Intelligent FulfillmentHolistically and iteratively solve inventory planning, replenishment and order fulfillment challenges with an integrated set of cloud-based supply chain planning and execution solutions.

Leading manufacturers and retailers have come to understand that optimized supply chains are a strategic weapon in driving top-line and bottom- line growth. In fact, a global supply chain survey by PricewaterhouseCoopers in 2013 indicated that companies that run an optimized supply chain achieve 70 percent higher performance and operations effectiveness.

What is holding many companies back from achieving similar advantage? The problem for many companies is that demand and replenishment processes aren’t aware of the real-world execution constraints that can prevent even the best plans from being successfully executed. For example, there isn’t enough labor available at the distribution center to unload the inbound shipment of additional inventory for a planned promotion, resulting in costly unplanned overtime. Or core carriers do not have enough capacity to handle shipment of a large order for a key customer, resulting in expediting charges or the use of more expensive non-core carriers. Supply chain professionals can easily relate many more similar examples where disruptions occur to even the most optimized plan.

Still, the problems go deeper. Many times the planning process does not have visibility into upstream and downstream order and inventory information, and therefore, is unable to quickly and accurately replan when unexpected events or disruptions occur, leaving plans both out-of- date and un-executable. This leads to over-stocks, out-of-stocks, and dissatisfied customers in today’s fast-paced business environment.

What is needed is an execution constraint-aware planning system that creates plans that can actually be executed, and with visibility into network-wide inventory to enable agile replanning when exceptions or disruptions occur during the execution cycle. That solution is the JDA® Intelligent Fulfillment suite.

JDA Intelligent Fulfillment Suite JDA’s Intelligent Fulfillment suite offers an integrated set of cloud-based best-of-breed supply chain planning and execution solutions that holistically and iteratively solve inventory planning, replenishment and order fulfillment

challenges. This enables intelligent and profitable distribution decision making that reduces inventory levels and costs, improves customer service through superior product availability and faster throughput, and creates more agile, profitable and responsive operations.

Enabling Intelligent and Profitable Distribution Decision Making

Overcoming Distribution ChallengesWith the exponential growth of omni-channel retail, one of the large challenges facing both retail and manufacturing supply chains is an inability to make intelligent and profitable distribution (fulfillment) decisions regarding labor, inventory, capacity and processes based on an accurate view of demand and real-world, real-time execution constraints. Demand and replenishment plans that lack visibility into network inventory and execution constraints, and which lack the ability into agilely respond to events, cause companies to be fatally sluggish and bloated at a time when markets are more volatile than ever. JDA Intelligent Fulfillment tackles these challenges head-on to give companies a competitive advantage.

BENEFITS OF JDA INTELLIGENT FULFILLMENT

• Make intelligent and profitable distribution decisions based on real-time visibility into inventory, orders and events

• Create demand and replenishment plans based on real-world execution constraints

• Agilely react to events and disruptions with iterative planning and execution

• Reduce inventory, labor and transportation costs while improving on-time, in-full customer deliveries, creating profitable operations and competitive advantage

• Leverage cloud deployment for optimal agility, visibility, consistency and return on investment

A SINGLE, HOLISTIC VIEW OF DEMANDDetermining optimal inventory distribution and order fulfillment decisions starts with creating a single, enterprise-wide, demand-shaping forecast based on point-of-sale (POS) data augmented with price, promotion and event information. This holistic view of demand is combined with real-time knowledge of execution constraints in warehouses and transportation networks to schedule the right number of associates with the right skills to fulfill orders, secure appropriate levels of transportation capacity to match expected shipments, and create time-phased replenishment plans for inventory, labor and transportation that can be realistically executed.

In addition to ensuring execution of developed plans, a longer-term forecast enables strategic, proactive

planning within warehouses and distribution centers for inventory

levels and slotting. Visibility into long-term demand

trends, inventory movements and

workflow patterns enables a higher,

data-focused level of strategic

planning that helps companies make more

informed and relevant decisions on long-range business strategies. This can

turn short-term cost and service differentiators

into long-term competitive

advantage. And the business and

supply network can operate as

one coordinated entity instead of

disconnected silos.

ENTERPRISE-WIDE VISIBILITYWhile a single, execution-aware replenishment plan enables the organization to act as one entity, it is not monolithic or static. Inventory is in motion throughout the network, and each order has unique cost-to-serve opportunities. JDA’s order orchestration capabilities serve as the hub of network-wide visibility into inventory and orders and combine with profitable order promising logic to ensure orders from all

channels are fulfilled from the most profitable locations that match customer delivery windows and corporate strategies. The combination of enterprise-wide visibility, order orchestration and profitable promising enables real-time, customer-centric order fulfillment decisions to be made that optimize the tradeoffs between costs, service, strategy and profitability in a dynamic environment.

ITERATIVE PLANNING AND EXECUTIONThe famous saying by General George Patton, “No plan ever survives the battlefield,” can be quite applicable within the supply chain as well. Inventory gets damaged during picking, a rush order is dropped late in the day, a carrier fails to arrive on time, customers change their minds — forcing managers to ignore or make ad-hoc manual adjustments to plans. JDA’s Intelligent Fulfillment suite’s ability to quickly replan helps to drive optimal decisions in this fast-changing environment.

The enterprise-wide visibility provided by the Intelligent Fulfillment suite detects changes and disruptions as they occur across the supply chain, informing the planning and replenishment processes to immediately replan based on the new set of execution constraints. Order orchestration capabilities re-optimize fulfillment plans for profitability and service. Transportation and warehouse processes interact to replan pick waves, shipments, loads and routes. It all happens immediately and interactively to produce the best solution at that time, and then reacts again when the next event occurs, ensuring that you deliver to your customers’ expectations.

The Execution-Aware Suite AdvantageTo illustrate the advantage that execution-aware planning can offer, consider the following hypothetical situation. A high-tech electronics manufacturer plans to release the next blockbuster gaming station at midnight on November 15th, just in time for the holiday season. It creates a national promotion campaign and ramps-up production with four million units pushed to its four main DCs. The plan is to send the units to the DCs, with half of the units immediately cross-docked to local fleets for store delivery before the release date.

Here is where it all goes wrong. When it is time to execute this strategy, it is quickly discovered that the core carriers do not have the capacity to transport the large volume of units to the DCs, so more expensive non-core carriers have to be contracted from spot markets. When the shipments arrive at the DCs, there is not enough labor to unload or for cross-docking, causing delays and added cost

Copyright © 2014, JDA Software Group, Inc. All rights reserved. JDA is a Registered Trademark of JDA Software Group, Inc. All other company and product names may be Trademarks, Registered Trademarks or Service Marks of the companies with which they are associated. JDA reserves the right at any time and without notice to change these materials or any of the functions, features or specifications of any of the software described herein. JDA shall have no warranty obligation with respect to these materials or the software described herein, except as approved in JDA’s Software License Agreement with an authorized licensee. 10.28.14

Americas

US+1.800.479.7382Canada & Latin America+1.480.308.3555

Europe

UK & Northern Europe+44 (0) 1344.354500France & Southern Europe+33 (0) 1.56.79.27.00

Asia Pacific

Singapore+65.6305.4350Australia+61.3.9860.1000

Japan+81.3.4461.1000China+86.21.2327.9400

South Korea+82.2.3016.0700India+91.22.6700.0794

jda.com info@jda.com

for overtime. Nor is there enough space allocated in the DC to store the large volume of units that are not being cross-docked, necessitating expensive additional storage space and extra handling. Similar problems can occur with lack of capacity for local delivery and insufficient resources at the stores to unload the units and set up the displays.

In contrast, with JDA’s execution-aware planning process, all of these profit-zapping delays and extra effort can be avoided. The planning system will know transport, labor and warehousing limitations and plan accordingly to optimize resource utilization, timing and profitability. The operational silos are eliminated and important metrics such as margins, fill rates and customer service levels are optimally balanced.

Greater Than the Sum of the PartsWhile having all of the functionality to create execution-aware plans and integrated execution are important, that is not the whole story. It is also necessary to consider the underlying quality and robustness of the individual processes and disciplines. JDA’s demand planning, warehouse management and transportation management systems are rated in the Leaders Quadrant of Gartner’s respective Magic Quadrant reports on enterprise software. JDA provides an unparalleled combination of business process breadth and functional richness in each process area, making the value to the customer much greater than the sum of the parts.

JDA also provides unparalleled professional service and consulting expertise to guide you through your business transformation. JDA can help define where the greatest benefits can be achieved, create a realistic roadmap based on industry best practices and your unique company constraints, and help you develop a fact-based list of benefits and potential ROI.

The JDA Cloud AdvantageFor a myriad of reasons — the cost of hardware and software, the rapid advancements in technology and application capabilities, and most importantly, the need for maximum agility in responding to today’s fast-changing marketplace — it no longer is optimal to have distribution systems located at each location. And since nearly all of the new technologies that are driving the omni-channel revolution are Internet-based, cloud solutions are better positioned to match the rapid changes in retail and manufacturing markets. The cloud-based JDA Intelligent Fulfillment suite provides all locations with consistent, reliable and up-to-date solutions that are carefully calibrated to match shifting conditions by a team of JDA experts. This greatly improves agility, reduces risk and ensures seamless operations across the enterprise at all times.