Phillips 66

End-to-End Planning Inside of SAP to Support Improving Service Levels

Phillips 66

With the education and best practices we have learned, we are no longer fire-fighting and are much more proactive in meeting our customer’s needs.

Plant Production Manager

Fortune 100 Refinery & Lubricants Manufacturer

A Fortune 100 diversified energy manufacturing and logistics company with a portfolio of businesses: Midstream, Chemicals, Refining, and Specialties including lubricants. Pioneering leaders and ground-breaking product lines have helped them evolve into the fourth-largest finished lubricants supplier in the United States. Reaching across every key lubricant market, including automotive, trucking, agriculture, aviation, power generation, mining, and construction.

CHALLENGES

  • Rising raw materials, packaging and finished goods inventory
  • Inconsistent customer service levels
  • Excessive fire-fighting and order expediting
  • No supply chain integration across their processes, key functions and geographies
  • Supply and production strategies not aligned with master data
  • Very low SAP utilization and knowledge of system best practices
  • Planning outside of SAP in multiple disconnected tools
  • Frustrated users and excessive manual work being done
  • Lack of trust in the system leading to ineffective use of MRP generated production planned orders and purchasing requisitions
  • Multiple points of promise and unclear escalation and prioritization processes
  • SAP reporting functionality not being utilized to support business and process performance KPI’s

SOLUTIONS

  • Supply Chain transformation utilizing Reveal’s oVo® methodology focused on improving service levels, optimizing inventory, capacity and production planning and data visibility
  • Established Supply Chain end-to-end planning inside of SAP, integrating core processes across the organization
  • Education for buyers, planners, schedulers, shop floor and management on existing SAP tools
  • Education, ownership and accountability of master data and aligning MRP strategies
  • One-on-one sessions with management and executives to drive management decisions using SAP
  • Set KPI’s aligned with strategic business performance objectives

BENEFITS

  • $15 MM reduction in average inventory
  • 98% reduction in overdue supply and demand elements
  • 86% reduction in negative days of supply
  • Reduced SAP exception messages by 73%
  • An integrated business utilizing one system of record – SAP
  • Increased data accuracy, process efficiencies and user confidence leading to better decision making
  • Improved capacity and material availability accuracy
  • Demand-driven planning via MRP requirements
  • Increased analytics capability and visibility across the supply chain
  • Educated and empowered users and management team
  • Aligned KPI’s to business objectives
  • Ability to migrate to S/4 HANA

Connect

Discover where and when to connect with Reveal at upcoming webinars and industry events.

SAPinsider Supply Chain Management Summit 2024

May 1, 2024
May 2, 2024
Marriott Chicago O’Hare, IL
Find out more
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