportunities

€€€

Page 20: Nothing Can Stop A Runner - LinkedIn

?Limited Stock in Transit

visibility

???

Store

Store

Complete Stock in Transit visibility

Store

Store

Inefficient & Inconsistent Logistics Process

Store

Store

DC

DC

Employee

Employee

Missing Sales Opportunities€€€ Delays Affect the

Perception of Service Quality

(Manual & Error Prone)

Large amounts of maverick spend

6.66%8.3%

2012 2013

Transportation spend (as % of revenue)

Low Transportation Spend Under

Management %

Integrated Logistics

Store

Store

DC

DC

Employee

Employee

Decrease Delays Serving the Perfect Order(Automated & Simplified)

Increase Transportation Spend Under Management %

Reduce Expediting Costs

7.35%

2013

Transportation spend (as % of revenue)

2014

Where do you want to be?

Meeting Sales Opportunities

€€€

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The Finish Line: Key Takeaways

The Warm Up: Challenges and Goals

The Run: Operational Excellence powered by SAP

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Lauratransportation planner

Sara warehouse shipping

clerk

warehouse worker

Rocco

truck driver Gino

warehouse worker

Rocco Laura

transportation planner

Operational Excellence powered by SAP

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Operational Excellence powered by SAPLaur

a

The StepsTransportation Planner1. Check Transportation

Requirements2. Assign Freight Units to

Freights Orders3. Assign Carrier to Cargo4. Set Cargo Ready For Loading

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0. Delivery Creation in SAP ERP

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0. Delivery Creation in SAP ERP

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1. Check Transportation Requirements

Laura

Transp.on

Planner

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2. Assign Freight Units to Freights Orders

Laura

Transp.on

Planner

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Laura

Transp.on

Planner2. Assign Freight Units to Freights Orders

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3. Assign Carrier to Cargo

Laura

Transp.on

Planner

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4. Set Cargo Ready For Loading

Laura

Transp.on

Planner

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Operational Excellence powered by SAPLaur

a

Benefit1. Optimize Transportation

Planning2. Achieve high transparency

on the execution of transportation plans

3. Remove manual error

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Operational Excellence powered by SAPLaur

a

Benefit1. Optimize Transportation

Planning2. Achieve high transparency

on the execution of transportation plans

3. Remove manual error

12% Lower Transportation Spend (% of revenue) when transportation planning is aligned with supply chain network planning

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Operational Excellence powered by SAPLaur

a

Delays Affect the Perception of Service

Quality (Manual & Error Prone)

Low Transportation Spend Under

Management %

Missing Sales Opportunities€€€

Benefit1. Optimize Transportation

Planning2. Achieve high transparency

on the execution of transportation plans

3. Remove manual error

12% Lower Transportation Spend (% of revenue) when transportation planning is alignedwith supply chain network planning

Page 34: Nothing Can Stop A Runner - LinkedIn

Operational Excellence powered by SAPLaur

a

Decrease Delays Serving the Perfect Order(Automated & Simplified)

Increase Transportation Spend Under

Management %

Benefit1. Optimize Transportation

Planning2. Achieve high transparency

on the execution of transportation plans

3. Remove manual error

12% Lower Transportation Spend (% of revenue) when transportation planning is alignedwith supply chain network planning

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Laura

Transportation Planner

Sara

Warehouse Shipping

Clerk

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The StepsWarehouse Shipping Clerk 1. Check Assigned Deliveries in

Shipping Cockpit 2. Release Wave for the

Transportation Unit3. Check Wave status on

Warehouse Monitor

Sara

Operational Excellence powered by SAP

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1. Check Assigned Deliveries in Shipping Cockpit

Sara

Wareh.se Shipping

Clerk

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2. Release Wave for the Transportation Unit

Sara

Wareh.se Shipping

Clerk

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2. Release Wave for the Transportation Unit

Sara

Wareh.se Shipping

Clerk

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3. Check Wave status on Warehouse Monitor

Sara

Wareh.se Shipping

Clerk

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3. Check Wave status on Warehouse Monitor

Sara

Wareh.se Shipping

Clerk

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3. Check Wave status on Warehouse Monitor

Sara

Wareh.se Shipping

Clerk

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Sara

Benefit1. Greater Transparency for

Stock and Processes2. Better Resource

Management

Operational Excellence powered by SAP

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Sara

Benefit1. Greater Transparency for

Stock and Processes2. Better Resource

Management

27% Lower Order Fulfillment cycle time10% Reduction in Picking Time and Cost

Operational Excellence powered by SAP

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Sara

Benefit1. Greater Transparency for

Stock and Processes2. Better Resource

Management

27% Lower Order Fulfillment cycle time10% Reduction in Picking Time and Cost

Operational Excellence powered by SAP

Delays Affect the Perception of Service

Quality (Manual & Error Prone)

Low Transportation Spend Under

Management %

Missing Sales Opportunities€€€

Page 46: Nothing Can Stop A Runner - LinkedIn

Sara

Benefit1. Greater Transparency for

Stock and Processes2. Better Resource

Management

27% Lower Order Fulfillment cycle time10% Reduction in Picking Time and Cost

Operational Excellence powered by SAP

Decrease Delays Serving the Perfect

Order(Automated &

Simplified)

Meeting Sales Opportunities€€€

Page 47: Nothing Can Stop A Runner - LinkedIn

Fork lift driver Rocco got on his mobile device the

loading tasks. Rocco scans the door ID that uniquely

identifies the truck as it is docked to the door

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The truck to pick up the shipment arrives in the

warehouse.

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Unfortunately one of the two planned pallets doesn’t fit

any more on the truck. Rocco is forced to finish

loading before having loaded all planned pallets on the

truck

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This deviation from the plan is depicted in Sara

shipping cockpit as yellow triangle that tells her that

there is a deviation.

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Transportation Management gets accurate information on transportation unit loads and

therefore is able to do precise transportation

charge calculation and performs correct invoice

verification with the truck carrier based on actual

transportation execution

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The StepsTransportation Planner1. Check Freight Order Actual

Status2. Pallet left back in the

warehouse “new to be planned”

Laur

aOperational Excellence powered by SAP

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1. Check Freight Order status2. Pallet “new to be planned”

Laura

Transp.on

Planner

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1. Check Freight Order status2. Pallet “new to be planned”

Laura

Transp.on

Planner

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1. Check Freight Order status2. Pallet “new to be planned”

Laura

Transp.on

Planner

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Laur

aOperational Excellence powered by SAP

Benefit1. Creating delivery visibility2. Real-Time updates on

Transportation Unit loads 3. Precise Transportation Charge

Calculation4. Correct Carrier Invoice Verification

based on Actual Transportation execution

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Laur

aOperational Excellence powered by SAP

Benefit1. Creating delivery visibility2. Real-Time updates on

Transportation Unit loads 3. Precise Transportation Charge

Calculation4. Correct Carrier Invoice Verification

based on Actual Transportation execution

• 20% Transportation Savings Capture• Robust Transportation Spend Control and Governance

Page 58: Nothing Can Stop A Runner - LinkedIn

Laur

aOperational Excellence powered by SAP

Delays Affect the Perception of Service

Quality (Manual & Error Prone)

Low Transportation Spend Under

Management %

Missing Sales Opportunities€€€

Benefit1. Creating delivery visibility2. Real-Time updates on

Transportation Unit loads 3. Precise Transportation Charge

Calculation4. Correct Carrier Invoice Verification

based on Actual Transportation execution

• 20% Transportation Savings Capture• Robust Transportation Spend Control and Governance

Page 59: Nothing Can Stop A Runner - LinkedIn

Benefit1. Creating delivery visibility2. Real-Time updates on

Transportation Unit loads 3. Precise Transportation Charge

Calculation4. Correct Carrier Invoice Verification

based on Actual Transportation execution

Laur

a

• 20% Transportation Savings Capture• Robust Transportation Spend Control and Governance

Operational Excellence powered by SAP

Decrease Delays Serving the Perfect

Order(Automated &

Simplified)

Increase Transportation Spend Under Management

%

Meeting Sales Opportunities€€€

Page 60: Nothing Can Stop A Runner - LinkedIn

The Finish Line: Key Takeaways

The Warm Up: Challenges and Goals

The Run: Operational Excellence powered by SAP

Page 61: Nothing Can Stop A Runner - LinkedIn

Integrated Logistics

Store

Store

DC

DC

Employee

Employee

Complete Stock in Transit visibility

Decrease Delays Serving the Perfect Order(Automated & Simplified)

Increase Transportation Spend Under

Management %

Reduce Expediting Costs

7.35%

2013

Transportation spend (as % of revenue)

2014

Where do you want to be?

Meeting Sales Opportunities

€€€

Page 62: Nothing Can Stop A Runner - LinkedIn

Integrated Logistics

Store

Store

DC

DC

Employee

Employee

Complete Stock in Transit visibility

Decrease Delays Serving the Perfect Order(Automated & Simplified)

Increase Transportation Spend Under

Management %

Reduce Expediting Costs

7.35%

2013

Transportation spend (as % of revenue)

2014

Operational Excellence powered by SAP

Meeting Sales Opportunities

€€€

Page 63: Nothing Can Stop A Runner - LinkedIn

Nothing Can Stop A Runner powered by

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