Ndevr + Simplot InSync 2012 Presentation - A Close Look at E1 Transportation Management
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The document outlines the transportation management practices at Simplot, a private family-owned company in Australia, detailing their supply chain network and order processing cycle. It highlights key business challenges, including various billing methods for shipments and complex load planning due to multiple transport modes and routes. Additionally, it discusses the custom modifications made to the JD Edwards E1 system to enhance efficiency in handling transport logistics.
Ndevr + Simplot InSync 2012 Presentation - A Close Look at E1 Transportation Management
- 1. JD Edwards E1 9.0 A Close look at E1 Transportation Management The most comprehensive Oracle applications & technology content under one roof
- 2. Agenda • Who are Simplot? • Simplot Supply Chain Overview • Simplot Order Cycle • Business Challenges • Load Planning • JDE Modifications • Transport Module - Lessons learnt The most comprehensive Oracle applications & technology content under one roof
- 3. Stephen Cathie • National Logistics Manager – Simplot Australia • Background mixed in Logistics and Accounting • 10 years service with Simplot • Transport Management Functional Lead for Simplot’s JDE implementation “Project Catalyst” The most comprehensive Oracle applications & technology content under one roof
- 4. Simplot Overview • Owned by JR Simplot – USA based private family owned company • Owner of well known food brand names such as Birdseye, Edgell, John West, Leggos and Chiko • Mixture of in-house manufacturing and outsourced supply • Mixture of Retail & Foodservice customers The most comprehensive Oracle applications & technology content under one roof
- 5. Simplot Products The most comprehensive Oracle applications & technology content under one roof
- 6. Simplot Customers The most comprehensive Oracle applications & technology content under one roof
- 7. Simplot Supply Chain Network • 6 domestic manufacturing sites • Multiple outsourced suppliers both domestic and imported • Decentraliesed 3PL warehouse network – 3 ambient and 7 frozen • Several hundred customer delivery locations • 1,000+ products The most comprehensive Oracle applications & technology content under one roof
- 8. Simplot Order Cycle • Orders are received by customer service team • Orders are passed to the logistics team for load planning • Loads are ‘planned’ to maximise the utilisation of vehicles • Orders are transmitted (EDI) to warehouses for picking and transport providers notified of a impending transport task • Goods are invoiced and dispatched • Transport accruals are matched to freight invoices The most comprehensive Oracle applications & technology content under one roof
- 9. JDE @ Simplot • Order to Cash JDE modules Go Live = July 2011 • E1 Transport module manages… – Internal Transfers (warehouse to warehouse), – Customer Distribution (warehouse to customer & customer pick ups), – Credit Returns (customer to warehouse) • Simplot’s Transport module is highly integrated with Sales Order Management, Inventory Management and Accounting The most comprehensive Oracle applications & technology content under one roof
- 10. The Business Challenges • All JDE shipments/orders go through internal load planning. • Large orders are split into smaller transport tasks (shipments) • Small shipments are grouped together • A mixture of transport modes (boat, train, truck) and varying travel distances leads to multiple billing methods. • Transport varies between full load rates and variable rates (ie per tonne) The most comprehensive Oracle applications & technology content under one roof
- 11. The Business Challenges - Rates • JDE handles a mixture of billing methods from multiple transport providers… – Full load rates (Semi Trailer, B-Double, 20’ or 40’ Container, etc…) – Per pallet – Per pallet space – Per tonne (including pallet weight) – Per tonne (excluding pallet weight) The most comprehensive Oracle applications & technology content under one roof
- 12. The Business Challenges - Rates • JDE handles on cost and other ad hoc charges – Fuel levies – Minimum Charges – Document Fees – Government rebates (Tasmania to Mainland) • Carrier payments occur 2 different ways – RCTI and traditional invoice processing/accrual matching The most comprehensive Oracle applications & technology content under one roof
- 13. The Business Challenges - Routes • Multiple routes required (1,200+ routes) • Lots of similar routes e.g. Mel > Syd – multiple temperatures (frozen, chilled, ambient) – multiple service providers – multiple truck types – multiple vehicle paths (direct, via Canberra). • Preferences required for certain customers • Intermodal routes where multiple carriers are involved (i.e. Mel > Perth route involves train and 2 trucks = 3 carriers) The most comprehensive Oracle applications & technology content under one roof
- 14. The Business Challenges - Routes - Load Planning Example Sydney Shipment 2 Customer - Sydney customer places an order for Fish Fish & Chips Sydney - Chips supplied out of Mel DC - Fish supplied out of Syd Shipment 1 - JDE creates & auto-routes 2 shipments Chips - Customer expects all product to be on one delivery. Chips need to be cross- Melbourne docked via the Syd DC. DC The most comprehensive Oracle applications & technology content under one roof
- 15. The Business Challenges - Routes - Load Planning Example Load 2 Sydney (Fish & Chips) Customer - JDE – shipment is load planned to be delivered via the Syd DC xdock. Sydney - Immediately after the Mel-Syd load is DC approved, JDE auto-routes a new Load 1 shipment leg for the chips (Chips for several customers) - Finally the Fish & Chips can be load planned together for delivery Melbourne DC The most comprehensive Oracle applications & technology content under one roof
- 16. JDE Modifications - Paperwork - pick slips, invoices, proof of delivery documentation were all heavily customized - Pallet calculation – custom pallet calculator had to be written to correctly predict the numbers of pallets required per order - Transport Invoice Matching – Simplot invested in a custom invoicing scanning/matching solution to increase efficiency - Accounting - Multiple mods to achieve Simplot’s desired cost allocation and reporting requirements The most comprehensive Oracle applications & technology content under one roof
- 17. E1 Tpt Module - Lessons Learnt • Synchronizing order status is challenging – sales order status, shipment status and load status • Lack of ‘Shipment Ledger’ complicates problem solving • Transport module can be quite fickle and is not as robust as other modules. Simplot’s heavy use of load building, intermodal routes and EDI contributes to this complexity. • Users require quality training and instructions. In Simplot’s environment shipments can be easily broken by users (i.e. shipments become corrupted and orders require re-entry). The most comprehensive Oracle applications & technology content under one roof
- 18. Questions The most comprehensive Oracle applications & technology content under one roof
- 19. Thank You The most comprehensive Oracle applications & technology content under one roof