How a redefined target operating model accelerated the APS digital transformation of a global leader in the packaging industry

About the client

The client is a global leader in sustainable, plastic-free packaging solutions, offering a full range of paper products and recycling services. With operations in over 30 countries and more than 30,000 employees, the company generates annual revenues of €8 billion. The project focused on both the paper and packaging divisions, which oversee 12 paper mills and more than 100 packaging sites. As the company expanded, it became clear that its internal planning processes needed significant improvement to maintain operational efficiency and deliver the required service to their market.

 

The challenge

As the company expanded its operations, it needed to bring its supply chain decision making to the next level to improve performance in three key areas: service levels, inventory levels and operational costs.  

Its internal planning processes were not equipped to translate high-level sales and operations planning (S&OP) decisions into actionable operations on the ground. They needed to implement a robust Sales and Operations Execution (S&OE) process to ensure that decisions were not only made quickly, but also effectively implemented in the day-to-day operations. 

In addition to the process and organizational setup, there was no dedicated planning system in place. The client relied heavily on Excel, leading to inefficiencies, data inaccuracies, and slower response times to market demands.

 

The project

EyeOn partnered with the client to develop a comprehensive target operating model, a restructured planning process and a matching tooling solution (APS) to support the planning organization in realizing future growth. There were several key stages to the project:

  • Phase 1: Assessing supply chain maturity and defining a Target Operating Model (TOM) 
    The first step involved a readiness assessment of the client’s current planning and operational processes, including order-to-cash, plan-to-perform, and purchase-to-pay cycles. EyeOn identified gaps in these processes and developed a target operating model that included:

    • A clear blueprint for translating S&OP decisions into operational execution.
    • Capacity modeling and definition of organizational responsibilities.

 

  • Phase 2: Defining process standards and unique solution requirements
    EyeOn helped the client define improved planning processes and identify the critical and unique user requirements for a supply chain planning APS solution.
    • Definition of process flows, handovers and information flows. 
    • Development of swim lanes and RACI charts to outline roles in both current (as-is) and to be end-to-end process design.

 

  • Phase 3: RFP process and vendor evaluation
    EyeOn supported the client throughout the Request for Proposal (RFP) and vendor evaluation process:  
    • APS landscape comparison
    • Vendor demos to see the APS tools in action. After evaluating these systems, the team shortlisted the vendors that best met the client’s criteria.  
    • Detailed use cases were used to further evaluate how each system could support the client’s unique supply chain dynamics.

 

  • Phase 4: Final vendor selection and implementation roadmap
    After a thorough evaluation, the client selected an APS vendor that was proven to meet the specific needs of their industry. EyeOn then developed an implementation roadmap that outlined the steps necessary to integrate the APS and execute the new S&OE processes.

 

Results

The collaboration between the client and EyeOn resulted in significant operational and strategic improvements:

  • Target Operating Model: A well-defined S&OE operating model bridged the gap between strategic planning and day-to-day operational execution, leading to better coordination across departments. 
  • Gap analysis and process design: EyeOn identified key gaps in the client’s processes and delivered a detailed future state design, including capacity modeling and the solid interface  from their S&OP to their future S&OE process. 
  • Successful APS selection: EyeOn guided the client through an extensive RFP process to ensure they selected an APS that met their unique requirements.  
  • Implementation roadmap: EyeOn provided a clear, actionable roadmap.

 

Ready to drive sustainable value from your next Advanced Planning System implementation? 

This project was a major milestone in the customer’s digital supply chain transformation journey. By partnering with EyeOn, the company increased supply chain visibility, improved decision-making, and streamlined operations across its global network. 

As the client noted, “EyeOn’s functional design expertise, best practices, and industry knowledge were invaluable to the success of our program. Their ability to translate high-level design principles into detailed operational processes and align them across departments was critical.” 

If your organization is facing similar challenges, EyeOn can help. Get in touch with us to learn how we can accelerate your APS digital transformation through a redefined target operating model. 

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