Controlling the Flow

Philips Components implements capable-to-promise capabilities

Burlingame, CA  May 23, 2002  Softchain Inc., a provider of software to control the flow of materials across extended manufacturing supply chains, has completed the deployment of its supply chain software at Philips Components.

According to Softchain, Philips' will use the software to endorse supply plans online, enabling logistics and customer service personnel to commit to fulfilling orders, even though the business unit carries no inventory. Softchain said this capability, called supplier-endorsed capable-to-promise (CTP), enables companies with outsourced supply chains to improve service levels and reduce manufacturing costs.

Additionally, the software will allow the company to share supply chain information, such as product forecasts, lead times, inventory and capacities, in real time with its contract manufacturers and suppliers.

Softchain said Philips also chose its software because of the fast implementation time. Following a successful initial phase, offering supplier collaboration functionality, Softchain was able to provide Philips with CTP capabilities that were fully integrated with its existing SAP R/3 order management implementation in only 60 days.

According to Ian Wakefield, director of connectivity group operations, Philips Components, "our Softchain implementation lets us instantly communicate new signals to all of our supply chain partners so that they can respond more quickly to changes in the marketplace."

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