ELLESMERE PORT, England - A new web-based management tool
will significantly increase the efficiency of one of the automotive industry's most
sophisticated logistics operations. The new system, thought to be the first of its type,
is being piloted by Delphi Automotive Systems, the world's largest supplier of automotive
technologies, at its Ellesmere Port SILS (Supply In Line Sequence) Center in Ellesmere
Port, UK.
The Ellesmere Port
SILS Center schedules deliveries from 73 suppliers around Europe. The operation is exceptionally lean, with just
three to four hours of stock for some product lines.
Because components and modules are supplied to the adjacent Vauxhall car
plant in the correct sequence for vehicle-build within a time window of just one to three
hours, outages can not be permitted.
"Our
traditional systems use telephone, fax and EDI messages to schedule and confirm deliveries
from each supplier," says Stan Chadwick, manager of Delphi's Ellesmere Port SILS
Center. "It works very well, but is
resource intensive. EDI in particular has
proved to be complicated and expensive and its uptake amongst our suppliers has been
understandably poor."
The new system,
developed in partnership with EDS, holds the scheduling information on a Web server. Every supplier reads and updates relevant fields
in real-time using a conventional Web browser, receiving order information from Delphi and
confirming quantities and timings for dispatch. Delphi can confirm acceptance within
minutes and immediately respond to any shortages. An
appropriately sized vehicle can then be scheduled by Delphi's Ellesmere Port logistics
supplier P&O GBE, generating further savings.
"The benefits
are numerous," enthuses Chadwick. "The
new system focuses our attention on the exceptions, rather than on confirming every
transaction, which may eventually save up to 20 man days a month. It increases accountability, we have
transportation savings on 30-40 vehicles a day, better quality data, and all at
significantly reduced cost to both ourselves and our suppliers."
Trials of the
system have been so successful that it will be rolled out to all suppliers to Delphi's
Ellesmere Port SILS Center by the end of the year. The full system will also be evaluated
for use at other Delphi manufacturing sites around the world.
(June 29,
2000) |