Canon improves supply chain accuracy through ERP

Canon’s consumer division in Europe has improved the accuracy of supply chain planning by 20% after it extended its Oracle ERP system.

Canon’s consumer division in Europe has improved the accuracy of supply chain planning by 20% after it extended its Oracle ERP system.

Canon Europe’s Consumer Imaging Business (CCI) has deployed Oracle’s supply chain planning applications in an effort to improve forecasting, product allocation, order promising and supply chain planning operations across its headquarters, 17 countries and 13 warehouses.

Prior to the Oracle implementation, CCI relied on legacy systems and spreadsheets for planning, which was a time consuming process that was difficult to manage.

To improve and integrate forecasting and planning, CCI added to its existing Oracle applications by rolling out Oracle Advanced Supply Chain Planning, Oracle Demand Planning and Oracle Global Order Promising.

With these investments, CCI has created supply chain plans that combine long-range aggregate forecasts and short-term scheduling, ensuring products are available when needed. The system has optimised sales, reduced inventory, increased customer satisfaction and improved forecast accuracy by over 20%, CCI said

Erik Moses, CCI’s advanced planning and scheduling programme manager, said that the implementations had enabled the firm “to significantly reduce the number of ‘fires’ that require our attention.

“Relying on Oracle, we also have a supply chain foundation in place that will promote future innovation.”

Integration between Oracle Demand Planning and the other Oracle Advanced Planning applications has also allowed CCI to optimise current inventory and future supply. As a result, CCI can identify the root cause of supply problems and initiate a timely response. 

The company has also been able to reduce inventory levels of some components by more than 10% per year.

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