interim operations & project managementspecialist in logistics & supply chain management

Yamaha Motor Europe NVEuropean Supply Chain Management project

Change management

Profile/products Yamaha Motor Europe

Strategy Organizational Tactical Operational

The "dream"/idea/scope O

Create a shared need O O

Develop concept O O

Mobilize commitment O O

Plan/define the change O O

Communicate the change O O O

Implement the change, align infrastructure

O O O

Sustain momentum O

Elements change process

Scope and Timeline projectAll products: spareparts, accessories, finished products and componentsfor european Plants

Elements of change project Central Inventory ManagementWarehouse system Transport/Distribution system IT system Naked & Returnable Packaging

The change

TargetDevelop and implement transparency in supply chain management, improve/optimize inventory and service and achieve cost saving

New standard order/delivery process

Central Inventory Management New central inventory management system with ATP (Available To Promise) for sales companies to realize transparency in European stock and flexibility in allocation in regions

Warehouse system One warehouse concept in Europe, all receipt to, storage in and shipping from warehouse to dealer must be equal irrespective warehouse origin

Transport/Distribution system One transport/distribution concept in Europe, all deliveries from warehouse to dealer must be equal irrespective warehouse origin

IT system One IT system to support logistics in Europe for inventory planning & control, inbound, storage, outbound and custom clearance in Europe

Naked and returnable packaging Products to be delivered naked or with returnable packaging to dealers to contribute to reduction carbon footprint

The scope

Manage change process

From

To

Central Inventory Management Identify key sales companies and factories, ensure understanding for change and clarify opportunities (savings by scale) and threads (ATP flexibility and seasonality).

Warehouse system Identify key sales companies and factories, ensure understanding for change and clarify opportunities (savings by scale) and threads (seasonality).

Transport/Distribution system Clarify with sales companies the lead times and services (delivery window, location constraints, extra services) and feasabilities to improve

IT system Identify with all stakeholders (Sales, Factories, Planning, HQ) current systems and room to improve

Naked and returnable packaging Based on test with naked transport from Asia to Europe, identify opportunities and investments for naked distribution

Sharing and exploration requirements

Central Inventory Management Develop new organization with responsibilities and capabilities in HQ and clarify on planning process and allocation procedures. Define new margin structure.

Warehouse system Develop warehouse concept, based on drive-in racking for non-packed units, technical workshop for customization on order. Location/sizing studies and taking into account seasonality

Transport/Distribution system Develop transport concept with A, B and C flows: A is from Plant to DC, B = from DC to carrier platform and C = final distribution. Central X-dock in Parts warehouse in Lyon for daily linehauls to all DC's

IT system Develop IT system to support inventory planning and control, warehouse operations, distribution planning and shipping and customs, and as platform for KPI reporting and analysis/ projects.

Naked and returnable packaging Develop concept for naked transport in steel returnable crate or on returnable wooden pallet and control over pool of returnable pallets

Creation of concept

Buck Consultants International

9

Define size/locations for warehouses

Order profile

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Range of Optimal Values

Annual Cost

Transfer Freight

Fixed Cost

Outbound Freight

Number Of FacilitiesFew Many

Total Cost

Inventory Carrying Cost

Analysis for # locations/location and sizing

Organize meetings with stakeholders and organize buy-in and support of key functions and persons. Bridge resistance and key issues, tune where required and make the vision/concept accepted. Make use of planned meetings with top management, plants, sales companies and HQ and present plan and process. Keep it clear, simple and transparent. Final decision go/no-go to start project

Mobilize commitment

Project plan & Communication

Project plan & organization (PRINCE2 principle) Plan scope, tasks, project organization, planning, budget and identify risk. Build the project organization and prepare on communication, test and training

Communication Publication of weekly ECIM Bulletin Project and Steering Committee meetings Meetings with stakeholders, divisional meeting, meetings with countries, plants, HQ etc. Create open atmosphere: be open for feedback and open minded to adjust/tune on developments Select reference group (dealers per country) for follow-up

Central Inventory Management Develop new SCM organization and implement new processes and systems, keep alignment with sales companies involved and create mature process

Warehouse system Decide locations and size and requirements per location. Select location and service provider and agree on contract period (3 years) and KPI

Transport/Distribution system Descripe proces and requirements, then tender procedure to decide on companies for A, B and C transport (C transport in cooperation with local sales companies for buy-in)

IT system Develop new IT system and phased roll-out in line with start of warehouse operations (planning for orders/deliveries to new DC and shut down of local operations)

Naked and returnable packaging

Decide on new set-up and required equipment (steel/wooden pallets, handling and process/procedures for warehouse and in transport)

Project execution & change

Project result

Reporting system for stakeholders (daily, weekly, monthly). Frequent evaluations with all stakeholders. Execute adjustments and tune where required. Adjusted planning to secure quality of change over original planning Adjust organization to keep alignment with project and process.

Sustain Momentum

Central European inventory management resulting in increased allocation-service and optimal stock Stable, transparent operation and control by KPI Transparent information to stakeholders and third parties Delivery of services based on agreed terms and conditions for cost-to-serve and delivery lead times, evaluation with reference groups Achieved flexibility to cope with changing volumes (sales, assortment) Achieve targeted and significant cost reduction Implementation of returnable packing and optimize transport and distribution (carbon footprint) Central IT system: condition for optimal PSI (Production, Sales, Inventory) and base for bonded warehousing and multi site customs administration Efficient & effective In/outsourcing, purchasing and tender management of services (3/4PL) and materials “Trade facilitation” and compliance management (HR, customs, tax, risk, security, safety) Achievement of international teamwork within the Group

Achievement

interim operations & project managementspecialist in logistics & supply chain management

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