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Author's profile photo Guido Kaup

How Integrated Business Planning can Help Mill Companies Adopt a Circular Economy That Benefits Itself, the Planet, and the Economy

Part 2 of the blog series “Integrated Business Planning as core value driver in key industries”.

Co-authored by Alina Gross and Öykü Ilgar

 

Mill product companies must deliver profitable growth without over-exploiting the environment. They can achieve these goals by running collaborative supply chains, optimizing manufacturing, and offering best-in-class customer experiences.

For this reason, businesses operating in this industry strive for better fact-based decision making by increasing end-to-end supply chain visibility, by facilitating faster planning cycles and consistent processes for sales and operations planning, and improving collaboration and user engagement across functions.

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“Implementing SAP Integrated Business Planning has helped us establish long-term partnerships with our most strategic customers. These partnerships enable us to support their growth and sustainability goals with our strong focus on the supply chain.”

Xavier Duprat, Director Logistics and Production Planning, Cascades Inc.

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Companies further aim at optimizing their S&OP cycles, to reduce the number of tools and manual effort required for demand and supply planning and to reduce planning errors and improve forecast accuracy.

This is exactly how SAP Integrated Business Planning (IBP) can help. It allows companies to reduce the number of tools and manual effort required for demand and supply planning, to gain global visibility and collaboration into the planning cycle tasks, decisions, and final outcomes and offers forecasting simulation capabilities requiring minimal effort to collect data points and set calculations.

Companies that have implemented SAP IBP report more benefits like reduced costs thanks to increased visibility and improved collaboration, improved planning security supporting sales to new markets, greater efficiency with maximized production capacity and faster access to relevant information for both internal and external users. Furthermore, it leads to improved decision-making with the help of more-accurate data and forecasts as well as enhanced ability of employees and salespeople to focus on value-added tasks such as customer service (Cascades Inc.). Also see Richard Howell’s great blog for further details.

Owens Corning for example, amongst other benefits, established a unified demand and supply stream as a global model within its business unit. It leveraged IBP reporting, analytics and what-if scenario planning features for cadence planning historical reviews and report-outs as well as gained increased short term and long-term accuracy by reducing errors and increasing global transparency.

Finally, being able to react faster to the automotive market variability, increased efficiency and identification of critical shortages, easier and better analytics and KPI monitoring, and improved forecast accuracy has especially convinced ArcelorMittal.

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“SAP Integrated Business Planning helped us to improve our S&OP process, enabled us to make decisions based on profitability, increased sales forecast accuracy, reduced inventory and got quickly adopted by end users.”

Marcelo Campus, Integrated Planning Manager, ArcelorMittal Brasil

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The SAP Integrated Business Planning solution solves your specific mill product industry’s needs by enabling digital transformation – so when will you start to master the uncertainty in your supply chain?

 

Also read the other parts of my blog series:

Part 1Agri-Business and Life Sciences Industry: Reaping What You Sow with Data Analytics

Part 3 “How Integrated Business Planning Helps Put Your Products on Top of Consumers’ Minds

 

Quotes & Customer Cases

 

Learn More

Getting Started: www.sap.com/scm   What is SAP Integrated Business Planning?

Explore Further on the Buying SAP IBP Frequently Asked Questions

Get More Details on SAP IBP Applications with the IBP Online Documentation

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