Demand and Supply ManagementDemand and Supply Management

Planning out the processes

Vas Dem MPS - 2 © The Delos Partnership 2004

The Delos ModelThe Delos ModelFor Business Integration For Business Integration

InnovationInnovation

VisionVision

StrategyStrategy

PrioritisationPrioritisation

DemandDemand

SupportSupport

SupplySupply

Vas Dem MPS - 3 © The Delos Partnership 2004

Integrated Enterprise Integrated Enterprise PlanningPlanning

AACCTTIIOONN

AACCTTIIOONN

Week 1 Week 2 Week 3 Week 4

InnovationReview

InnovationReview

CustomerDemandReview

CustomerDemandReview

SupplyPlan

Review

SupplyPlan

Review

PriorityReview

PriorityReview

STAGE 1STAGE 1

STAGE 2STAGE 2

SeniorTeam

Review

SeniorTeam

Review

STAGE 5STAGE 5

STAGE 7STAGE 7

STAGE 4STAGE 4STAGE 3STAGE 3

SupportSupport

STAGE 6STAGE 6

ForecastingAnd CustomerServices

Master SchedulingAnd Supplier Management

Vas Dem MPS - 4 © The Delos Partnership 2004

ProcessesProcesses

Demand Planning – Forecast to Get order

Customer Service – Order to Get Cash

Master Scheduling and Supplier Management – Make Plan and Produce/Procure

Vas Dem MPS - 5 © The Delos Partnership 2004

FormatFormat

Responsibility : Who will carry out this role ?Procedure : What will they do ?

Data: What information will they get, and what information will they output ?Frequency:How often will they do it : ? [daily/weekly/monthly]

Policy: What policies govern this process : ?Software : What software modules will be used ?Measures: What are the performance measures that

will be used to monitor this process ?Links: What other functions are involved ?

Vas Dem MPS - 6 © The Delos Partnership 2004

ProcessProcess

Responsibility Describe who will carry out the roles covered by the process

Procedure How will they carry out the process? What if they come across problems ?

Policy What policies will be govern their actions in this process, and what will be the policy that applies

Software What software modules from MFG Pro will be used, and what other software will be required ?

Measures What measures will be in place and how frequently will they be reported ?

Links What are the links to other functions

Vas Dem MPS - 7 © The Delos Partnership 2004

Demand PlanningDemand Planning

Responsibility The Demand Manager will be responsible for gathering the demand for all items. This will include Service spares demand, Bottles, machines, training requirements. The responsibility for the quality of the forecasts rests with the department that supplies the forecast.

Procedure The forecast will be collated once a month from each of the areas – Clinical, Service, Sales and Marketing. It will be provided to the Demand Manager on a spreadsheet which will show the forecast in the following units, and spread out over a 24 month horizon. It will be updated weekly in the event demand changes significantly.

Policy The Forecast will be provided monthly by the first working day of the month. It will be in detail form for each area for 24 months. Thus for bottles is will be by SKU by country and by treatment centre.

Measures The key measure will be the accuracy of he forecast, which will be measured as the accuracy of the forecast at the cumulative lead time:

Forecast-Actual/Forecast x 100 % for each product family

Software The MFG Pro Forecasting module will be used to drive the ERP system, but Excel spreadsheets will be used to collate the data by customer and by product for aggregation and upload.

Links Clinical will provide a forecast for trial quantities of machines and bottles. Service will provide a forecast of spares items. …….

Vas Dem MPS - 8 © The Delos Partnership 2004

Customer Relationship Customer Relationship ManagementManagement

Strategy

Customer relationshipManager

Sales and Marketing

SystemForecast

Plan

ManufacturingAnd Purchasing

ERPSystem

Consensus ForecastConsensus Forecast