PeopleSoft will unveil three major components to its EnterpriseOne supplier relationship management suite at the National Manufacturing Week 2004 Conference in Chicago this week.
PeopleSoft will introduce this week two portal-based components to its SRM suite allowing manufacturers to "pull" materials from suppliers rather than having materials pushed out to them on the basis of long-term contracts and forecasts, according to Carol Ptak, vice-president, manufacturing and distribution industries.
"Instead of focusing on inventory as an asset, now the focus of a manufacturing plant is to have a minimum amount of inventory in your plant or with suppliers and yet respond quickly to consumer demand," Ptak said.
To keep procurement lean, the supplier self-service portal will include supplier schedule sharing and enhanced supplier collaboration to give suppliers the same visibility and information as the manufacturer.
A second portal, called the buyer workspace, will include tracking of purchase orders and receipts online in real time, alerts for exception management of inventory issues and supplier performance metrics.
"Because the solution also allows the supplier to see how they are measured by their customer, they can set their own alerts," Ptak said.
According to Navi Radjou, vice-president, enterprise applications at Forrester Research, PeopleSoft is trying to overturn the assumption made by manufacturers that best-of-breed suppliers have better and more advanced capabilities than ERP suppliers by matching best-of-breed capabilities.
“PeopleSoft wants to help users revisit that assumption by giving them advanced software capabilities that they acquired from JD Edwards and advanced manufacturing concepts by offering them ‘manufacturing process best-practices’ with partner JCIT International,” Radjou said.
PeopleSoft will also introduce order promising for configurable products and advanced forecast modelling as part of its supply chain management planning suite.
The order promising component will allow manufacturers to build to customer order by looking at the available components, capacity and supplier availability, said Ptak.
All PeopleSoft products, PeopleSoft EnterpriseOne and World products will also now support RFID data.
All components are expected to ship by the third quarter.
Ephraim Schwartz writes for InfoWorld