Version 3.0 of Valdero Corp.s namesake software suite combines supply chain analysis with replenishment planning and execution capabilities.
The update, which was rolled out last week, provides real-time visibility into inventory internally and with suppliers, contract manufacturers and distributors so that production is based on actual demand, not just a forecast.
New demand replenishment applications include five modules that provide manufacturers with tools to manage the daily changes in the supply and demand chain.
As a result, manufacturers can reduce inventory and lead times and lower operating costs, according to Valdero officials, in Palo Alto, Calif.
Networking hardware developer Network Equipment Technologies Inc., known as Net.com, is working with a contract manufacturer to build its products and has turned to Valderos Supply Demand Matching module to manage how and in what sequence orders are fulfilled. It keeps order planning on track when priority orders jump to the front, said Jeff Range, vice president of operations.
Valdero enables Net. com to make commitments to customers based on real supplier inventory information, rather than a default delivery date. It also lets the company quickly manage a change in a demand or supply profile.
“Those happen every day and can take a day and a half to catch up,” Range said. “Its a real nightmare.”
Range is evaluating the Valdero upgrade. “The better information we can give our contract manufacturer on the way our business is going, the better they can go forward,” he said.