The cloud-based supply chain software provider GT Nexus said this week they have been selected by the carmaker Renault SA to provide a cloud supply chain platform that will support the company’s growing expansion into international markets.
GT Nexus has conducted a successful live pilot covering the spare parts export supply chain from France to key markets such as Brazil, Saudi Arabia, and South Africa, the company said, and now Renault will roll out its "Easy Tracker" project, enabled by GT Nexus, to all export markets around the world.
Renault’s after sales organization is focusing on the high value spare parts and accessory business as part of a broader corporate initiative. GT Nexus said that the visibility and control enabled through the its cloud supply chain platform will help Renault better serve its fast growing international markets and customers, while reducing inventory and transportation costs.
"The emerging markets are very competitive and Renault wants to guarantee spare parts and accessories availability at the best-in-class level, while reducing safety stocks, inventory, and expediting costs," said Francesca Gamboni, after-sales logistics vice president at Renault Group. "GT Nexus is the technology foundation that is helping us achieve our objectives. The ability to have real-time tracking of customer orders and shipments across our value chain is a key enabler."
Renault’s spare parts supply chain is highly complex, covering 110 export destinations and 7,000 dealers across Latin America, Africa, the Middle East, Central Europe, and Asia. Renault uses a large range of road, air, ocean and express parcel carriers to ship goods to remote markets. Product diversity is high, with more than 200,000 SKUs (stock-keeping units) sourced from 1,700 suppliers.
"Customer service is vital in competitive export markets,” Gamboni said. “When cars are off the road because of missing parts, our dealers will do whatever it takes to get what they need for their customers. The lack of visibility into orders and inventory in transit can add costs and create unnecessary customer service disruptions across our distribution networks. By providing accurate ETA status in the cloud through GT Nexus, our importers and affiliates now have access to the information they need to operate smoothly."
For example, GT Nexus said Renault is able to monitor in real time its on-time and in-full (OTIF) delivery ratio, from the time products are ordered until they’re delivered overseas at the dealership.
The pilot was completed in the third quarter of 2012 and global rollout is currently in progress. - Eric Johnson