Case
Study
DuluxGroup SAP Ariba Supply Chain Collaboration
- Client: Dulux Group
- Industry: Manufacturing
- Project: SAP Ariba Supply Chain Collaboration Implementation
- Category: Spend Management
- Partner: SAP Ariba
The Challenge
DuluxGroup is an Australian-owned, publicly-listed company with its headquarters in Melbourne, Australia. DuluxGroup is a manufacturer and marketer of products that protect, maintain and enhance the spaces and places in which we live and work. DuluxGroup employs approximately 4,000 people in Australia, New Zealand, Papua New Guinea, South-East Asia and China.
DuluxGroup identified the need to automate its inbound supply chain. Although EDI has run for many years with some key large vendors, it was not scalable for medium and small suppliers. The costs and technical effort required on both sides was not viable across the entire supplier base. DuluxGroup required:
- An e-procurement system that could support all suppliers from very small through to larger suppliers.
- The ability to provide the supplier with the option to independently decide the level of integration they require within the network.
- A robust and reliable solution as the initial scope of the project was the Direct Materials required for manufacture or re-sale.
The Solution
The SAP Ariba Supply Chain Collaboration Solution based around the SAP Ariba Network, was chosen largely for its Collaborative Supply Chain functionality for direct material suppliers as well as potential future usage in sourcing and indirect procurement.
FourPL’s Role
FourPL were engaged:
- At an early stage to look at a solution fit and assessment to meet the client’s requirements.
- As DuluxGroup’s implementation partner.
- FourPL provided both the Project Management and Ariba Technical Expertise to bring the solution to fruition for the customer.
The Results
Supplier adoption of the solution has been 100% for the target sites and DuluxGroup hit their goal of 100% paperless purchasing. The project has presented DuluxGroup and its Suppliers with several compelling advantages.
DuluxGroup
- The scope to handle complex supply chain operations
- Improved planning for manufacturing (expand use of forecasting, subcontracting and consignment stock)
- The reliability of Electronic Confirmations
- Reduced cost of inventory through accurate timings of procurement and inbound delivery, reduction in inventory and reduced disruption.
DuluxGroup Suppliers
- Better visibility into DuluxGroup’s operations by receiving good receipt notices and payment information
- The reliability of Electronic Confirmations
- The opportunity for small suppliers to integrate without a high cost of technical integration.
The Conclusion
“FourPL and SAP Ariba have delivered us a very fast integration path. It was a seamless process to transition our Order, Shipping and Invoicing documentation from a paper-based system to transfer via the Ariba Network. FourPL was instrumental in ensuring the right solution was delivered from the outset, on time and on budget.”
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