Supply Chain: Manufacturing & Distribution

“Building the future... Today.”

By leveraging RPA, manufacturers can:

  • Reduce costs and errors from planning through distribution
  • Improve customer and vendor relationships
  • Support growth without major infrastructure investments
CoSourcing Partners » Industry Experience » Supply Chain: Manufacturing & Distribution

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Operating Cost Savings

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Increased Productivity

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Lead-Time Reduction

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Process Accuracy

Manufacturing & Distribution

Manufacturers face many challenges including growth pressures, supply chain disruptions, lack of skilled workers, inventory management, and new regulations. While physical roots are commonplace in manufacturing assembly lines, automation has not been deployed in many back-office functions. Manufacturers can deploy RPA, augmented by AI, across their organization, including:

Procurement-to-Pay

Procurement-to-Pay is a prime target for automation, especially in vendor setup, order management, accounts payable, and inquires/resolution communications. Other target processes include claims management, freight settlement, data extraction, and aggregations of reports across multiple sources.

By using RPA, it is estimated that invoice processing and vendor management costs can be reduced by up to 35% and 30% respectively. For example, one client saved over 5000 hours annually by automating BOM/BOL document processing. Another company improved operation efficiency by over 50% by deploying an intelligent bot to manage procurement from updating pricing, contracts, product information, and new vendor set up in their ERP system.

Order-To-Cash

Order management is ripe for automation with cost reduction potential of over 40%. Examples include order entry, billing, accounts receivable, aftermarket sales & warranty, and customer inquiries.

Manufactures often face challenges handling dealer orders due to seasonality of volume, catalog changes, and errors in processing. An automation can be triggered once a dealer order is received that validates the order, identifies any exceptions that need approval, notifies the responsible manager for review and approval, and enters the approved order information in the transaction system for final processing. This improves cycle time, processing costs and dealer relationships.

Operations

Operations covers many functions suitable for RPA. These include inventory management, facilities management, resources planning & processing, work order management, and data management & reporting.

Many manufacturers experience increases in expedited shipment costs because JIT inventory isn’t stocked up adequately. An unattended robot can be deployed that monitors ERP data daily on critical parts, executes required validations and calculations, notifies procurement planner as needed, and place orders to efficiently manage JIT inventory. This reduces downtime, improves accuracy, and saves on expedited freight charges.

Sales & Marketing

The demands to drive growth can be supported through RPA and its ability to quickly capture, analyze and report on the abundance of available data that brings timely insights and a real competitive advantage to any manufacturer.

For example, a bot can run daily to extract and aggregate target data from an RFP platform, intelligently combine the data with previous runs, and deliver timely and targeted information to a salesperson’s dashboard. This not only saves thousands of hours, but also provides real-time actionable intelligence that drives revenue growth.

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