In the past, a company's purchasing and procurement department had the simple task of buying what the company needed, while spending as little as possible. Today, the function is typically called supply management and it faces a more complex set of of challenges. The challenge arises from the requirement to ensure an uninterrupted flow of goods and services (often on a Just-In-Time basis), to help improve product quality, to reduce cycle time or time to market, and to increase the rate of innovation. Today, supply management is critical to business success, and its key metric is not only cost savings, but also increased shareholder value.
Therefore, Régens offers a Business Integration Platform for seamless integration along the supply chain. The main benefits of the solutions are: flexibility to OEMs and first level suppliers on changing market demands, quick response ability, achieving competitive prices and other competitive advantages for enterprises in the network.
In cooperation with Régens' Italian partner, Joinet Srl, you can try our solution for free in a multilingual demo-environment.
Business model
Based on the ASP (Application Services Providing) model, Régens and Joinet provide the possibility to adapt services into a complete network instead of installing hundrends of peer-to-peer relations to the network members. ASP is a flexible business modell, which contains several advantages for company networks, where the size and financing possibilities of the members differ. Therefore, ASP is an ideal model for company networks consisting of SMEs.
With ASP, there is no need to invest into the hardware infrasctruture, all you need is broadband internet access. This model can ensure the access to a professional software environment based on cutting edge technology with continuous background development. This reduces costs of IT development and maintanance. The overall ROI of this solution, based on industry experience, is lower than 12 months.
Functionality
MaNeM is an integration/communication platform that connects a company (main contractor) to its own strategic suppliers.
MaNeM allows companies to exchange information with their suppliers either by using a commercial browser or by providing, in addition, connectors between the platform and the company's internal information system.
- Purchase/Production Order to Suppliers
- Invoice from Suppliers
- Delivery Note (DN) Notification from Suppliers
- Service Entry Sheet
- Non-Conformity Management (Quality Assurance)
Implementation
Prior to implementing MaNeM, Régens offers professional consultancy services to provide careful planning and preparation under a systematic approach. Régens uses professional methods for Enterprise Business Process modelling. The solution is based on SCOR (Supply Chain Reference Model), which is a widely accepted reference model for supply chain execution.
In cooperation with its international business partners, Régens offers
- Free demo and presentation of the solution;
- Presentation and figures of ROI calculation based on previous project results;
- A set of KPIs (Key Performance Indicator) for evaluating supplier performance;
- Business Process modelling focusing on inter-enterprise processes;
- Optimization advice on using documents and data content;
- Managing the project in the pilot phase and in the roll-out phase.
Project Phases
The pilot project phase shall focus on the preparation for installing MaNeM. It requires an active communication between Régens and the client, involving 2-3 strategic suppliers. The main output of the pilot project phase is to test and evaluate the efficiency of work with MaNeM and to fine-tune the processes based on feedback.
In the roll-out phase the application will be extend to the whole network. This phase is focusing on training the suppliers, definition of KPIs, and metrics, and customization of interfaces if necessary.
Benefits and Advantages
- Advanced order-entry and order-tracking
All orders can be tracked and the current status is visible at all times. Both order modification and those responsible for the modification can be tracked. The user can specifically search per order-line, which will show them the changes in status and data for the entire order lifecycle.
- Significantly increased order accuracy
Typical error rates in manual processing of orders make procedures inefficient and costly. Orders processed manually often lead to product returns. Using MaNeM can reduce the product return rate by 20-40 percentage points.
- Cost saving potentials
By using MaNeM, manufacturers and intergated suppliers can eliminate or reduce the costs associated with traditional order entry and inquiry processes. The cost reduction arises from lowering direct costs of human resources in the administration, communication costs (telephone, fax) and also indirect costs related to mistakes, damages from erroneous data recordings, conciliations in order to avoid problems and arguments, filtering out supplier's non-conformities and reconciliations of agreements, reducing stock holding costs, etc.
- Improvement of the communication quality along the supply chain
MaNeM ensures a higher level of transparency and visibility in inter-enterprise communication. The solution allows both tracing and speeding up communications, and ensures a constant customer-supplier interaction during the entire lifecycle of the orders. Flexible electronic data exchange dramatically reduces the number of errors, thus resulting in a significant stock reduction.
- Clear measurement of the service level KPI definition and measurable metrics
Based on previous project experience MaNeM can provide more than 20 performance indicators, for measuring the supplier's reliability, traceability, responsiveness, flexibility.