Best Practices in Hp Supply Chain Visibility-Chris Kanning

Best Practices in HP's Supply Chain Visibility

Chris Kanning Director, Supply Chain Collaboration Solutions Global Operations Supply Chain

© 2005 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice

Content

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HP Today HP’s Supply Chain HP’s Supply Chain Visibility Examples Discussion

HP today

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Fortune 11 company, with $89 billion annual run rate $7 billion in organic growth in FY05 #1 or #2 in virtually every market, customer segment and region >21,000 patents, 650 products introduced last year Growing profits in every business with better balance $15 billion in cash, generating $8 billion in cash from operations annually

HP Supply Chain

HP Supply Chain

A fast, flexible, cost-efficient link between our product portfolio & our customers

Broadest portfolio of IT products/ services in the world Broadest customer base in the technology industry

World’s Largest IT Supply Chain ($51B)

• • • • 32 manufacturing plants 88 distribution hubs 700 suppliers 119 logistic partners

• >650 intro 2004 • 200,000 SKUs • 25,000 patents

• 1 billion customers • 178 countries • Direct & indirect

Supply Chain Strategy Overview

Demand Shaping

Functional Supply Chain Excellence

Order Fulfillment Logistics Planning Manufacturing Procurement

Design for Supply Chain

No-Touch Low-Touch Configure-To-Order High-Value Solutions Service Design/R&D

Direct

Customer

Consumer SMB Public Sector Enterprise

Indirect

Supply Chain Visibility

Visibility solutions

CM or ODM Tier 2 Supplier

HP Regional DC or Factories Direct/Indirect Customer Site

Tier 1 Suppliers

3PL Hub

Benefits to HP: • Reduced inventory-related costs • Improved material availability; improved Total Customer Experience (TCE)

Collaboration Matrix / Solution Strategy

optimized execution automated execution what if simulation near real time event mgmt operational reporting...