Digital management and integrated planning – supplying building sites in the future Barkawi impact story special: Maximum service level and optimum inventory thanks to an innovative S&OP forecasting and supply concept

Barkawi Management Consultants Munich • Atlanta • Dubai • Riyadh • Shanghai • Shenzhen • Vienna The client which often leads to the Group‘s inventory-optimi- zation objectives losing priority. Doka recognized Doka is one of the world‘s leading companies in this and together with Barkawi conducted an exten- the field of developing, and selling sive analysis of its supply chain to generate trans- formwork. With more than 160 parency about how it predicts, plans and makes sales and logistics venues in over 70 countries, Doka inventories available, in order to optimize its Group has a strong sales network. It is a member logistics performance and reduce the costs involved. of Umdasch Group, employs more than 6,200 staff around the world and generates around a million Unique concept in the construction industry euros in sales. Doka‘s growth rates have been particularly high in recent years, and its focus lies Barkawi helps with an innovative concept: on continuously increasing its international market shares. An optimized warehouse network (distribution centers) enables vastly Availability is key on the building site improved supply and fast delivery times for urgent customer requests. The construction industry is characterized by seasonality and quick decisions. Property develo- The sales planned by the Sales department are de- pers and construction companies often don‘t order termined in monthly Sales & Operations Planning goods until they run out of them on the building Meetings (S&OP) and compared with the site. This can lead to changes in the construction production capacities. This enables changes in sales schedule, and so suppliers like Doka are expected expectations and bottlenecks in production and at to be able to deliver on call. But the inventories suppliers to be predicted and proactively countered that have to be kept in order to make this possible using standardized reports and KPIs. An S&OP plan extend the cash-to-cash cycle and affect the resolved by the top management thus leads to working capital. This effect is further heightened massive reductions in inventory reserves and the best by regionally held responsibility for the inventories, possible utilization of production capacities. The plan is then managed and monitored on a daily A paradigm shift is now taking place within the com- basis using the supply chain management tool pany: the regional sales units still do the planning, ‘Control Tower‘. When fed with data, the Control but the supply is managed centrally. Tower enables different scenarios to be simulated, the communication of involved partners to be Change-management consulting by Barkawi makes improved, visibility of the entire supply chain to be a valuable contribution here, as sensitive parts of ensured and service levels to be raised. This makes the enterprise are going through change. Doka the leader in digital supply chain management.

Relationships between forecasting, execution and management in the Doka Control Tower

Consolidated E A Overall net Supply 19 20 1 18 2 forecast 17 3 requirement D 16 4 Supplier 15 S&OP 5 Supplier 14 6 Production 13 7 12 8 B sites 11 10 9 C Production supplies Orders Replenish- ment distribution center Production plan based Region CONTROL TOWER on forecast and orders (comprehensive management) DC Distribution center (DC) supplies branches Forecast Orders Replenish- ment Optimized inventories Returns Customer collaboration Branches supply and integration customers Customer Deliveries Branch Fast-movers Successful projects thanks to The benefit to the customer implementation support

A highly reliable partner, Barkawi was able to ensure lasting project success – also of the software imple- Implementing the supply chain transformation mentation. program World Class Logistics Network (WLN) is one of Doka‘s strategic mainstays. The key process improvements: With its supply chain expertise and professio-  Rapid decisions thanks to alerts and simulations nal project and change management, Barkawi  Comprehensive planning process in one system made a major contribution to the success of the program, with analysis, concept design  Same processes and KPIs for monitoring the supply chain and in particular implementation.  Service level agreements between Sales and Production

The top supply chain KPIs were improved signifi- Ludwig Pekarek cantly and lastingly: Doka GmbH executive management +20% +15% +19% -25%

Dr. Andreas Ludwig Spokesman of the Forecast Service level Production Inventories management board at precision (on time flexibility Umdasch Group AG in full) Ihre brilliante Performance ist unser Anliegen!

Your contacts References

Andreas Tengler, Managing Partner Österreich [email protected] Phone: +43 1 5121598 - 0

Andreas Tengler has been in charge of Barkawi‘s Austrian office in Vienna since 2012. Prior to that he was Managing Partner at an Austrian restructuring com- pany. From 2002 to 2005, Andreas Tengler was responsible as VP for Finance and Controlling for the integration of five paper factories belonging to the Bauern- feind Group, into Mondi Packaging. Mr. Tengler studied economics in , USA and England.

Gregor Gluttig, Senior Manager [email protected] Phone: +43 1 5121598 - 0

Gregor Gluttig is responsible for the Supply Chain Management unit in . Before hiring on at Barkawi in 2014, he held executive positions in a logistics consultancy and in the food retail sector. Gregor Gluttig studied industrial engineering, graduating with the degree ‘Diplom-Ingenieur im Wirtschaft- singenieurwesen‘, and he lectures part-time at Austrian universities.

Barkawi Management Consultants www.barkawi.com Barkawi Management Consultants is an international management consultancy specializing in supply chain management and after sales services. It was founded in 1994 and today employs more than 200 staff at venues in Munich (head office), Vienna, Riyadh, Dubai, Shenzhen, Shanghai and Atlanta. Barkawi‘s consulting clients include global enterprises with logistically complex business models, such as BSH Hausgeräte, Daimler, DB Schenker, Porsche, Samsung, to name just a few.

Excellence in supply chain management Awards and distinctions

Barkawi‘s strict focus on supply chain topics leads to In the eyes of many companies, this combina- outstanding and sustainable results in projects with tion of expertise, strategic consulting and taking on specific challenges. Our principles of ‘rolling up our responsibility for the operational realization sets sleeves and taking action‘ and ‘not making any de- Barkawi apart from its competition. Barkawi repe- cisions without well-founded figures and analyses‘ atedly achieves top rankings in the major consul- characterize our work. Because numbers, data and tancy evaluations in Germany. Barkawi has gained facts give us and our clients the certainty we need many distinctions, for instance as ‘Hidden Cham- to make the right decisions! pions of the Consulting Market‘ and as the No. 1 in Supply Chain Consulting in the Best of Consulting Based on sound data and a profound understanding competition run by the weekly business magazine of our clients‘ operational situation and business ‘WirtschaftsWoche‘. The business magazine ‘brand processes, we develop new concepts and strategies, eins‘ counts Barkawi among Germany‘s best consul- optimize processes and organization and then im- tancies – in the field of supply chain management plement these changes. Because only with actual Barkawi won with a huge lead over the big names in implementation can solutions reap results, and the industry! that is a another big USP of Barkawi Management Consultants: we combine consulting with true Barkawi Management Consultants GmbH operational responsibility! Seilerstätte 11/13 1010 Vienna Austria [email protected] Phone: +43 1 5121598-0

Barkawi Management Consultants www.barkawi.com