Supply Chain Planning and Execution (SCP) differs from existing systems. Its basic logic is to continuously update the production plan based on reorder planning and demand changes. For example, if the timing of several sales orders changes, the system updates the entire production plan accordingly. Additionally, SCP optimizes reorder planning by updating dynamic reorder points, thereby optimizing the production orders received from reordering. The goal is to reduce unnecessary inventory holding costs and ensure timely delivery, following the principles of lean management and just-in-time production. Purchasing decisions are updated in the long term, adjusting pending and unapproved purchase orders. If there are cancellations, the purchase orders are canceled, or if demand increases, the purchase orders are adjusted accordingly. It allows easy tracking of which production orders feed into sales orders.

 

Furthermore, with the intelligent warehouse application, dynamic reservations are made for which materials will be used from the warehouse for each work order. The sales team can view the schedule in advance, which automatically plans when and which products will be delivered to customers. It generates production orders based on capacity planning, suitable for any industry, whether discrete or continuous production, without resorting to unrealistic infinite capacity as in traditional ERP systems.

 

In below examples and cases, we will be providing in-depth explanations of the above information, give you competitive analysis with existing supply chain planning applications. Please note that the following information is presented in a simplified manner.

MSF developed innovative SCP solution that revolutionizes supply chain planning and execution. It dynamically updates the production plan based on reorder planning and real-time demand changes. By continuously optimizing reorder points, it ensures that production orders are streamlined, reducing unnecessary inventory holding costs and improving delivery times. This lean management approach, combined with just-in-time production, maximizes efficiency and minimizes waste.

 

This system takes a proactive approach to purchasing decisions. It updates long-term purchase orders, adapting to changing demands and canceling orders when necessary. By aligning procurement with demand, it optimizes inventory levels and reduce supply chain disruptions.

 

With MSF intelligent warehouse application, the system enables dynamic reservations for materials needed in each work order. This ensures that the right products are allocated from the warehouse, streamlining the fulfillment process. The sales team gains visibility into delivery schedules, allowing them to provide accurate delivery estimates to customers.

 

MSF SCP and Execution solution excels in capacity planning. It generates production orders based on realistic capacity constraints, avoiding the dangers of traditional ERP systems that rely on unrealistic infinite capacity assumptions. This ensures that production remains aligned with available resources, improving overall operational efficiency.

  

SCP solution minimizes manual interventions, reducing the need for interdepartmental communication and cumbersome email exchanges. By automating planning processes, it eliminates the potential for errors and delays, ensuring smoother operations and improved collaboration across teams.

 

Timely Deliveries: 

MSF understands the criticality of on-time delivery for customer satisfaction and loyalty. MSF SCP and Execution solution empowers organizations to consistently meet delivery deadlines by dynamically updating production plans based on real-time demand changes. This capability ensures that products are manufactured and shipped precisely when customers need them, enhancing overall customer experience.

 

High ROI: 

With MSF solution’s emphasis on reducing costs, eliminating inefficiencies, and optimizing resources, organizations can achieve a significant return on investment. By minimizing inventory holding costs, reducing lead times, and improving overall operational efficiency (OEE), businesses can enhance their profitability and gain a competitive edge in the market.

 

Cost Reduction: By optimizing inventory levels through dynamic reorder planning and intelligent purchasing decisions, our solution helps businesses reduce holding costs and minimize wasteful inventory investments.

Improved Operational Efficiency: Our solution streamlines production planning and execution, eliminating inefficiencies and reducing operational costs. By automating processes and minimizing manual interventions, organizations can achieve higher levels of efficiency and productivity.

Enhanced Capacity Planning: Our smart capacity planning algorithms ensure optimal utilization of resources and eliminate the need for unrealistic infinite capacity assumptions. This allows businesses to maximize their production capacity and avoid underutilization or overburdening of resources.

Increased Productivity: With real-time updates and seamless integration between planning and execution, our solution minimizes downtime, reduces idle resources, and improves overall productivity. This enables businesses to accomplish more within the same timeframe, boosting output levels.

Timely Delivery Assurance: By dynamically updating production plans based on real-time demand changes, our solution enables businesses to consistently meet delivery deadlines. This enhances customer satisfaction and loyalty, leading to increased repeat business and positive brand reputation.

Reduced Lead Times: Our SCP and Execution solution optimizes production orders and streamlines operations, resulting in shorter lead times from order placement to delivery. This enables businesses to respond quickly to customer demands and market fluctuations, gaining a competitive edge.

Improved Supply Chain Visibility: With our solution, organizations gain comprehensive visibility into their supply chain processes, from production planning to delivery. This visibility helps identify bottlenecks, optimize workflows, and make informed decisions for better overall supply chain management.

Minimized Communication Overhead: By providing a centralized platform for planning and execution, our solution reduces the need for excessive communication and email exchanges between departments. This streamlines operations, minimizes delays, and improves cross-team collaboration.

Efficient Resource Allocation: Our solution optimizes the allocation of resources, such as labor, equipment, and materials, based on real-time demand and production requirements. This ensures that resources are effectively utilized, minimizing waste and optimizing productivity.

High Return on Investment (ROI): Through cost reduction, increased capacity, and improved productivity, our SCP and Execution solution offers a significant ROI for businesses. By reducing operational costs, enhancing efficiency, and delivering timely results, organizations can achieve tangible financial benefits.

These critical benefits combine to provide a powerful tool for business management, enabling cost reduction, increased capacity, and improved productivity across the entire supply chain.

INVESTMENT POINTS FOR MSF Intelligent SCP

There are several compelling reasons why a company should invest in our SCP and Execution product:

 

Enhanced Operational Efficiency: Our solution streamlines supply chain planning and execution processes, eliminating manual interventions and reducing inefficiencies. This leads to improved operational efficiency, reduced costs, and increased productivity.

 

SCP & APS COMPERISONS

SCP (Supply Chain Planning) and APS (Advanced Planning and Scheduling) are both crucial components of effective supply chain management, but they serve different purposes and have distinct functionalities. Let’s compare them:

Scope: 
SCP: SCP focuses on the overall planning and optimization of the supply chain, including demand forecasting, inventory management, production planning, and distribution planning.
APS: APS primarily focuses on the scheduling and sequencing of production orders based on capacity constraints, resource availability, and production constraints.

Planning Horizon: 
SCP: SCP typically operates on a longer planning horizon, considering medium to long-term planning objectives, such as demand projections and production capacity planning.
APS: APS operates on a shorter planning horizon, usually in the near-term, focusing on detailed scheduling and sequencing of production orders to meet immediate production requirements.

Functionality:
SCP: SCP helps in strategic decision-making, considering factors like demand patterns, inventory optimization, and overall supply chain performance. It assists in optimizing the end-to-end supply chain processes.
APS: APS is more tactical in nature and provides detailed scheduling and sequencing of production orders. It takes into account capacity constraints, resource availability, and production requirements to create optimized production schedules.

Level of Detail:
SCP: SCP provides a high-level overview of the supply chain, considering aggregate demand, capacity, and inventory levels. It focuses on optimizing key parameters to achieve overall supply chain efficiency.
APS: APS operates at a more granular level, taking into account specific production orders, resources, and constraints. It optimizes detailed production schedules to ensure efficient utilization of resources.

Integration:
SCP: SCP integrates various supply chain processes, including demand planning, inventory management, production planning, and distribution planning. It ensures a holistic and coordinated approach to supply chain optimization.
APS: APS integrates with other systems such as Enterprise Resource Planning (ERP) systems to obtain real-time data on orders, inventory levels, and capacity constraints. It uses this data to generate optimized production schedules.

In summary, SCP focuses on optimizing the overall supply chain processes, considering demand forecasting, inventory management, and production planning, while APS focuses on the detailed scheduling and sequencing of production orders based on capacity constraints and resource availability. Both SCP and APS play critical roles in optimizing supply chain operations, and their functionalities can complement each other to achieve a more efficient and responsive supply chain management system.