Petrochemical

Global leader in energy selects Aera Decision Cloud™ to improve supply chain visibility and improve shipping performance

One of the world’s largest publicly traded energy providers and chemical manufacturers, the company markets fuels, lubricants, and chemicals, besides developing and applying next-generation technologies to help safely and responsibly meet the world’s growing needs for energy and high-quality chemical products.

Business Need

Need for real-time visibility across the entire supply chain that was largely managed by third parties to improve shipping performance.

Results

  • Increased on-time delivery and customer satisfaction
  • Logistics and data network optimization
  • Better execution tracking vs. planned
  • Better communication with third-party partners

The Challenges

With worldwide demand for chemicals expected to rise by 45% by the end of the decade and the rise of living standards driving demand for consumer goods and packaging which require chemicals, the need for greater visibility into the supply chain was crucial.

The company was facing the issue of traditional IT solutions only operating with batch updates instead of real-time data, having required data yet to be digitized, and data that were still siloed with poor communication between groups.

Further, much of the company’s supply chain was out of its direct control and needed real-time integration through new technology and new process for efficient and effective coordination.

The Solution

Aera Decision Cloud — Aera Proactive Shipping Management Skill
Aera Crawlers — SAP ECC, TMS, and flat files

The company adopted the Aera Decision Cloud™ and implemented the Outbound Operations Management Skill, which offered a workbench to track non-conformance in shipping in an exception dashboard and be able to execute corrections.

The company was able to harmonize data from order to delivery on the platform and incorporate actual and planned data from third-party partners, while leveraging historical data to train algorithm recommendations and creating risk categories to prioritize and drive proactive communications when shipments were delayed.

Finally, it also redesigned its shipping process to account for issues that were causing visibility gaps and offline, ad-hoc communication with partners utilizing champions and a cross-functional community to iterate improvement.

“Our transportation specialist sees only the critical cases which are getting highlighted, so they don't spend time to search for issues, but they have them displayed based on the predefined logic comparing plan versus actual performance, driving proactive communication towards our customers.”

-Logistics Distribution Process Advisor

Results

With improved visibility, the company was able to monitor shipments from order entry to transportation planning, tendering, and shipment creation, over to slot booking, actual loading, and the delivery of the goods to the customer. The decision trees implemented are driving the overall status and performance against the initial plan, identifying critical cases to be managed.

Moving forward, it is looking to expand the capabilities in the Aera Outbound Operations Management Skill through an expansion of the source data used to drive predictions and recommendations by incorporating real-time truck visibility data. Additionally, the company is also looking at opportunities that improve and optimize supply chain performance across process areas for specific business lines in particular regions.