Supply Chain Information Visibility (SCIV) Project

The daily part requirement for the customer for its Assembly and Component Plant is generated by its core MRP system known as MGO (Material Global Optimisation). This system runs at their world-wide 3 data centres (US, Germany and Australia) and generates part requirement and create schedules for its world-wide 90 plants.

The suppliers are currently receiving schedules only for a limited time-period data though MGO generate parts requirement 20 to 40 weeks in advance. This limits Supplier visualization for a long-term GM requirement and gives them small time frame to react for any change in schedule.

Sometimes Advanced Shipment Notices (ASN’s) sent by supplier are not properly processed at GM side because of network, technical and data problems. This creates inventory shortages at plant floor and results in emergency orders. On an average the customer is loosing $1 million per day per plant in these emergency orders processing (average loss per annum = 365 days * 90 locations * $1 million).

Suppliers have to be always on their toes to ensure their ASNs are being received on time. Also missed ASN’s are later received as surplus inventory and results in rescheduling the material same night resulting in processing cost as well as changed schedule to supplier the next day.

In Automotive e-World – COVISINT developed by the customer has emerged as e-marketplace for automobile industry where Automotive Makers and Part Suppliers can interface with common set of rules. GM found this as an opportunity to interact with its Tier-I and Tier-II suppliers in a more personalised secured environment with easy access at both ends.

Wipro deployed the EAI tool e*Gate from SeeBeyond – to send the part requirements, Supplier Schedule, details of ASNs received, receipts (5 times a day), alarms and inventory status (8 times a day). The turn around time to have the data reflected at the COVISINT system from MGO system is 15-minute.