2.0 Business Process

Capture the business process that the application supports . This can be describe through a process diagram or a business capability model

xx

3.0 Application Feature Overview

Information about the existent Workbooks and the respective BW queries.

3.1. Background

This is one of the main KPI that all GBUs want to follow nowadays. It's also very tricky because there is a multitude of way to calculate it.

In this dashboard we highlight 6 indicators: 3 for Customer delivered and 3 for Departure plant.

The calculation is and remains the same for all the indicators and the tolerances days are now standardized by Transport Mode only for all GBUs.

OTIF is broken down in two different elements:

• On Time (an order is considered to be delivered on time when it is delivered at the right time)
• In Full (an order is considered in full when it is delivered with the right quantity).

At Solvay today, we have 6 different standard definitions for OTIF that are calculated based on data directly from SAP, and that evaluate our performance on those two components:

• OTIF Customer Delivered - Evaluates customer satisfaction, and its result can be impacted by both internal and external factors
  • OTIF Customer Delivered Requested: compares actual delivery vs customer request
  • OTIF Customer Delivered 1st Confirmed: compares actual delivery vs our 1st ATP confirmation
  • OTIF Customer Delivered Last Confirmed: compares actual delivery vs our last ATP confirmation

• OTIF Departure Plant - Evaluates our ability to deliver according to customer requirements, and its result is only impacted by internal reasons
  • OTIF Departure Plant Requested: compares readiness of the goods vs customer request
  • OTIF Departure Plant 1st Confirmed: compares readiness of the goods vs our 1st ATP confirmation
  • OTIF Departure Plant Last Confirmed: compares readiness of the goods vs our last ATP confirmation"

Granularity:  Order Lines

Available metrics:

1. % OTIF Customer delivered - Requested , 1^st Confirmed  &  Last Confirmed dates
2. % OTIF Departure plant - Requested , 1^st Confirmed  &  Last Confirmed dates
3. Number of OTIF Order Lines
4. Number of NON-OTIF Order Lines
5. Number of OTIF Order Lines with a Redress code from NON OTIF to OTIF
6. Number of OTIF Order Lines with a Redress code from OTIF to NON OTIF
7. Number of OTIF Order Lines with an Actual Delivery date
8. Visibility of redress codes
9. Detail about NON-OTIF order lines and the reason codes behind

Classification:

• OTIF & NON OTIF

• NON OTIF includes NOT ON TIME / NOT IN FULL / NOT ON TIME & NOT IN FULL

OTIF-Customer (Delivered) :

This KPI measures our capacity to deliver our customers at destination at the right time, with the right quantity. It evaluates Customer satisfaction.

The result of this KPI can be both related to internal and external factors.

OTIF-Departure Plant:

This KPI measures our capacity to make the products available at departure location at the right time, with the right quantity. It evaluates our ability to deliver according to customer requirements. The result of this KPI is only related to internal reasons (eg: product not available)

Exception: if the carrier is 2 days late, the actual Good Issue Date will also be delayed even if the product is available.

New reference date to distribute the orderlines: the OTIF reference month (no change in the calculation)

This field is recalculated on a daily basis on the following criteria:

• If quantity is confirmed but not yet issued (no Actual GI date) AND First ATP GI < current day --> First ATP GI date month

• If already issued (Actual GI date available) → earliest date between Actual GI date and First ATP GI date

As a consequence, you are now also seeing orders that were not shipped yet, because their 1st ATP GI date is past.

Important: to allow early visibility on “On Time” indicators, both “In Full” indicators are forced to “1” (In Full) until the Delivery Actual GI date is done.

From a “Solvay-centric” to a customer-centric OTIF

With the former OTIF model, the orderlines were displayed according to Actual GI date. In case we were late, we were waiting for the effective shipment to trigger our Not-On Time (OT) performance, while our customers knew we were Not-OT since the 1st Promised date.

With the new OTIF model, the orderlines are distributed according to the earliest date between the 1st ATP GI and the Actual GI date. This way, we know we are Not-OT at the same time as our custo

Tolerances To avoid being too stringent, for OTIF calculation we apply tolerances:

•  For On Time we have harmonized tolerances for the Group by transportation mode.
•  For In Full, tolerances are defined by the GBUs.

OTIF as a tool for continuous improvement

Insights

When a non-OTIF case is reported, the Customer Service Representatives and Plants are accountable to investigate and report the root cause of the issue, and the analysis of these root causes provide diverse insights:

• Issues on communication of our lead times to customers
• Order entry issues
• Planning issues (business on allocation, lack of capacity, wrong planning/scheduling)
• Delays on raw materials or packaging
• Production & Quality issues (delays / schedule adherence, production out of specifications, lab delays, not in full packaging units)
• Issues with transport execution (shipping issues, equipment not available, use of wrong equipment, carrier not respecting pick-up time, carrier errors, shorter or longer transit times, transport restrictions)
• Other (credit / payment issues, data issues)

Note: Some GBUs (e.g. Peroxides, Soda Ash) have implemented Robotic Process Automation (RPA) to automate the coding process based on business rules using data directly from SAP.

Roles & accountabilities

GBUs are accountable for the coding process, and to define operational actions to improve performance. Often those actions are supported by TC transversal initiatives, e.g. L4G, Planning initiatives.

Transformation Center is responsible to share best practices, insights and tools to better leverage OTIF as a tool for continuous improvement, e.g. TC is responsible for the design of the Group dashboards

Performance management

KPIs

Today at the Group level we follow two indicators on a monthly basis: OTIF Delivered Requested, and OTIF Delivered 1st Confirmed. Each GBU is following (at least) one of these two indicators for their internal performance management.

Targets

GBUs set their yearly targets for one of the two KPIs followed (either OTIF Delivered Requested, or OTIF Delivered 1st Confirmed) Targets for the Group are defined yearly as a weighted average of the GBU targets.

Dashboards

Today we have two different dashboards to monitor OTIF in the Group:

• E2E Value Chain Dashboard
  • End-To-End dashboard targeting Managers & Leadership teams, and that shows high-level OTIF performance: OTIF evolution by GBU/ destination geo zone / plant
• Global Supply Chain Dashboard
  • Supply Chain dashboard targeting the operations, and that shows details on OTIF performance, e.g. top non-OTIF root causes, OTIF by destination geo zone / plant / transportation mode / customer, % orders with actual delivery date, etc
• Other dashboards that also contain OTIF data include Customer 360 Dashboard, Monthly Industrial Dashboard, GSKAs dashboard

Requirements to mitigate potential risks

• Integration into SAP
• Data quality: good date management, good visibility of actual delivery dates provided by freight forwarders, robust non-OTIF coding process

4.0 Functional Specification

4.1 General Data/Calculations 

This section will approach the concepts/definitions that will be used in all the reports and required to understand the data from the reports.

Could be specific fields, closing activities, additional information to work and understand the reports.

4.1.1 Perimeter

Tolerances:

For quantity:

For In Full tolerances, if there is a tolerance defined in the order then we consider it, ie : 5%, 10% even 20%.

Else it's +/- 0%.  

Warning: For some GBUs this is one of the main causes to be NON OTIF on the reporting, even if they were On Time

For time:  standardized by transport modes

*New: The transport mode Road was split between Road LTL (Less Than Truck Load) and Road FTL (Full Truck Load)

Count of weekends and holidays according to the Belgian calendar

Reprocessing root causes (from NON OTIF to OTIF)
In cases of Non OTIF due to time issues, front Office and Back Office can use reason codes: 740, 745, 750 to force the order line status to On Time.

Reprocessing root causes (from OTIF to NON OTIF)
In cases of OTIF that suppose not to be due to time issues, front Office and Back Office can use reason codes: 755 to force the order line status to Non OTIF.

*You'll find the Guidelines done by SBS & EC end of 2018 : Reason codes guidelines

Plant Category (WP1 only):

• PROD = Production plant

• NDIR = Direct Trading : shipment from third party suppliers to customer (Order Type TAS will be used for this type of plant) 

• NDEP = Warehouse : physical Solvay stock location to store purchased materials from Solvay or 1/3 party supplier or Solvay produced materials

• NDC = Customer consignment warehouse: stock held at customer address (purchased or produced materials)

• SSTT = Sub contracting

4.2 Process Detail 

4.2.1.  Report/Process Definition 

This section represents the process with detail information for the application. Can include specific or special cases, complex logics , calculations, flows, among others.

Note: When you generate a BW report, use the field OTIF Reference Month in the prompt for aligned data

4.2.2.  How to access BW

Step One 

Step two

Step Three

Step Four - Example

For operational purposes, please open the global sales query and do the following filter to extract the same info that Global SC dashboard. This query will bring to you Sales orders and Replenishment orders. Thus please follow the next steps:

• Filter on document type: for sales all except NB & UB, for replenishment only NB & UB. 

• Filter on Intra-GBU flag, because sometimes you can have intra flows in type of orders other than NB & UB
  => Those filters are set up by default in the OTIF pages but you can remove in the "SHOW FILTERS" box if you want

• To check the OTIF
  

  • Filter on OTD for On time delivered if you're looking for KPI at customer delivered (OTDCR/OTDFC/OTDLC)

  • Filter on OTS for On time shipment if you're looking for KPI at departure plant (OTSCR/OTSFC/OTSLC)

  • Filter on In full requested = 1, for requested KPI

  • Filter on in full confirmed =1, for confirmed KPI

    
    

• To check the NON-ON TIME

  • Filter on LATE & EARLY in the column of your KPI (OTDCR/OTDFC/OTDLC or OTSCR/OTSFC/OTSLC)

  • Filter on In full requested = 1, for requested KPI

  • Filter on in full confirmed =1, for confirmed KPI
    
    

• To check NON-IN FULL

  • Filter on OTD for On time delivered if you're looking for KPI at customer delivered (OTDCR/OTDFC/OTDLC)

  • Filter on OTS for On time shipment if you're looking for KPI at departure plant (OTSCR/OTSFC/OTSLC)

  • Filter on In full requested = 0, for requested KPI

  • Filter on in full confirmed =0, for confirmed KPI

    
    

• To check NON-ON TIME & NON-IN FULL

  • Filter on LATE & EARLY in the column of your KPI (OTDCR/OTDFC/OTDLC or OTSCR/OTSFC/OTSLC)

  • Filter on In full requested = 0, for requested KPI

  • Filter on in full confirmed =0, for confirmed KPI

5.0 Non-functional Descriptions 

5.1 Usability

Usability is about the ease with which a User can learn to start using the solution and the ease with which they can use the system.  In addition to ease of learning and ease of use, usability also includes areas such as ease of recall, error avoidance and handling, accessibility among others e.g., 99% of metadata entry Users who have use the Maintenance Dashboard should be able to change filters, extract etc., when required.  Maintenance data will be centrally stored in the Google Cloud platform, which will be available to other applications e.g., and Dashboards if needed.

5.2 Regulatory Compliance

Software systems must comply with legal and regulatory e.g., GDPR requirements, this can change depending on country, organisation industry and / or region.  The software systems must be secure from unauthorized access.  The Maintenance Dashboard will comply with Solvay’s regulations and compliance e.g., access only granted to authorized Users.

5.3 Security

Security refers to essential aspects that assure a solution and its components will be protected against unauthorized access or malware attacks.  Important considerations related to security aspects of a system are User authentication, User authorization or User access privileges, data theft, malware attacks, data encryption, and maintaining audit trails, e.g., only Users with administrator access shall be able to create new accounts and assign data access privileges to the new accounts e.g.,

• All data will be encrypted in the dashboard
• Only authorised Users / Administrative Users will be able to access data.
• Maintenance data will be split between either SCO or ECO, and Users will only have authority to one Entity data.

5.4 Performance

Performance defines how fast a software system or a particular section of it responds to certain User actions under a certain workload.  In most cases, this metric explains how long a User must wait before the target operation happens e.g., the page renders, a transaction is processed, etc., given the overall number of Users now.  Performance requirements may describe background processes invisible to Users, e.g., backup and speed of data transfers. 

5.5 Reliability

Reliability is the ability of a solution or its component to perform its required functions without failure under predefined conditions for a specified time / period.  Reliability can possibly be specified in terms of average time system runs before failure occurs, percentage of operations completed successfully within a time / period, maximum acceptable failure probability, or number of failures within a period.  Reliability aspects are in reference to (but not limited to) evaluation of the system to be considered as reliable, classification of reliability defining failures vs. regular failures, and the impact of failure on business operations.  The Maintenance Dashboard will display data from the previous refresh of data.   

5.6 Scalability

Scalability refers to the degree to which a solution can evolve to handle increased amounts of work.  The increased amount of work could be in terms of the user base, transactions, data, network traffic, or other factors e.g., the system should be able to handle an additional load of a maximum of 5,000 Users every month for the next 6 months without any noticeable performance impacts.  

5.7 Compatibility

Interoperability is the degree to which the solution is compatible with other components.  It is a measure of how effectively the system interoperates with other software systems and how easily it integrates with external hardware devices.

Interoperability aspects to be discussed during elicitation are in reference to (but not limited to) software systems to be interfaced with along with data / messages to be exchanged and any standard data formats, hardware components to be integrated with, and any standard communication protocols to be followed e.g., Order Management system will push the order file into a secured file transfer protocol server from where it will be loaded into the system through a daily job.  To guarantee between Google Cloud platform and SAP BW Queries e.g., BW_QRY_MVPMOR01_0002, Solvay has introduced a new tool called Xtract (Xtract).

5.8 Availability

Availability is the degree to which the solution is operable and accessible when required. It is a measure of time during which the system is fully operational e.g., available for use and sometimes included as a Service Level Agreement (SLA) considering its criticality to the business, e.g., the system shall be at least 99% available on weekdays between 09:00 to 18:30 Central European Time (CET).

5.9 Refresh of the Data

Frequency, data, and time of the data refresh in the data product.