SAP-Based Planning and Inventory Optimization in Production
Globally operating pharma manufacturer with an SAP landscape
Fragmented supply and production planning led to inefficiencies, rising costs and suboptimal inventory levels.
The challenge
The situation
Fragmented supply and production planning processes led to inefficiencies and rising costs. The lack of integration with the existing SAP system limited transparency and alignment along the supply chain and resulted in suboptimal inventory levels and inadequate service performance.
Our approach
What we delivered
End-to-end SAP integration of planning, so that demand, production and inventory data come from one shared source instead of separately maintained records.
Realignment of the sales and operations planning processes, which had been running fragmented and were hampering coordination along the supply chain.
Strengthened inventory control based on the now reliable planning data, against the previously suboptimal stock levels.
The outcome
Results & impact
-40% inventory costs
Marked reduction in inventory costs in production.
+10% service performance
Improved delivery service performance along the supply chain.
In summary
Supply and production planning are SAP-integrated; inventory costs and service performance have improved measurably.
Related expertise
Supply Chain Management →
Directly addresses the optimization of supply-chain processes for stable supply at controlled working capital, matching the case study's core theme of inventory reduction and service performance.
ERP Integration →
Covers the GMP-compliant integration of ERP systems such as SAP into the process and system landscape, the central element of the SAP integration roadmap in the case study.
Manufacturing & Supply Chain Management →
Addresses delivery capability and alignment across the entire chain from production to delivery, fitting the cross-functional S&OP realignment of the case study.
Reporting & Dashboards →
Concerns the up-to-date, auditable transparency over production KPIs that corresponds to the real-time inventory tracking and improved supply-chain transparency introduced in the case study.
Similar projects
More on Pharma →
Sources
- Entourage project experience (anonymised)
Your project
A comparable project?
Briefly outline your situation. We'll respond with an initial assessment, usually within one business day.
Prefer direct? +49 89 4161170-0
info@theentourage.de
- Reply usually within one working day
- 4 offices: DE · CH · IT · US
- 100% life sciences