Perfect Asset Lifecycle Management for ICTs: Getting Visibility, - - PowerPoint PPT Presentation

Perfect Asset Lifecycle Management for ICTs: Getting Visibility, Insigh and Control

• f Critical Assets

Brian Hodges Brent Bauer Yvonne Sabatini

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Introducing Yvonne Sabatini

• Director, Sourcing & Logistics
• Deep Supply Chain, Asset Management

Experience & Advanced Inventory Planning

• Recognized as establishing “Best In Class”

Supply Chain… except for one element, ALM, to close out that last mile

XO Communications

• Established in 1996
• Headquarters in Herndon, VA
• Serve 85 U.S. Markets
• Approximately 3000 employees
• Operates one of the largest IP and Ethernet

networks in the US

• Industries first 100G coast-to-coast

Network

Services

• Wide Area Networking Services
• Network-enabled cloud connectivity
• Unified Communications / VOIP
• Internet Services
• Security Services
• Managed Services
• Wholesale Service

The Network

Network Reach

• 20,000-route mile national inter-city

network

• 1.2 million metro fiber miles
• More than 4,000 on-net buildings
• More than 1,000 unique central offices
• Extensive reach providing data services

through a variety of options to business locations in North and South America, Europe, Africa, and Asia/Pacific regions

Perfect ALM is a Journey

Asset Management Potential

• According to Gartner Group and PWCC

Asset Management consulting best practices, a company that effectively and efficiently implements an asset management program including automation of this process can anticipate a saving of 15-20% of the Total Cost of

• wnership for those assets managed.
• This equates to a huge competitive

advantage, due to our size & scope.

Asset Management Goal

• The goal of the Supply Chain Management

Team was to create an Integrated Asset Management solution that will allow management and staff to use efficient and effective asset management techniques to reduce the total cost of ownership, improve company productivity, and support efforts to provide superior world class services to

• ur customers.

Asset Management Challenges

• Aging network infrastructure.
• No accurate database of network element install

base.

• Complex warranty and repairs processes.
• Manually process to RMA and Warranty repair

network Assets.

• Inabilities to provide asset information to process

accurately updates warranty and repair information needed for common language equipment identifier (CLEI) that keeps track of part, revision and other pertinent hardware information.

• Extensive gray market purchases that impact

warranty and repair processes.

How We Managed Assets Before:

• Time-consuming manual efforts to track

assets for R&M, warranty, sparing and fixed assets to name a few.

• We measured the Supply Chain at an item and

quantity level managed in an Oracle based application and through homegrown solutions with no mobile solution.

• Data was in multiple (non-integrated) systems

which required several reporting solutions.

• Reconciliation was also manual and time

consuming.

• Spares were handled by a third-party solution.

Business Case

• We needed to optimize CAPEX and OPEX at every

stage of the Asset Lifecycle.

• We needed to track assets at a unique asset id

and manufacturer’s serial number.

• We needed to reconcile data between field

mobile scanning, ERP, and OSS systems to achieve an accurate database of record.

• We needed robust planning that allowed asset life

cycle management to enable ease of identification and redistribution of assets to reduce lead times.

• We needed a logistics hierarchy setup for excess

asset re-utilization to offset capital spend and minimize shipping costs by always redistributing assets within local markets and regions first before pulling from the distribution center.

Our Evaluation and Selection Process

• We wanted an Asset Lifecycle Management

partner who:

• Nimble, collaborative partner willing to expand

their application to support our requirements.

• Had deep Communication Service Provider

experience.

• Had a secure mobile solution to collect data at any

point in the supply chain.

• Could integrate with ERP, OSS, BSS, and legacy

systems.

• Could reconcile the asset data from multiple

sources to create an accurate asset database of record.

• Could optimize CAPEX and OPEX through efficient

sparing, warehousing, and both forward and reverse logistics.

Why Fulcrum Technologies CATS

• For over 18 years, Fulcrum has been the

leader for Asset Lifecycle Management (ALM) in the Communication Service Provider Space.

• CATS provides powerful, flexible, intelligent

mobile scanning solutions to track and manage your physical or virtual assets.

• CATS can be closely integrated into any Supply

Chain flow with all major back-end ERP systems such as Oracle, SAP, and Salesforce.

• CATS can reconcile and verify any and all asset

data regardless of the source, ensuring the integrity of your asset database and reducing the need for physical audits.

The ALM Implementation

• Worked closely with Fulcrum to define our

business requirements and configure the CATS solution to meet our specific needs

• Integrated CATS with several legacy ERP, Financial

and OSS systems, for flow through and reconciliation of data with these other systems

• Data Migration??
• Worked with Fulcrum to extend their core CATS

product to address much more Supply Chain Management functionality than what was in the core product

• Min/Max
• Requisitions
• Advanced Inventory Planning

The ALM Architecture

The ALM Implementation

Integration to back-end systems:

• We have implemented CATs with direct

interfaces to our (ERP) financial and (OSS)

• perations systems.

Business Intelligence from End-To-End:

• Previously done in-house
• Switched to CATS ARM to get more color,

depth, reporting

• Provides visibility, insight, and control.

The ALM Logistics Diagram

ALM Benefits

• CATS ALM allows us to track all supply and

demand elements against Min/Max planning which automatically allows replenishments to

• ccur at accurate levels.
• CATS allows us to track assets real time

through the use of the mobile application and Bluetooth scanning solution.

• CATs has a feature that allows a logistics

hierarchy setup for excess asset re-utilization which offsets capital spend and minimizes shipping costs by always redistributing assets within local markets and regions first before pulling from the distribution center.

ALM Benefits

• The CATs solution automatically identifies

excess based on M/M levels, supply and demand and redistributes equipment according to the logistics network hierarchical structure defined by the consumer.

• Warranty data is now being maintained in

CATs and allows ease of identification, reconciliation and negotiations for managing the proper service levels.

• Repair pricing for vendors is managed in CATs

and analysis of items and assets allows us to determine the most cost effective solution for selecting a repair vendor.

ALM Benefits

• We now have one ordering system for inventory

which is CATs.

• CATS has enhanced the Repair process with the

ability to maintain the part status for sparing, advanced replacement and maintenance that allows our field techs ease of identification for managing physical and system activities.

• The impact to productivity has also been huge –

saving us an estimated 50% reduction in work through the use of the customized mobile application.

• The spares program has been brought in house

and we are now able to report at an asset level, maintain Min/Max levels, and manage supply and demand for sparing independent of forward logistics.

Lessons Learned

• Fulcrum has powerful global partners to help with any part
• f the Supply Chain.
• We had a consulting firm on this project, but that was
• ptional– Fulcrum has a well documented consultative

process, combined with us having the right skill-set in- house.

• Put enough money in your travel budget.
• Maintaining an appropriate level of spares is done by

analyzing the network install base and historical failure trends by market to ensure M/M levels are established and looking at synergies between stocking levels supporting forward logistics that can also benefit sparing and offset capital spend.

• We have streamlined the pre-deployment and install

process over many years such that assets are stocked without specific configs allowing ease of install by the field with scripted configs applied at install allowing for reduced stocking levels.

Summary

• We now have a best in class Supply Chain,

with Asset Lifecycle Management and Advanced Inventory Planning from end-to- end.

• CAPEX and OPEX improvements across the

board.

• With CATS, we can now grow and expand as
• ur company does, working with Fulcrum to

develop adaptive future solutions.

• We now have asset data from end to end, and

can take action on that data.

The Journey’s Destination: Implementation

“From Inventory to Asset Tracking”.

• Centralized “Real Time”

Asset Tracking

• Efficient and accurate

forecasts

• Increased product

productivity

• Reduced Operational

Spend

The Journey’s Destination: Implementation

tions?

Perfect Asset Lifecycle Management for ICTs: Getting Visibility, Insight, and Control

• f Critical Assets