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Partner Execution App

IBM - Back Order Management

Gain supply chain efficiencies by minimizing Back Orders

The IBM Back Order Management application gets to the root cause of why back orders are occurring, high cycle times to fulfillment, and common problem areas across the business ecosystem, to reduce the number of backorders, increase free cash flow, and improve customer satisfaction. Backorders prove to be a major bottleneck in the supply chain and especially in specific industries like Healthcare, Pharmaceuticals, and high-value Manufacturing where the direct impact can be on human lives. It is a nice complement to identifying value within any Order to Cash and Procurement process.

This is where IBM and Celonis Combine their Strengths:

  • Improve Inventory Management.

  • Increase Free Cash Flow.

  • Improve Customer Satisfaction.

Features & Capabilities

The Inventory Management Dashboard provides Procurement Managers and Supply Chain Planners insight into the overall status of Back Orders. It enables them to:

  • Quickly determine status based on Single KPIs like #BO Lines, BO Rate, Cycle Time, Release Time
  • Gain financial value and demand cycle insights by drilling down into BO lines and Value over a specified time range
  • Better plan inventory by using detailed BO analysis based on different dimensions (e.g., by branch plant, item, customer type)

The Free Cash Flow Manager view provides:

  • Insight into the FInancial impact of Back Orders using KPIs like BO Value($), % BO Released, Released Value($), % BO Cancelled, Cancelled Value($)
  • The ability to deep dive based on released and cancelled BO lines and Value over specified time ranges to determine Financial impact trends and where improvements may be needed
  • Increase free cash flow with better planning using Detailed BO Released / Cancelled value analysis based on different dimensions (e.g., by branch plant, item, customer type)”

The Back Order Process Explorer is key to continuous process improvement and transformation by:

  • Mapping the activities and process flow in handling backorders to determine where additional steps are required leading to long cycle times.
  • Providing analysis options based on different dimensions to help address critical item backorders.

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