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BI On Demand Case Study - Packaged Goods Manufacturer


According toa Gartner Research February 2008 report on BI self-service options "mid-market companies are often in volatile business cycles where revenues could grow quickly or come crashing down." By comparision, larger companies are focusing on targeted online BI applications. For instance Welch -, the $654 million consumer-packaged goods manufacturer - installed an on-demand BI application from Oco.

Business Scenario

Welch ships its products five days a week out of its distribution center, but found themselves "just totally overwhelmed on Fridays," complaining, 'How come there are so many orders on Friday?'"

Business Need

To provide analytical insights not currently available in their Oracle BI software [installed in 2007]

BI Solution

Welch started with rolling out a transportation logistics BI application that provided analytic insights from both Welch's systems and those of its distribution partners'.

Business Benefit

By capturing every element - from the customer orders to bills of lading, as well as every data element on every freight bill the Director of Purchasing and Logistics can "mix-and-match and slice-and-dice any way we want."

It turns out that Coyne's team was causing the problem themselves. The data analytics revealed their errors, which they have now fixed. "Just trying to steer away from Fridays provides us a huge benefit," Coyne says. "We can look at the number of orders per day, the number of orders by day per customer and overall customer order patterns."

Welch's spends more than $50 million each year on transportation expenses, and the Oco BI application and reporting features have become critical in a very short period of time, he says. "We literally can't go any amount of time without knowing this stuff," Coyne says.

In addition, training users on the new application is "the equivalent of training someone to use Google," he notes. As to the payback, it's been "almost instantaneous."

 

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