Case Studies > Vodafone Leverages Economies of Scale and Scope Across Its Global Trading Network

Vodafone Leverages Economies of Scale and Scope Across Its Global Trading Network

Customer Company Size

Large Corporate

Region

Europe
America
Asia

Country

United Kingdom
United States

Product

E2open Cloud-based Platform

Tech Stack

Cloud-based Platform
Automated Vendor Managed Inventory (VMI)
Data Exchange

Implementation Scale

Enterprise-wide Deployment

Impact Metrics

Cost Savings
Customer Satisfaction
Productivity Improvements

Technology Category

Platform as a Service (PaaS) - Data Management Platforms
Analytics & Modeling - Predictive Analytics
Platform as a Service (PaaS) - Connectivity Platforms

Applicable Industries

Telecommunications
Software

Applicable Functions

Procurement

Use Cases

Supply Chain Visibility
Predictive Replenishment

Services

Cloud Planning, Design & Implementation Services
System Integration

About The Customer

Vodafone Group is one of the world’s largest mobile communications companies, serving more than 400 million customers and 50 partner markets with operations in over 30 countries. The company has a significant presence in the European marketplace and is expanding into new markets. Vodafone's growth has brought challenges, including managing a complex operating environment with diverse levels of organizational maturity and processes that need to be aligned across its global operations. The company has established the Vodafone Procurement Company to transform its global supply chain and procurement strategies.

The Challenge

Vodafone faced the challenge of managing a complex operating environment with diverse levels of organizational maturity and processes that needed to be aligned across its global operations. The company needed a flexible, scalable supply chain solution to accommodate a growing network of global trading partners. Vodafone aimed to leverage economies of scale and scope across multiple operating units by obtaining visibility and control across its distributed trading network. The company also sought to resolve issues around data and process standardization to capture benefits associated with price transparency and strategic sourcing.

The Solution

Vodafone partnered with E2open to design and build a strategic solution for seamless information sharing, process management, and exception handling. Central to the solution is E2open’s cloud-based platform, which provides a consolidated view of demand and inventory information across Vodafone’s operating companies and trading partners. The platform facilitates any-to-any data exchange, catalogue management, and harmonization of master data and buying behavior across operating companies. Vodafone also implemented an automated vendor managed inventory (VMI) program, including replenishment and financial reconciliation across all suppliers. The Vodafone Procurement Company was established to develop standardized, transparent procurement and sourcing processes, with a global team of category managers and suppliers responsible for managing and executing procurement agreements.

Operational Impact

Reduction in purchasing costs through global product configurations and demand aggregation.
Increased flexibility to fulfill international demand with consolidated, real-time views of global inventory.
Greater supply assurance with automated replenishment and consolidated global forecasting.
Increased product availability and significant reduction in excess inventory volumes with cloud-based VMI program and extended demand visibility.
Focused spend on bulk ordering with strategic suppliers.

Quantitative Benefit