BUSINESS PROCESS SOLUTIONS

Supplier Relationship Management

A supply network under control delivers value
Fuel your competitiveness with your supply network
Trade Globalization is profoundly transforming the dynamics of supply chains. Supply networks are becoming stretched over geographies and involve many different stakeholders and players in the process. Companies are off-shoring non-core and low value added activities to 3rd parties as well as sourcing material and or finished products from India and the Far-East. This new extended Supply Chain is creating a new lens focus onto the management of risks which, if managed well, are positioning supply networks as increasingly being of strategic importance and as a key contributor to supply chain performance and to the value and service delivered to the end customer and consumer. However the implications of an illmanaged supply chain are not confined to an organisations head office with increased costs or with un-reliable product supply; they create a ripple effect that will impact the consumer threatening loyalty and ultimately affect a companys competitiveness and credibility in the market. Global supply networks often carry some typical challenges: Higher risk of supplier failure in terms of time, quantity or cost; Quality adherence associated with pressure for ethical sourcing and a corporate social responsibility; Frequent process disruptions compounded by longer lead times; Inadequate level of visibility making problem resolution slow and hard to manage; Lack or absence of communication between manufacturer and suppliers. Mastering these global supply chain realities has become a prerequisite for any organisation engaged in global trading, it is even more so for companies selling fashion related product, or other short lifecycle goods. It is the efficiency and reliability of the supply network that can position a company above others in the same market; Supplier Relationship Management (SRM) can offer sustainable and long term benefits at many levels.

The Value of SRM

Dedicated technology can support and empower your supply chain transformation, by facilitating improvements and driving efficiency across all your sourcing and procurement processes. As such it will minimise any negative impact they may have on overall supply chain performance. Manufacturers around the world see the value and international surveys report a clear Year on Year increase in investments in Supplier Relationship Management (SRM) technologies in mid-term as more and more organisations seek to harness the benefits. TXT e-solutions SRM solution TXTCHAIN can help build a single collaborative framework for your supply and logistics networks and as such orchestrate all your supply chain processes, from source to store. Manage & Collaborate: Trading partners from suppliers and subcontractors to 3PLs can collaborate through one solution as TXTCHAIN covers all of the supply management processes
Track suppliers performance over me

SRM
PE
Establish KPIs

NCE MA R FO

On line nego a on

SO
SUPPLIERS

Procurement op miza on

E RC

MEAS

UR E

STORES

SRM

MANUFACTURER

Visibility throughout

ON ITO R

DISTRIBUTION CENTERS

LOGISTICS SERVICE PROVIDERS

ING

Receive alerts and no ca ons

TE RA O AB COLL

Issue delivery notes and transport orders

AN DE XEC

UTE
Automate genera on of produc on orders

SS RE PROG

SUPPLIER RELATIONSHIP MANAGEMENT A supply network under control delivers value

end-to-end from sourcing and procurement such as the monitoring of outsourced production, to logistics & distribution. The use of one software solution throughout brings total transparency into the network, which forms the basis for informed decision-making to achieve a common objective. Optimize: A single data / information repository permits you to develop and assign clear workflows across different partners internal and external as well as across different geographies. Additionally this one version of

the truth approach reduces paperwork and automates low-value tasks. This high level of automation combined with exception management capabilities ensures the best usage of time and resources by concentrating efforts on critical issues only; this also helps in preventing repeated process interruptions and ultimately brings a new level of agility in responding to market changes. Control: since information is available and shared along the supply network, real-time event management is possible. The event monitoring functionality and dashboards ensure counteractive actions are taken swiftly.

Without TXTCHAIN

With TXTCHAIN

SUPPLIERS

LOW MANAGEME RKF NT O

te Sys r de Or

on ati firm on C

MANUFACTURER

SUPPLIERS

MANUFACTURER

ste m

NT MA E VE

y y y Sy

CH TXT AIN

NAGEME E E

m Syste

S S S System

COMPANY

COMPANY

Systems

STORES

LOGISTICS SERVICE PROVIDERS

STORES

LOGISTIC SERVICE PROVIDERS

NT T

System

DISTRIBUTION CENTERS

DISTRIBUTION CENTERS

Point to note
Leading companies trust TXTCHAIN: Auchan, Charles Voegele, Gerry Weber, Gucci, Hellmann, NKD, Louis Vuitton Malletier, Meyer&Meyer, Semikron, Snaidero and 800+ producers connected around the world. TXTCHAIN will enable us to move away from fragmented IT systems landscape and in doing so, to rely on a single vision of the truth. Process gaps will now belong to the past and we expect to yield greater overall SC performance from the ability to set up customized KPIs along the entire value chain claims a brand-name fashion retailer with over 800 stores around Europe.
Supplier performance measurement becomes transparent and actionable, at all levels of the network since it is based on one set of data. In summary: a tighter control on materials, operations and logistics costs and improved supplier commitment and relationship that provides alignment to your company strategy. Growth: TXTCHAIN with its deep process coverage and management capabilities will make it possible for you to optimize your supply network by moving away from the inward-looking functional structure solely based on transactions between separate entities and often with conflicting business objectives. Streamlining information and providing it to your all your partners in a consistent manner, will act as catalyst towards a common set of goals and a better response to consumer demand. TXTCHAIN helps you set your supply network transformation in motion and in doing so will make benefits from a profitable, demand-driven supply ecosystem attainable.

BUSINESS PROCESS SOLUTIONS

Supply processes managed end-toend with TXTCHAIN

From sourcing to distribution, the advanced SRM capabilities of TXTCHAIN make it possible for you to manage your supply and logistics processes while continuously reviewing progress and as such aim for continuous improvement. Either directly connected to the ERP systems or accessed via a web front-end, TXTCHAIN acts as a central repository of information for purchase and shipping orders, catalogue data, delivery notes, as well as inventory data and events reports and guarantees secure data exchange across your global business partners.

Sourcing & Negotiation

Simplify and automate your sourcing processes with TXTCHAIN. Call-for-offers are easily processed thanks to configurable templates which include negotiation rules. All suppliers involved benefit from real-time visibility on the status of their bids. Catalogue data management capabilities help you share and browse information relating to your suppliers products.

Reporting and dashboards d dashboards hb ard

Logistics & Document Management

Streamline global logistics and distribution operations by including 3rd party logistics in the workflow. With TXTCHAIN you can track goods in real-time along all the nodes of the supply network without losing sight of quality assurance, transportation, container management, inventory management and distribution. The documentation like electronic delivery notes and shipping orders related to every step in logistics can be automatically issued and exchanged in the system.

Order Placement & Production Progress Control

Collaborate with suppliers and subcontractors and monitor production progress. TXTCHAIN adapts to different levels of complexity of the procurement model in place between you and your business partners. From the simple transmission of purchase orders to raw materials suppliers to the monitoring of production progress at your subcontractors, you can also issue complex orders to horizontal manufacturing networks. In addition, TXTCHAIN enables you to build and manage articulated, non-linear production and purchasing workflows regardless of the level of complexity.

Workow Design & Management

Design and manage complex supply workflows to support both internal and external processes. Organize

Point to note
Building the relationship with your supply partners Real added value! Technology must play a supportive role to people and processes and adapt to their needs, not the contrary. Therefore, TXTs SRM software has been developed to enable fast implementation and maximize user adoption. To fit the uniqueness of your supply network best, TXTCHAIN is available both in ASP mode, accessible through the web-based user interface, and under standard licensing, directly connected to your existing system (ERP or other).

Supply hain nder ontr l Supply Chain under control Supply Chain under control ppl d

non-linear activity sequences by defining conditions that are event based and permit faster adoption of alternative solutions in case of disruptions. Target Date Calculation functionalities help you optimize your workflows to meet delivery deadlines as well as to capitalise on past experiences by archiving your workflows and review them as part of continuous improvement.

Event Management
Having a real-time overview of the actual circumstances in your supply network is now possible with TXTCHAIN. Event management capabilities enable you to concentrate on exceptions only and therefore automate lowvalue activities to free up time and resources that can in turn be dedicated to solve issues and / or perform added value activities. The immediate notification of underperforming KPIs throughout the network guarantees swift reactions.

on-time deliveries, meaning up to 50% reduction in raw material inventories and safety buffers along the SC*. One version of the truth and data centralization instead of disconnected IT systems lead to greater process ownership. Informed suppliers are keener to respond to market requirements. Process coordination and visibility lead to increased perfect orders from suppliers. Minimized bullwhip effect.

Cost reduction
The automation of non value-added tasks can free up to 2-digit percentage of personnels time. Some companies working to improve sourcing processes claim to have made significant contributions to the business by increasing their net margins. Reducing inventory buffers thanks to better coordination enables a reduction in working capital*. Better logistics planning bringing the utilization of premium transport (typically by air) to a minimum.

Performance Measurement and Reporting

Measure the performance of your supply network at any time through dashboards to track performance in the present and use reporting capabilities for decision making for the future. The current performances of supply partners, for example, are visible in the dashboards and help you take the appropriate corrective action. In addition, advanced reporting capabilities guide you through intuitive graphical representations of your actual performance vs. target KPIs, to help you make the right, medium and long term supply decisions and improve overall business performance.

Lead-time reduction & faster reactions

Real-time visibility in the supply chain enables accelerated processes and fact-based decisions. Process and logistics optimization free up time that can be dedicated for example to postponement strategies in product development. Reduction of paperwork and shorter execution time of related activities. Our customers report for example up to 80% time savings in issuing delivery notes. (* source: AMR Research Inc.)

Benets, facts & gures

Our customers see benefits with best-in-class SRM:

Improved communication and information usage

Coordinated schedules lead to improved supplier

Point to note
TXTCHAIN TXTCHAIN is part of TXTPERFORM2008, the Supply Chain Management & Performance Management suite from TXT e-solutions. By connecting supply and sourcing with product development and downstream processes such as production planning and demand management, TXTPERFORM2008 enables you to manage your supply chain end-to-end.

CDMi Collaborative Demand Management & intelligence

---------------------------------Demand Forecasting Sales Budgeting Promotion Planning Assortment Planning Replenishment Planning

PDMi Product Data Management & intelligence

--------------------------------PDM Collection Development Co-design & Collaboration

TXTPLAN Supply Chain Planning

-----------------------------Production Planning Procurement Planning Inventory Optimization Distribution Planning Optimized Advanced Replenishment Planning

Intelligence & Workflow

TXTCHAIN Supplier Relationship Management

TXTMAKE Manufacturing Planning & Scheduling

-----------------------------Order Management Operations Planning & Scheduling MES

----------------------------

Milan - Rome - Paris - Halle - Barcelona - London - New York | www.txtgroup.com/scm/uk | marketing@txtgroup.com |

COD. 10200 UK 190110

Sourcing & Negotiation Order Management Logistics & Progress Control Event Monitoring

Thanks to the integrated Supply Chain Intelligence and Workflow management framework, you will be able to determine the cause and effect and value of decisions as well as evaluate trade-offs at every step of the process. SRM is a fundamental pillar to help you evolve your Supply Chain into a Value Chain.