DEACERO cuts costs, increases sales with Oracle Cloud SCM
With visibility provided by Oracle Cloud SCM, Mexico’s largest steel wire manufacturer increases sales by 15% in just a year.
“With Oracle Supply Chain Management (SCM) we transformed our operations. This tool helped us reduce our logistics costs, improve inventory management, and streamline our decision-making processes.”
Business challenges
DEACERO is a leading steel production and marketing company based in Mexico. The manufacturer did not have a formal Sales and Operations Planning (SNOP) process, which presented a major roadblock to its digital transformation. At that time, sales estimates were made in an unstructured manner, affecting efficiency and accuracy in decision-making. Therefore, the company sought a solution that would allow it to formalize SNOP.
The company searched for a tool that would help it adapt to a changing market and provide greater visibility into industry behavior in order to improve sales projections and make better strategic decisions. DEACERO also wanted the ability to better understand customer and partner behavior to help the company grow.
We selected Oracle SCM for its ability to anticipate changes in demand and in the market.
Why DEACERO chose Oracle
After analyzing different solutions, DEACERO decided to implement Oracle Fusion Cloud Supply Chain Management & Manufacturing (SCM) because it was best-suited to meet company’s needs and objectives. Oracle Cloud SCM’s friendly and intuitive user interface would help smooth staff adoption and training. Similarly, company leaders felt that Oracle Cloud SCM would help future-proof operations by connecting supply chains and creating a resilient network with processes designed to outpace market change.
After implementing Oracle SCM, Deacero reduced the time spent on its sales projection process by 80%.
Results
With the visibility Oracle Cloud SCM brought, the company increased its sales by 15% in just one year, while also improving its ability to react quickly to changes in the economic and commercial environment.
The company noted greater accuracy in information collected, thereby increasing the accuracy of its forecasts, as well as reducing supply chain variables. DEACERO was able to connect more than 90 business users to streamline sales projections, which are now completed in a maximum of 4 hours, representing an 80% time reduction.
Similarly, the manufacturer saw significant improvement in inventory management and a notable reduction in logistics costs. Among other benefits of Oracle Cloud SCM were excellent user experience, the diversity of statistical modules available, and ongoing updates to improve company processes.
About the customer
DEACERO is Mexico’s largest steel and long wire manufacturer. It offers a large range of products, from agriculture to building, as well as cable and industrial applications.