WBSCM Presentation

1
WBSCM Presentation

• January 30, 2008

2
Agenda

• Purpose/Goals
• Overview Present and Future
• International Supply Chain
• Summary
• Wrap up Questions

3
Purpose/Goal

• Provide overview of
• Existing environment
• Web-based Supply Chain Management (WBSCM)
  Objectives
• WBSCM Solution
• WBSCM Schedule

4
Agenda

• Purpose/Goals
• Overview Present and Future
• International Supply Chain
• Summary
• Wrap up Questions

5
Present Processed Commodity Inventory
Management System (PCIMS)
Planning/Ordering
Purchasing
Bidding/Distributing
DEBES

• Records and monitors entitlement data
• Distributes surveys of available commodities
• Processes commodity orders
• Creates bid invitations, receives and analyzes
  bids
• Process invoices. payments and claims Processing
  and purchase data transmitted electronically to
  Financial System
• Manages financial activities and reports

ECOS
Bid Entry over internet by vendors
PCIMS
COS incorporates FARES, EBES, FBES, DBES in And
other enhancements
EBES
Financial System
Financial Data view to payees over internet
ED3
6
Future WBSCM Functionality/Capability Landscape
Supply Chain Planning
Inventory Planning
Supply Planning
Demand Planning
Supplier Collaboration
Customer Collaboration
Suppliers
Customers
Fulfillment
Procurement
Fulfillment Planning
Bidding and Evaluation
Purchasing
Inventory Management
Order Management
Contracting
Strategic Sourcing
Sourcing
Transportation Planning
Transportation Management 2
Warehouse Management 1
Process and Packaging Conversion
Financial Management
Funds Control Accounting 3
Accounts Receivable 3
Inventory Accounting 3
Accounts Payable 3
Supply Chain Event Management 4
Control
Measure
Simulate
Monitor
Notify
1 Basic Warehouse Mgt, No WMS required 2 ERP
based capabilities, No TMS required 3
Capabilities required to Integrate with USDA back
office financial systems 4 Event Management
Capabilities limited to pre-defined exceptions or
alerts.
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WBSCM Objectives

• Develop a Commercial Off The Shelf (COTS)
  application to
• Improve procurement practices and technologies to
  increase efficiencies
• Decrease administrative costs associated with
  procurement and contract management, and
  technology
• Enable USDA to become more efficient at meeting
  customer needs.
• Improve order cycle times, financial processing,
  and customer relationship management to reduce
  costs
• Leverage advanced planning and collaboration
  tools to enable USDA to match supply and demand
  more effectively and efficiently

8
WBSCM Release 1 Timeline

• Design Phase Sep 2007 Feb 2008
• Design Scenarios
• Baseline Configuration
• Custom Development Functional Design
• Prototyping
• Build Phase Mar 2008 Jun 2008
• Final Configuration
• RICEFW Technical Design
• RICEFW Development
• Unit Tests
• Test Phase Jul 2008 Oct 2008
• Integration Tests (Cycle 1-3)
• Mock Conversions
• User Acceptance Test
• Dev. Training Materials
• Deploy Phase Nov 2008 Dec 2008
• Final Preparation
• End User Training
• Cutover

Note This is the current timeline and is
subject to change.
9
Agenda

• Purpose/Goals
• Overview Present and Future
• International Supply Chain
• Summary
• Wrap up Questions

10
International Supply Chain

• Status Received
• Commodity arrives at the discharge port

• Status At Port
• Commodity arrives at domestic port or intermodal
  plant/bridge

• Status On Vessel
• Ocean BOL received for commodity

• Status New
• Commodity order being created by the PVO/WFP
• Route order to program agency for approval

• Status Approved
• Program agency receives order
• Can approve/ modify/ cancel

• Status On Invitation
• Order routed to FSA
• If approved, commodity and freight order are put
  on invitation

• Status Purchased
• Commodity/Freight bids evaluated
• Order purchased once an award is given

• Status Shipped
• Commodity vendor ships product

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Sales Order (Commodity Request)

• Sales Order (CR) Create
• Commodity order entered by PVO/FF
• Freight requirement created automatically
• Sales Order Status New

12
Sales Order (CR) Approval

• Sales Order (CR)
• Order routed through program agency
• Approved order sent to FSA for procurement
• Order status is Approved

13
Standard Order Summary Screen
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Order Status Reporting
Capability to limit report results based on
audience. E.g. Children International will only
see their orders vs. program agency viewing all
of their program orders.
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Invitation for Bid

• IFB
• Commodity / Freight IFB review and approval
• Commodity IFB published
• Freight IFB published
• Order status updated to On Invitation
• Vendors will make offers for the IFBs

16
Freight Bid Screen
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Purchase Order

• Purchase Orders
• Commodity order created based on award
• Freight order created based on award (FAS/AID)
• VLO and discharge survey PO released
• Order status updated to Purchased

18
Standard Vendor Self-Service
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Standard Freight Purchase Order (Award)
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Freight Purchase Order Output
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KC366 Shipment

• KC 366 Shipment Notification
• Left side of KC366 filled out by commodity vendor
  for each commodity PO
• Rail car tracking process started
• Order status updated to Shipped.
• Send email notification to the Freight Forwarder

22
KC366 Shipment Form
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KC 366 Receipt

• KC 366 Receipt Notification
• Right side of KC366 filled out by Freight
  Forwarder to indicate receipt of commodity
• Order status updated to At Port

24
KC366 Receipt Form
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Commodity Invoice

• Commodity Invoice
• Invoice entered by commodity vendor which will be
  matched with the Goods Receipt from KC366

26
Vessel Loading Observation

• Vessel Loading Observation
• VLO document electronically uploaded by SGS

27
Ocean Bill of Lading

• Ocean Bill of Lading
• OBL entered online by freight forwarder
• Goods receipt done for relevant freight PO
• Order status updated to On Vessel

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Standard Ocean Bill of Lading
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VLO Invoice

• VLO Invoice
• VLO invoice created when Vessel is loaded with
  attached certificates

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Freight Invoice

• Freight Invoice (FAS)
• Freight invoice created
• Attached required document

31
Standard Freight Invoice
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Freight Purchase Order Document Flow
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Discharge Survey

• Discharge Invoice/ Survey
• Invoice will be created for USDA purchase orders
  by Surveyor with the attached documents
• Survey document will be attached by Freight
  Forwarders for PVO contracts
• Order status updated to Received

34
Agenda

• Purpose/Goals
• Overview Present and Future
• International Supply Chain
• Summary
• Wrap up Questions

35
WBSCM Summary - Fulfillment

• For PVO / FF
• Standard Web-based order entry system
• Real time order and shipment status
• Upload shipment documents online
• For USAID/FAS
• Less order entry errors
• One system for order entry and procurement
• Track orders from source to destination

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WBSCM Summary - Procurement

• Bidding and Evaluation
• Web-based Freight Offers with Freight Tenders
  attached
• Commodity and Freight Bid Invitations will be
  interfaced to the Linear program to determine the
  lowest landed cost
• Ocean Freight Differential
• Contracting and Purchasing
• Purchase orders (Awards) issued for Commodity and
  Freight (FAS)
• Electronic workflow for Approvals and reviews
• Reporting capabilities throughout the Procurement
  cycle
• Bid Invitations/Offers for SSL
• Contract / PO Awards available on Vendor Self
  Service
• Document Flow for upstream and downstream
  activities

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WBSCM Summary - Finance

• For Proprietary Fund Accounting
• Integration with supply chain events for
  real-time fund checking
• Real-time reporting on budget status, spending
  levels and balance
• Interfacing with department-wide accounting
  system
• For Inventory Accounting
• Automatic valuation of inventory
• Integrated inventory accounting with procurement
  fulfillment
• For Accounts Payable
• Automated invoice matching, approval, release, of
  payments for commodity, freight, storage, and
  other services
• For Accounts Receivable
• Automated creation of receivables (including for
  damage/loss events) and linking the receivable
  with applicable orders and/or delivery/shipping
  notices

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WBSCM Summary - Planning

• For Demand Planning and Customer Collaboration
• Demand information sharing with customers (PVOs,
  WFP)
• Use of statistical forecasting methods based on
  historical demand
• Creation of single demand plan across agencies
  and programs
• For Supply Planning and Supplier Collaboration
• Consideration of supplier capacities in purchase
  plan development
• Use of supply/demand matching methods to create
  purchase plan
• For Inventory Planning
• Inventory auto-replenishment driven by scientific
  safety stock and re-order point methodologies

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Agenda

• Purpose/Goals
• Overview Present and Future
• International Supply Chain
• WBSCM Benefits
• Wrap up Questions