Supply Planning Solutions from Blue Yonder Support Kobelco

To digitize its global production and distribution processes and make them more resilient to market fluctuations, Kobelco Construction Machinery Co., Ltd. (KCM), a leading construction machinery provider, has opted for the demand and supply planning solutions from Blue Yonder.

(Tokyo/Dallas) Kobelco offers a wide range of modern construction and transport machinery worldwide, which is continuously being developed. KCM’s supply chains have faced significant disruptions and interruptions in recent years. It has become increasingly challenging for the company to respond quickly to market fluctuations and optimize production, sales, and inventory (PSI). Therefore, KCM sought a solution that would allow for immediate creation of production and supply plans and turned to Blue Yonder.

Achieve the following goals:

• A resilient global production and distribution structure.
• Supply and demand processes that are visualized, controlled, and orchestrated across the global network of suppliers and production sites.
• A company that can flexibly manage production performance based on market conditions. Production quantities are adjusted to product offerings at each location.
• Improved inventory management and optimized cash flow through real-time end-to-end collaboration across the entire supply chain.

With the demand and supply planning solutions from Blue Yonder, KCM can provide the right inventory across its entire distribution network, minimizing stockouts and revenue losses. At the same time, manufacturing costs are reduced, and profits are increased. KCM can also achieve a higher return on invested capital, minimize cost-to-serve and cash-to-serve, and provide better customer service.

Driving Operational Transformation

“Global manufacturers have long utilized Blue Yonder’s demand and supply planning solutions to support their planning processes. Therefore, we are confident that Blue Yonder’s high level of expertise will drive KCM’s operational transformation,” explains Yoshio Nishida, Executive Officer of Kobelco Construction Machinery. “Thanks to Blue Yonder, we can lay the foundation for a global production and distribution system that is robust against demand fluctuations.”

“We are honored that KCM has chosen Blue Yonder for the digital transformation of its planning functions,” says Antonio Boccalandro, President, APAC, Blue Yonder. “While excess inventory burdens cash flow, insufficient inventory leads to missed orders. Therefore, creating optimal delivery plans is essential for manufacturers. With Blue Yonder, KCM is able to tackle current challenges and optimize planning accuracy for its business and products.”

More Resilient to Demand Fluctuations

“We have worked closely with KCM to support the company in achieving its set goals and strengthening and transforming its global supply chain with the capabilities of Blue Yonder,” explains Daiju Watanabe, Representative Director and President of Blue Yonder Japan. “During implementation, our focus was on ensuring smooth operations and effectively integrating the solution into practical operations. KCM is now more resilient to demand fluctuations and disruptions and can better meet the needs of its customers.”

Photo: © Blue Yonder