Huntsman Performance Products

Huntsman’s Performance Products Division is an American multinational manufacturer and marketer of chemical products for consumers and industrial customers. They bring together innovation and world-leading process technologies to produce more than 2,000 components used to formulate products that enhance people’s lives. The company operates manufacturing facilities worldwide serving a wide range of chemical industries including energy, additives, agriculture, cleaning and processing chemicals.

CHALLENGES

• Lack of end-to-end supply chain integration across processes, key functions and geographies
• Supply and production strategies and master data not aligned
• Very low SAP utilization and knowledge of system best practices
• Planning outside of SAP in multiple disconnected tools
• Frustrated employees and excessive manual work being done
• Lack of trust in the system leading to ineffective use of MRP generated production planned orders and purchasing requisitions
• Delayed and inaccurate data recording
• Multiple points of promise and unclear escalation and prioritization processes
• Lack of reliability in meeting customer demand
• Slow and inaccurate promises to customer queries

SOLUTIONS

• Global, cross-functional education program for the core transactional supply chain roles on existing SAP functionality, reports and tools
• Established ownership and accountability for master data management and optimization
• Established supply chain end-to-end planning inside of SAP, integrating core processes across the organization
• Implemented Process Aligned Teams across the business to manage daily business challenges inside of SAP
• Supply chain transformation utilizing Reveal’s oVo® methodology‍
• Established Supply Chain Planning Hubs to manage product families on a worldwide basis, forming a single point of promise to balance all demand and supply needs

BENEFITS

• More than 7% reduction in average inventories
• 46% reduction in exception messages
• 60% reduction in overdue demand and supply chain elements
• An integrated business utilizing one system of record – SAP
• Supply Chain Hubs providing “a single point of promise” to meet customer demands
• Increased data accuracy, process efficiencies and user confidence leading to better decision making
• Improved capacity and material availability accuracy
• Demand-driven planning via MRP requirements
• Increased analytics capability and visibility across the supply chain
• Educated and empowered users and management team