SAP Integrated Business Planning for Supply Chain is a cloud-based solution powered by SAP HANA that enables organizations to meet future demand profitably and achieve a lean supply chain management by leveraging supply chain analytics, what-if simulations, and alerts, among many others.
Australia’s Nuclear Science and Technology Organization (ANSTO), the country’s national nuclear research and development organization, has successfully rolled out SAP Integrated Business Planning for Supply Chain (SAP IBP), resulting in the organization’s achievement of a lean supply chain management and a $1 million projected savings within the first six months. ANSTO embarked on the supply chain modernization journey in December 2021 driven by the need to provide its teams nationwide real-time access to data-based insights for enhanced decision-making capabilities critical to patients care.
Sharing about the latest digital transformation partnership with ANSTO, Damien Bueno, President and Managing Director, SAP Australia and New Zealand, said:
“ANSTO has an incredibly complex supply chain, with multiple reciprocal agreements and over a thousand products – many with differing radioactive lifespans – to consider. By implementing SAP IBP, ANSTO now has access to reliable and real-time data that enables better decision making so that its customers can receive timely medical diagnoses and treatment.”
SAP IBP Driving Lean Supply Chain Management
The SAP IBP solution enables companies to synchronize multiple key supply chain processes such as sales and operations planning (S&OP), forecasting and demand, response and supply, demand-driven replenishment, and inventory planning to ensure a lean supply chain that is capable to withstand disruptions while ensuring business continuity. The platform features advanced machine learning algorithms and planning capabilities and can integrate with SAP Supply Chain Control Tower and other solutions.
In the latest SAP IBP implementation by ANSTO, the government organization was able to realize in a short six-months time significant benefits from its supply chain management system digitalization. The solution offered ANSTO better visibility by formalizing and systematizing its rolling 24 months forecast, deepening the organization’s capacity to supply radiopharmaceuticals even during shutdown periods, peak production periods, and maintenance times. Furthermore, this capability demonstrates that ANSTO remains to be a reliable and transparent partner of both customers and the government.
“As a statutory body of The Australian Government, data integrity, transparency and governance are critical to ANSTO. By improving visibility and confidence in our data, SAP IBP provides a reliable single source of truth for our 24 months rolling forecast,” commented Fernando Collazo, Senior Manager, Integrated Business Management (IBP), ANSTO. “This will help us to transform our organization, plan for the future and deliver savings to the taxpayer, while also boosting customer satisfaction, and enabling more Australians access to nuclear medicine.”
He further explained that having a reliable source of data in a timely manner reduces the need to validate data and enhances the right decision-making. Collazo said that the man-hours spent on manual data entry and cross-checking can now be utilized in more critical tasks such as nuclear research or delivering life-saving medical diagnostics and treatments.
Leveraging SAP IBP, ANSTO was able to achieve the following:
- Over $ 1 million in projected savings as a result of product allocation and import scheduling improvements
- A 25% reduction in rough cut planning time
- Identified a $500,000 opportunity to increase sales revenue
- Increased NPS score
- Capacity to enhance management of multiple reciprocal agreements to supply radiopharmaceuticals
- Enhanced accuracy in planning the distribution of nuclear reactions and products with a radioactive half-life, which is especially crucial for patients in regional areas who need to travel long distances for medical treatment
- Provide realistic forecasting and reliable plans to help patients access ANSTO’s range of 1,215 products
- Reinforces a culture of discipline to follow the new supply chain management process
ANSTO has slated to commence a SAP S/4HANA upgrade in 2024 following the successful deployment of SAP IBP.
