SAP S/4HANA case study
SAP S/4HANA keeps an auto parts supplier on OEM schedules
OEM delivery schedules arrived by EDI and were handled by hand. SAP S/4HANA now automates scheduling and supply for a tier supplier.
- 99%On-time delivery to OEMsNot stated in source · Delivery report
- 30%Less expediting costNot stated in source · Delivery report
- FewerLine-down risks and penaltiesNot stated in source · Delivery report
- 16 wkFrom kickoff to liveProject duration · Delivery report
The challenge
OEM schedules handled by hand, expediting by default
Delivery schedules from the carmakers arrived by EDI and were keyed into a planning sheet by hand.Changes came often, so the team chased parts and paid for express freight to avoid stopping an OEM line. A late delivery risked a costly penalty.
- EDI release schedules were re-entered manually and fell behind changes.
- Expediting and express freight were a constant, expensive habit.
- There was no clear just-in-time view of what was due when.
- A missed window risked OEM penalties and line-down charges.
The solution
Scheduling agreements and EDI inside SAP S/4HANA
We set up SAP S/4HANA with scheduling agreements, EDI integration to the OEMs and demand-driven replenishment, so release schedules flow straight into planning and supply reacts to real demand.- OEM EDI releases post straight into scheduling agreements.
- Demand-driven replenishment keeps the right buffer, not excess.
- Planning sees every due date and quantity in one place.
- Shipping and labels follow OEM packaging and ASN rules.
How we delivered
Tested EDI with the OEMs before cutover
We ran end-to-end EDI tests with each OEM connection so releases and shipping notices matched their rules before go-live.We trained planners on the new schedule view and ran a parallel week to confirm the numbers.
Go-live took sixteen weeks, including OEM EDI testing.
The outcome
On time to the line, with far less expediting
On-time delivery to OEMs reached 99 percent because releases flow straight into planning and supply tracks real demand.Expediting cost fell by 30 percent, and the team stopped firefighting changes that the system now absorbs.
The OEM releases now drive our plan on their own. We stopped paying for express freight to cover misses, and our delivery score with the carmakers has never been higher. Supply Chain Director, Automotive
Related service
ERPRelated
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