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Demand-driven digital supply chains

Accenture and SAP collaborate to deliver predictive material requirements planning capabilities, providing more supply chain flexibility to respond to disruptions or new customer requests.

Digitization will allow supply chains to become predictive and proactive
Digitization will allow supply chains to become predictive and proactive

Manufacturers are trying to transform the insides of their organizations through digitization in an effort to become predictive and proactive. But the need for digital flexibility extends beyond the four walls of the factory floor and enterprise and into the external supply chain. Supply chains, after all, need to be responsive to disruptions in the form of weather, economic crises and even changing consumer demands.

“Because today’s consumers expect short lead times and higher flexibility when ordering products, it’s time for product companies to change the status quo,” said Eric Schaeffer, senior managing director and head of Accenture’s Industrial practice.

In response to the new needs of manufacturers in consumer packaged goods (CPGs), automotive, industrial machinery and other industry segments, Accenture and SAP this week announced plans to co-innovate, codevelop and jointly go to market with a collaborative offering that will provide predictive material requirements planning (MRP) capabilities. The technology will expand the capabilities of SAP’s S/4HANA in-memory enterprise resource planning (ERP) software, augmenting the suite’s demand-driven MRP planning to help organizations run more flexible, live supply chains.

The goal is to provide fast and simple MRP simulations that support analyses and forecasts, including capacity issues, component demands for negotiations with suppliers, engineering changes, and evaluation of the impact of demand changes or supply disruptions. Accenture’s team of experts will provide best practices, business case analysis and deployment support capabilities to accelerate customer adoption of SAP’s S/4HANA Demand-Driven MRP (DDMRP).

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