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A fortune 500, American multinational confectionary uses...

Industry: FMCG and Consumer Goods

A Fortune 500, American multinational confectionery, food, and beverage company based in Illinois and the world’s largest snacks companies is using MDO for master data cleansing and governance. They operate in variety of confectionaries and ready to eat food items and have large holdings in the retail industry.

Business Challenges:

  • Large no. of products.
  • A challenge to define their Spare Parts by OEM suppliers.
  • No defined review process from requestors in plant.
  • A lot of issues in the current data with duplicates in various stores in their inventory.
  • This resulted in frequent write of inventory which was loss in their financials.
  • No guidelines or governance on the part criticality.
  • Spend analysis reports were not accurate as data was not reliable.

Solution Area: MDM and DIW

Materials (MRO)

  • An integrated process of managing spare parts with requestors, suppliers and a role-based governance process.
  • Streamlined the process of both individual and mass processes with defined SLA’s with more automation.
  • MDO DIW allowing to keep finding issues in current and spares used before.
  • Reports & Analytics for accurate decision-making by business teams. 
  • A strong data acquisition process (based on UNSPSC), validates against the existing spare parts for potential duplicates.

Business Benefits:

Through cleansing and standardization process, MDO removed about 6750 duplicate records out of 45000 existing records making the data free of duplicity and redundancy. This was further enhanced with MDO Governance implemented in parallel for long term sustainability. MDO standardized various MRO spare parts and other materials using nouns, modifiers and business validations creating short and long descriptions for the same.

  • Technical workers can easily identify materials at a plant or across plants for maintenance.
  • A clear visibility to the Procurement team for all the spend at the plant level for all types of spares.
  • Accurate definition of parts can help in strategic sourcing.
  • Reducing Operational Inventory Cost by eliminating possibilities of duplicates.
  • Approval for increases in stock holdings of new materials.
  • Inventory reduction for existing Materials.
  • Classification of Spares for spend analysis reports.