Companies are continuously challenged on how to get the most value out of their existing SAP systems. Blount International, a client of Reveal, had been using SAP for over 7 years but were unable to achieve the fill rates or inventory levels they had set out to achieve. Blount wasn’t “utilizing data” or “maintaining dates in SAP” that would allow them to achieve the fill rates and inventory levels they were seeking. They were experiencing problems with their Master Data and were wondering “why they couldn’t get SAP to perform”. Blount was seeking the best strategic approach to optimize their inventories and supply chain by utilizing the technology they already own.
After attending a Supply Chain Bootcamp (hosted by Reveal) in 2010, Blount International realized the benefits that could result from going back to basics and educating their users and management in the existing SAP functionality. They agreed to start the process with a Wellness Assessment. The Wellness Assessment is a 5-day on-site analysis phase of the oVo® methodology that Reveal employs to help organizations rise above performing transactions and achieve tangible and measurable business value from their ERP investment.
Reveal’s approach was significantly different than previous consultants they had used; Reveal’s centric deep-dive into Blount’s system to see what the root of the causes was to the symptoms they were experiencing, rather than interviewing their users for their opinions. The 5-day Wellness Assessment found numerous opportunities for improvements, such as the reduction of dead stock and the reductions of exceptions in their supply chain, which lead to an engagement project. Reveal offered structured education and a roadmap to achieve predetermined value opportunities around inventory and service level improvements. The oVo® Methodology helped Blount transform the people, process, and technology environment to achieve the results stated below.
The major results Blount International has seen following the Reveal Initiative include:
• $6 million reductions in inventory (with ongoing improvements being noted)
Inventory turns have improved from 7.1 to 8.6
• Stability and predictability has been established in their supply chain process
• All users and management have been educated, certified in the Supply Chain processes
• Organization structures have been established to ensure sustainability in the process and cultural changes that Blount underwent
Dave Parrish, the Vice President of Supply Chain at Blount International, stated that Reveal is “…by far the best” out of all the firms they have used in the past. He believes the “outstanding dialogue” Reveal gave on a daily basis helped achieve huge improvements when using their existing SAP system.