Global Logistics and Supply Chain Strategies - July 2008 - (Page 40)

100 GREAT SUPPLY CHAIN PARTNERS depot and can inform the customer when a technician will be dispatched. Using the Servigistics software as the engine, Blaz’s team has developed a service availability tool to determine if new sites for additional depots or technical support are needed. Juniper knows immediately if a new customer with multiple locations can be supported with the existing depot network and technician coverage. The Servigistics system knows the location of the depots, the field engineers and all the parts, as well as the service requirements for each customer. “The system tells us if we have adequate service available for the customers in that region or if we need more depots,” says Blaz. “We are always pushing the limits of the system, and it is working out for us.” When Servigistics was first implemented, Blaz compared the results from the old spreadsheet process with reports from the new Servigistics software. He was immediately able to identify depots that had too much or two little inventory. “We reallocated parts inventory based on utilization, demand planning and expected failure rates,” says Blaz. “Rather than manufacture new parts where we were light, we could just redistribute our current inventory. That was a big and immediate gain.” This redistribution saved Juniper $3.5m within a few months of implementation and another million dollars six months later. Blaz says other immediate benefits include better asset utilization, better timeliness and better customer service overall. “The service parts operation run through the Servigistics software has made a huge difference in being able to provide on-time delivery and meeting our SLA,” says Blaz, who adds that there are ongoing savings as well, but they are harder to measure. “We are now making and deploying the parts correctly and avoiding buying parts we don’t need. We don’t really track those savings at this point because Servigistics has given us an entirely new way of operating.” Other measurable benefits include: • reduced operating expenses 13 percent by reallocating spares • 15 percent increase in material availability • 27 percent improvement in on-time delivery across all service levels • 40 percent reduction in customer dissatisfaction • 10 percent increase in customer satisfaction. By choosing the Servigistics solution, Juniper is now achieving its commitment to improving its already high level of customer service and delivering on the commitment it’s made to customers in a cost-efficient manner. “We have always maintained an intense focus on serving our customers to ensure that they derive strategic business value from their networks,” says Blaz. “With the Servigistics solution, we are better equipped to insure that when our customers require assistance, Juniper Networks will be prepared and able to deliver the right service, in the right place, in a highly responsive manner.” Resource Link Servigistics, www.servigistics.com 40 JULY 2008 http://www.transgroup.com http://www.transgroup.com http://www.servigistics.com

Table of Contents Feed for the Digital Edition of Global Logistics and Supply Chain Strategies - July 2008

Global Logistics and Supply Chain Strategies - July 2008 Contents Editorial GL&SCS Exclusive Fastforward Up Front Introduction Menlo Worldwide & Electrolux PathGuide Technologies & Tile City Servigistics & Juniper Networks Transplace & Rock-Tenn ClearOrbit & Blue Bell Creameries Cadec Global & Northwest Food Products Transportation CaseStack & Greystar Products NGC & Parigi Group Supply Chain Consultants & Constar TransGroup Worldwide & Surgiquip Terra Technology & Campbell Soup Baxter Planning Systems & SGI Cadre Technologies & Kansas City SmartPort TransportGistics & FMC Technologies DSC Logistics & Tree of Life FORTE & Vera Bradley Penske Logistics & Eaton Cardinal Logistics & Weyerhaeuser JPMorgan & Black & Decker Opinion Opinion Industry Voices

Global Logistics and Supply Chain Strategies - July 2008

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