Loading
National Industrial Manufacturer
The manufacturer operated 12 production facilities across the United States, each running disconnected legacy systems for inventory management, production scheduling, procurement, and logistics. This fragmented technology landscape created blind spots in supply chain visibility, with plant managers relying on spreadsheets and phone calls to coordinate cross-facility production and inventory transfers.
The lack of real-time visibility was costing the company millions in excess inventory carrying costs, expedited shipping fees, and production line shutdowns caused by material shortages. Demand forecasting was based on historical averages rather than real-time signals, leading to chronic overproduction of slow-moving SKUs and stockouts of high-demand products.
Previous ERP consolidation attempts had failed due to the complexity of each plant's unique manufacturing processes, local compliance requirements, and resistance from plant management teams who were comfortable with their existing workflows. The company needed a strategic partner who could design a solution that standardized processes where possible while accommodating legitimate operational differences.
Tharseo IT's consulting team led a comprehensive supply chain transformation engagement, beginning with a 6-week discovery and design phase. Our consultants embedded at each of the 12 facilities to document current-state processes, identify standardization opportunities, and catalog the legitimate operational variations that the target solution needed to accommodate.
We designed a unified Oracle SCM Cloud architecture on OCI that established a single source of truth for inventory, procurement, and production planning across all facilities. The architecture leveraged Oracle IoT Cloud to integrate real-time sensor data from production lines, Oracle Analytics Cloud for demand forecasting powered by machine learning, and Oracle Integration Cloud to connect the remaining plant-floor systems that could not be immediately replaced.
Our advisory team also developed a detailed change management program with plant-specific training curricula, super-user networks, and a phased rollout plan that brought facilities online in groups of three over a 9-month period. Executive dashboards provided real-time visibility into cross-plant inventory levels, production status, and supply chain KPIs from day one of each facility's go-live.
The Oracle SCM Cloud implementation connected all 12 manufacturing plants onto a single platform, delivering real-time supply chain visibility that the organization had never previously achieved. Overall supply chain efficiency improved by 35%, measured across inventory turns, order fulfillment cycle time, and production schedule adherence.
The manufacturer realized $5M in first-year ROI through a combination of $2.1M in inventory carrying cost reduction from optimized stock levels, $1.6M in procurement savings from consolidated purchasing and automated supplier management, and $1.3M in logistics cost reduction from optimized cross-facility production scheduling and shipment consolidation.
Demand forecasting accuracy improved from 62% to 89%, dramatically reducing both overproduction waste and stockout incidents. Production line shutdowns due to material shortages decreased by 78%, and on-time delivery rates improved from 84% to 97%. The engagement has expanded into a Phase 2 initiative to implement Oracle Manufacturing Cloud for advanced production scheduling and quality management across all facilities.
12 manufacturing plants, 3,000+ SKUs, $2B annual procurement volume, 500+ supplier integrations
6-week embedded assessment at all 12 facilities documenting current-state processes and standardization opportunities
Oracle SCM Cloud provisioning on OCI, IoT Cloud integration, Analytics Cloud configuration
Go-live at 3 pilot facilities with full SCM, procurement, and inventory modules
Rollout to 6 additional plants with refined playbook and super-user networks
Final 3 plants plus ML-powered demand forecasting and executive dashboard deployment
Cross-plant optimization, supplier portal activation, advanced analytics enablement
12 disconnected legacy systems, spreadsheet-based coordination, 62% demand forecast accuracy, no real-time cross-plant visibility
Unified Oracle SCM Cloud on OCI, IoT Cloud for real-time production data, Analytics Cloud with ML forecasting (89% accuracy), single-pane executive dashboards
42%
Inventory
$2.1M reduction in carrying costs through optimized stock levels
32%
Procurement
$1.6M savings from consolidated purchasing and automated supplier management
26%
Logistics
$1.3M savings from optimized production scheduling and shipment consolidation
“Tharseo IT didn't just implement software. They transformed how our entire supply chain operates. For the first time in our company's history, I can see exactly what's happening across all 12 plants in real time.”
SVP of Supply Chain Operations
National Industrial Manufacturer