Clues Emerge About Possible EBS R12.1 Enhancements

INFORMATION INDEPTH NEWSLETTERS
Lean Supply Chain Edition
February 2009

Clues Emerge About Possible EBS R12.1 Enhancements
Although Oracle hasn’t announced a formal release date for a revised version of E-Business Suite, an upcoming release could include a number of enhancements important to supply chain operations. The focus of these new capabilities could be what one insider termed “improved multitier visibility” of extended supply chains.

For example, a possible addition to Oracle Advanced Planning could offer analytics within a role-based user interface designed to help managers define business scenarios and the execution steps needed to then act on those plans.

Similarly, a possible new repository of end-user demand activity may be part of the new package. Accurate demand forecasts can reduce supply chain costs through better inventory management, improved fulfillment rates of “perfect orders,” and shorter cash-to-cash cycle times. For example, a 1 percent improvement in demand forecast accuracy can yield a 2 percent improvement in perfect order fulfillment, according to industry research.

New analytics may also improve visibility into inventory levels for better management of raw materials and finished goods. The additional capabilities are expected to promote “adaptive” supply chain processes using inventory-control devices based on radio frequency, RFID, or voice technologies.

Another new application for supply chain managers could extend Oracle Advanced Planning’s capability to manage service parts for after-market service contracts. Industry observers cite a rise in service contracts as an important way for manufacturers to distinguish themselves over competitors and to stabilize profits.

These enhancements may complement R12.1’s Manufacturing Operations Center module and capabilities for estimating total “landed costs” (see related stories in this issue).

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