Wired for Success: Optimizing Sales and Operations Planning for the Wire & Cable Industry
Blog: Apriso Blog
The global wire and cable manufacturing industry is slated to be valued at US $232 billion by 2025 at an annual growth rate (AGR) of approximately 5 percent. This will see the increase of the total market value of cable and wire manufacturing operations, which will rely on their organizations’ readiness to take advantage of growth opportunities.
However, gradually complex manufacturing environments may prove to be a challenge for those who struggle with demand forecasting accuracy. This introduces a myriad of problems revolving around demand prioritization—from poor visibility into daily operations to complex fulfillment decisions to not knowing the impact of those decisions. on KPIs. All these factors culminate in the inability to formulate and build optimal plans and react to changes.
It is crucial for wire and cable manufacturers to optimize forecasting and production capacity. This will be key to future success as well as to drive the fundamental imperative of improving standard length and made to order (MTO) product availability, ensuring the right product is offered At the right time and place. Achieving this means the need to optimize your sales and operations planning (S&OP).
Many cable and wire companies have an S&OP process in place, but few have the right solution to support it. Fewer still have a solution driven by a consistent, repeatable workflow with an engine powerful enough to optimize plans and generate what-if scenarios to continuously Find ways to improve processes and maximize revenue. Optimizing your S&OP process allows you to meet your business goals or better yet, exceed them, and increase profit.
DELMIA Quintiq S&OP models the best practices in sales and operations planning with capabilities to support fast and confident decision-making at every stage of the planning cycle—regardless of your company’s S&OP maturity level. It enables wire and cable manufacturers to integrate overall supply chain visibility In order to enable planning agility and flexibility. A comprehensive digital planning solution like DELMIA Quintiq S&OP centralizes all enterprise-wide data and facilitates demand forecasting with in-depth statistical analysis capabilities. This ensures that planners end up with the most optimal and efficient plan. In addition, vendor-managed inventory can be actioned where planners, suppliers and customers are connected to allow for more effective and collaborative planning and decision-making.
Planners can even incorporate KPI-driven capacity monitoring to understand the impact of their decisions on manufacturing indicators, as well as cost-driven supply planning to optimize costs. And with improved visibility across operations, wire and cable manufacturers will gain the ability to quickly react whenever disruptions occur; whether it requires pivoting production processes or adapting production capacity to meet those changes.
DELMIA Quintiq S&OP is proven to deliver ROI within 6 to 12 months of going live, allowing customers to increase sales revenue and forecast accuracy by up to 25 percent and reduce inventory by up to 46 percent.
Download our solution paper to learn more about how DELMIA can help you optimize your S&OP and demand forecasting.