ConAgra Foods, Inc. is one of North America’s leading food companies and is the trusted name behind many leading branded and private-label consumer food products. ConAgra Foods also has a strong business-to-business presence in its commercial foods segment, which provides food products to restaurants and other foodservice establishments. The company offers a wide variety of snacks, meals, and ingredients. Some of its brands include Healthy Choice, Marie Calendar, Hunts, Orville Redenbacher, and Peter Pan peanut butter.
While a leader in both the consumer and commercial food production industries, ConAgra Foods was challenged to optimize the raw materials transportation processes across its various production facilities and warehouses. Its complex legacy systems were expensive to maintain and did not provide the cross-business cost visibility the company desired. After selecting Oracle Transportation Management and implementing the solution across its consumer business, ConAgra Foods has improved visibility into its transportation processes and analyzed performance of inbound and outbound transportation—revealing opportunities to consolidate truck loads, negotiate stronger contracts, and reduce costs. Further, ConAgra Foods has decommissioned major components of its siloed legacy system, achieving cost savings, and enabling the company to roll out the solution to other business segments, internationally.
After evaluating four providers, the company chose Oracle Transportation Management due to the solution’s core capabilities and its out-of-the-box ability to allocate transportation costs to finished-goods materials.
“Oracle offered a very mature solution that provided a lot of out-of-the-box capabilities. In addition, the overall total cost of ownership for the Oracle solution was the best fit for our company,” said Melissa Kramer, IT program director, ConAgra Foods, Inc.
ConAgra Foods selected the Oracle solution in April 2010 and initiated the design and execution process in July 2010. With US$450 million in freight spend, on-time delivery, and service management performance at stake, ConAgra Foods decided to implement the Oracle solution in three phases: first, for all rail movement and a portion of raw materials movement; second, for the remaining finished goods movements; and third, for the remaining raw material movement. Work is underway now to roll out the solution to the flour mills segment of the business.
ConAgra Foods, Inc. worked with Tata Consultancy Services (TCS) to help implement the Oracle solution. After evaluating four different implementation partners, the company selected TCS because of its Oracle Transportation Management implementation capabilities, project approach, and affordability. TCS supported the entire Oracle installation process, from solution design to implementation, testing, and stabilization. It also now provides ongoing technical support for Oracle Transportation Management and Oracle Fusion Transportation Intelligence.