29 April 1999: US-based Manugistics Group, Inc., a provider of solutions for supply chain optimization, said that the automotive replacement glass (ARG) business of PPG Industries, North America“s la…
29 April 1999: US-based Manugistics Group, Inc., a provider of solutions for supply chain optimization, said that the automotive replacement glass (ARG) business of PPG Industries, North America“s largest producer of auto replacement glass, has chosen Manugistics supply chain optimization software to support ARG“s customer service objective – “to deliver the perfect order every time.” PPG said it will be using the Manugistics software to improve forecasting accuracy, enhance its ability to track part supersession and co-product requirements and coordinate the supply of products through its complex distribution network – whilst recognizing the constraints of delivering an item that has special handling requirements. “Forecasting when someone“s car windshield is going to break is an extremely difficult task,” said Jim Polak, director of ARG production and distribution. “However, we need to determine what to stock at our branch locations based on component population, consumption patterns and advanced causal factors to ensure that when a windshield breaks, a PPG replacement is available. In our business, if we can“t provide full orders with a few hours“ notice, our customers will find someone else who can.” PPG“s supply chain challenges are further complicated by the fact that, as new automobiles are manufactured, the market for parts changes. PPG must manage demand for the new parts without any historical information on actual product use. To meet this challenge, PPG said it will be using a unique forecasting methodology from Manugistics that enables companies to forecast demand and life cycles for a new product based on similar products and on market factors. “By using the Manugistics software to build our supply chain around the customer and enhance our ability to manage demand and tighten our supply network, we expect to better balance the challenges of meeting stringent customer service requirements while containing our costs,” added Polak. “Manugistics promises a solution backed by significant knowledge of the challenges we face in our industry, combined with consulting expertise, to help us quickly reap the benefits we want to achieve from supply chain optimization.” PPG“s North American ARG business operates more than 140 branch locations that distribute more than 7,500 different glass parts and 3,000 sundries for vehicles produced since 1949.