The process industry has been undergoing dramatic changes over the past two decades due to globalization, industry consolidation, intensifying competition, and deteriorating margins. Companies in the process industry need supply chain systems that can deliver a competitive advantage through improved profitability, market share, and customer responsiveness.
WAM Systems is a highly focused company dedicated to building advanced l i t l d i d t h l f t i i
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planning tools designed to help process manufacturing companies overcome these challenges. WAM is revolutionizing how such firms plan and manage their supply chains in today's increasingly complex and competitive world.
Founded in 1987, WAM Systems has a long history of providing supply chain solutions to many of the world's largest process firms. Our supply chain solution Picaso™ is proven to improve profitability competitiveness
Picaso™ at a Glance
The process industry supply chain is unique It has complexities challenges
WAM Systems has
been helping the
chain solution, Picaso™, is proven to improve profitability, competitiveness, and customer relations.
The process industry supply chain is unique. It has complexities, challenges and opportunities unlike other businesses.
Only the Picaso supply chain planning system was designed from the ground up to meet the specific requirements of process companies. It is powered by a single, common model that reflects the real-world operations and needs of the industry.
LyondellBasellThe Picaso software solution is a comprehensive suite of decision support and optimization applications that supports a broad set of supply chain business functions including
• Demand planning and forecasting• Sales and Operations Planning
S l h i ti i ti
Indian Oil • Supply chain optimization• Inventory targeting and optimization• Distribution planning• Production planning, scheduling & optimal policy setting• Raw materials planning• Available-to-promise order fulfillment analysis
Advanced Supply Chain Planning Solution
Picaso delivers a
comprehensive solution that
helps you optimize every
aspect of your process supply
management and distribution
planning through production
scheduling and sourcing Thisscheduling and sourcing. This
fully-integrated suite of
planning and optimization
modules gives you all the tools
you need to develop fast and
accurate plans that help you
maximize profitability and
The Picaso suite of modules allows for seamless connectivity to your ERP system.
Picaso connects to SAP® using technology with SAP Certified Integration.
For each major planning area, Picaso’s unique analytical capabilities seek out
optimal solutions and include simulation and visualization tools that help you
understand the impact of various supply chain operating strategies and
Picaso works with today’s top
ERP systems, including SAP. p pp y p g g
Picaso also helps you stay ahead in this fast-moving world with its innovative
Supply Chain Event Monitor, which maintains an up-to-the-minute simulation
of your supply chain and alerts you to problems or opportunities that could
It has been specifically
designed to extend the
functionality of your existing
ERP system by providing real-significantly affect your profitability or competitiveness.
Picaso also includes robust, easy-to-implement interfaces to a variety of
popular ERP systems to assure timely information is available to support
time visualization, collaboration
and “what-if” analysis tools to
your supply chain organization.
Supply Chain Event MonitorPicaso Supply Chain Event Monitor serves as the core
of the Picaso planning system. The highly graphical interfaces of Picaso's Grid Console provide an all-in-one
look at inventory projections, order status, planned production and material movements across all of the
products in a business.
Distribution Replenishment PlanningIntegrated with the Supply Chain Event Monitor, the Picaso DRP module uses product formulations and replenishment algorithms to compute and recommend just-in-time replenishment orders for raw materials. These replenishments consider the lead-time and typical lot size from each supplier. Raw material inventories and replenishment orders are automatically linked to the supply chain simulator suchreplenishment orders are automatically linked to the supply chain simulator such that a change in a production schedule that turns raw material plans infeasible will trigger algorithms to re-plan optimal replenishment.
Dynamic SchedulerThe Picaso Dynamic Scheduler is used in Raw order / inventory status
before a production schedule cycle-based production environments to determine optimal production plans. The
Dynamic Scheduler determines optimal cycle characteristics such as cycle length, product
sequence, and frequency and considers variable production costs such as product-to-
product transitions and off-grade production. It
phas been created. Stock outs for each SKU line are indicated in red.
Manually-created production schedule that addresses most needs, yet still includes
f t i i dalso considers customer service impacts to maintain customer service levels. The end
result is a production schedule—created and/or updated in a matter of seconds—that
provides the best balance between transition costs, inventory holdings,
and customer service.
some future issues in red that require attention
Production schedule from Dynamic Scheduler offering the best balance between production costs and customer service
Customer Service WorkstationThe Customer Service Workstation provides Available-To-Promise (ATP) functionality and order status updates to support day-to-day activities of the customer service personnel. The Available-To-Promise analysis p ysynthesizes inventory, production schedules, orders and forecasts to compute availability for any moment in the future, and also recommends alternate sourcing options if preferred sources are at capacity.
Collaborative Sales ForecastThe Picaso Demand Planning and Forecasting Module creates statistical forecasts and supports the collaborative forecasting process.
• Generate statistical forecasts using a flexible, multi-tier tournament of statistical forecasting models
• Collect sales forecasts from field sales personnel• Allow sales and customer service representatives,
marketing planners and business managers to view, analyze, and override statistical forecasts based on marketing intelligence and unique
Production SchedulingThe Picaso Production Scheduling module provides users with powerful
g g qknowledge of customer requirements
• Create personalized analytics to evaluate forecasting effectiveness
The Picaso Production Scheduling module provides users with powerful simulation capability, wherein key operating parameters such as product
transitions, equipment rates, and yield values can be modified to help create the best candidate schedule. In addition, changes made to the schedule are automatically incorporated into the Supply Chain Event
Monitor, allowing schedulers to immediately determine the feasibility and effectiveness of their changes.
Inventory TargetingPicaso Inventory Targeting provides a means for calculating safety stock recommendations based on targeted customer service levels. It also compares optimum inventory levels to anticipated inventory levels based on current supply chain management policies.
Advanced Planning and S&OPThe Picaso Advanced Planning module provides the capability to
support Sales and Operations Planning (S&OP) activities and analyses. The tool can be used to determine optimal production and
sourcing policies that reduce costs and maximize profitability. In addition, it provides a means of rapidly determining not only what
portion of the forecast is feasible to produce, but what product mix is most profitable to produce. In situations where capacity exceeds
demand, the tool identifies opportunities to increase profits by recommending expanded production and sales of key products.
Picaso @ Work
Excellent expertise. WAM’s
consultants all are ex-SCM users
from 45% to 85%We expect to improve customer service,
and experts. They know the tools
and the business. This was a
The Picaso optimization modules
Our selection of the Picaso solution
supply chain productivity and financial
performance significantly with WAM Systems’
paid for themselves within the first
year of use.
The powerful combination of
Picaso integrated with our SAP
was greatly influenced by its ability to
quickly and easily model the complexities
of process supply chains, providing visual
displays and powerful optimization
visibility across 4
ERP system provides a solution
not available in any single tool.
WAM has played a key role in
meeting our supply chain
WAM Systems’ Picaso offered the
ideal solution to quickly install and
begin helping our planning staff while
we continued to move forward with our
overhead by 50%
g pp y
performance objectives. Our
expansion of Picaso to support
worldwide operations extends these
benefits throughout the enterprise.
In choosing a partner for our supply
chain initiative, we spoke with industry
analysts and evaluated dozens of
vendors WAM Systems provides the
SAP / APO initiative.overhead by 50%
We selected WAM Systems to provide
our supply chain solution based on their
process industry track record. They offer
a targeted solution that mirrors our
planning needs, and they bring a vendors. WAM Systems provides the
winning combination of process industry
expertise and high value solutions built
specifically for our needs.
p g y g
knowledge of industry best practices that
we consider every bit as important as
their software offering.
Id tif i th Hidd V l i Identifying the Hidden Value in Your Process Supply Chain
The supply chain is one area of process operations where significant performance improvement opportunities remain. Process manufacturers invest large amounts of capital in complex production and distribution assets, and the
WAM-IDProcessco p e p oduct o a d d st but o assets, a d t e
utilization of these assets generates the bulk of the cost of goods. Incremental improvements in supply chain operations can unlock tremendous corporate value.
Companies that employ industry best practices in the supply chain often gain significant competitive advantages in terms of margins capital employed and customer satisfaction
ProcessThe WAM ID Process™ was developed to provide process manufacturers with a structured approach to identify opportunities to improve their supply chains in ways thatof margins, capital employed and customer satisfaction.
Identifying and quantifying opportunities within the supply chain isn't easy
Supply chains are highly complex. Supply chain business
to improve their supply chains in ways that will increase corporate value. The WAM ID Process is effective whether a company is considering a comprehensive solution to support its overall supply chain planning needs or whether a company is looking to identify targeted solutions to resolve specific supply chain challenges
functions span multiple departments and business units and involve the participation of dozens or hundreds of people. Poor data quality and a lack of analytical tools compound the challenge of uncovering opportunities to improve operations and reduce costs.
WAM Systems has years of experience helping process
supply chain challenges.
There are several phases within the WAM ID Process. The first four phases lead to the development of a business case for change. The last three phases assure a successful implementation and long-term fulfillment of identified business improvements andy y p p g p
companies improve decision-making and control costs. Using our knowledge of industry best practices, we help companies assess their operations to identify high value, quick-return supply chain improvement initiatives.
identified business improvements and enabling technologies.