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Success Story

Sourcing - Developed a system to integrate vendors in the supply chain for better visibility in PLC

Published Date: 
Aug 30, 2011

Customer

A dynamic Indian Retail giant engaged in the retailing business operational across India

The Challenge

  • Client’s current system was not able to track, identify and retrieve PO’s by vendors
  • Status of an order could not be assessed
  • Delivery date slippage leading to stocks-outs or over stocking
  • Sourcing problems also impacted quality teams checking routine during mfg cycle
  • No access to stock volumes across chains across India-leading to wrong sourcing decisions

HCL’s Solution

  • Identify all entities involved in the Supply Chain
  • Differentiate key business from moderate (revenue basis)-prioritize sourcing
  • Integrate vendors into clients sourcing process
  • Reengineer processes to shorten PO Lifecycle
  • Set in Vendor Collaboration
  • Establish visibility in the PLC

Value Delivered

  • PO generation & placing cut from 3 to 1 day
  • Vendor response time on order acknowledgement reduced from 7 to 2 days
  • Online Vendor Request for Change in delivery date is accomplished within 2 days from 7 days
  • Achieved stable OTIF levels of 97%
  • Vendor-Vendor collaboration resulted in 100% delivery (Time & Qty) from tier 2 vendors
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