The information flows, primarily based on Dynamics EDI or Dynamics B2B transactions, to support today’s global Dynamics Supply Chain are growing in volume year-on-year. In today supply chains move millions of millions shipments around the world each year, but just think for a second about the information required to ensure these shipments get from A to B safely and on time.
Monitoring the hour by hour, day by day, or minute by minute pulse of a supply chain could potentially bring significant operational and business benefits to a company.
From a supply chain point of view every companies are looking for answers to questions such as:
- Who are my top most suppliers and how many Dynamics B2B transactions I have exchanged with them?
- Who are my top and bottom performing suppliers based on specific key performance indicators such as accurate shipments, complete orders, on-time deliveries and processing of payments?
- For which suppliers or customers has the payment or order volume increased or decreased by more than 30% over the last 12 months?
- Which of my customers sent me the orders during the end of year holiday period and which ones sent many changes?
Big Data Analytics
Now what if you apply Big Data analytics to Dynamics supply chain operations in order to obtain deeper insights into how your digital information flows are supporting your physical shipment flows around the world?
According to many leading analysts, Analytics and Business Intelligence are the most important focus areas for the CIO. Big Data analytics has been around for a few years now, really emerging with mobile and cloud based technologies, but it is only over the last two years that the companies have started to embrace Big Data across the enterprise.
Dynamics EDI in Dynamics Supply Chain Analytics
There are so many Dynamics EDI document standards supporting today’s global supply chains, with Dynamics ANSI format and Microsoft Dynamics EDIFACT formats being the most prevalent. But if you have the Dynamics EDI document level there are really just two types of information that are useful from a Dynamics supply chain analytics point of view. Initially, operational-based information and secondly, business specific information, so what does this information actually look like?
Operational information could be considered as the type of documents that flows between trading partners across a Dynamics supply chain, so this would include Invoices, Purchase Orders, Advanced Ship Notices (ASNs) and Order Acknowledgements.
Applying analytics, let’s we call it as operational in nature, could help to determine the top trading partners that a company deals with on an annual basis and also provide insights into the most popular document types and for being exchanged.
Business information should be considered as the data from within each document type. So for instance, an ASN, it would contain information such as shipment details, delivery address, quantity, sender details etc.
Applying analytics in this case for a business, could generally help your business to determine ASN timeliness, Invoice Accuracy, Price Variance, and so on. If there are any errors or exceptions then the business can take corrective action and resolve any problems much sooner.
Two use cases for Dynamics Supply Chain Analytics
- The retail industry is highly seasonal and consumer driven in nature which introduces significant fluctuations in the procurement process and it is able to monitor the volume of documents by type across a business network can potentially provide the retailers with some interesting indirect insights into consumer demand in different markets around the world.
- In the automotive industry, ‘ASN Timeliness’ is the most important variables measured to ensure that Just-in-Time production lines are running smoothly as expected.
Applying analytics across trading partner information flowing across a business network could be:
- A complete 360 degree view provided for Dynamics supply chain activities
- Offering deeper insights into trading based Dynamics B2B transactions partner activities
- Allow more informed business decisions to be made
The PMI (Purchasers Managers Index) will measure the eight key metrics for each month, for example the number of new orders, stock levels, production output and changes in employment levels.
A PMI (Purchasers Managers Index) number above 50 signifies a country that is in growth and a number below 50 signifies contraction.
Understanding the business volatility of the supply chain, Locus IT has helped many companies to adopt Microsoft Dynamics supply chain analytics and we provide operational, business, customer and community-related insights to supply chain operations. We provide Dynamics Supplychain training, Dynamics Supplychain support, Dynamics Supplychain implementation and much more. For more information please contact us we’ll be happy to consult with you.