Australian fertiliser giant Wesfarmers CSBP has become the latest company to choose Agilisys`s Advanced Planning solution to reduce inventory levels while improving product availability levels for customers.
Wesfarmers contracted Infinity Solutions, the Agilisys partner in Australia and New Zealand, to implement Advanced Planning. The company will deliver Agilisys`s supply chain planning and optimisation solutions across the fertiliser business, which sells a million tonnes of manufactured and imported finished product annually.
"For us, procurement decision-making is a challenge as availability and patterns of shipping, plus exchange rate fluctuations and storage capacity constraints all need to be taken in consideration in the supply chain model," says Ian Jones, demand manager at Wesfarmers CSBP. "We therefore chose Agilisys Advanced Planning. Apart from the strong functional fit to our bulk materials process environment, we also chose Agilisys for the ability to optimise based on multiple business constraints like production capacity and limits in product demand."
Initially Infinity Solutions will implement the Agilisys solution at the Fertilizers business unit to develop constrained sales, production, procurement, distribution and storage plans.
Agilisys`s "what-if simulation" tool enables companies to analyse various scenarios before plans are finalised. For example, companies can minimise the total of production, storage and distribution costs, while factoring in criteria such as service levels and production capacity. Wesfarmers will also take advantage of what-if simulation as it will help management make better decisions based on robust analysis.
Typical for Wesfarmers in the fertiliser industry is a highly seasonal agricultural market with a volatile demand pattern. In addition to this, lead times for raw material supplies are long, with between three and five months time between order and receipt.
"Wesfarmers CSBP will gain measurable competitive advantage through streamlining their supply chain operations with this initiative," says Mike Spragg, alliance manager at Agilisys. "We look forward to working with Wesfarmers and Infinity Solutions to help them reach their goals of inventory through our Advanced Planning solution."
Agilisys is represented in SA by ApplyIT. "Agilisys`s success at Wesfarmers underscores the importance of supply chain excellence in large, complex process manufacturers," says Gavin Halse, MD of ApplyIT. "Agilisys is the only complete, end-to-end business solution focused exclusively on the complexities of the food, beverage, chemical, pharmaceutical, biotechnology and related process industries, making it ideal for organisations as demanding as Wesfarmers."
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