Capgemini Launches BPO Supply Chain Management Services To Drive Supply Chain Orchestration

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With 3 key solutions – Order Management and Fulfillment, Logistics Management, and Sustainability Services – this new service line consolidates existing expertise, tools and processes to manage and optimize all facets of enterprise supply chains in a sustainable way. Capgemini will act as a supply chain orchestrator to optimize operations, collaborate with partners for multi-modal logistics services and serve client shippers independently from logistics service providers. The services will leverage the Group’s existing Supply Chain Strategy and Consulting practice, its Global Process Model*, BPOpen Technology** and its Rightshore® Supply Chain Dedicated Centre of Excellence to offer customers network optimization and a more integrated approach.

The global supply chain is today facing economic, demographic, technology and ecological challenges, with rising fuel costs, rapid economic growth in the BRIC countries, and the volatile financial markets creating turbulence in the market. Capgemini Consulting’s Supply Chain Agenda 2011 shows that among leading international companies 40% say that market volatility remains their greatest challenge while 45% recognize that visibility of the supply chain is their main focus. And the growing prominence of sustainability is an increasing issue for business both from a legislative and a reputation perspective, particularly as expanding social media use places companies under heightened levels of scrutiny. Added to this, there is pressure on legacy systems traditionally used to manage the supply chain as new, agile, software-as-a-service (SaaS)*** and cloud-based solutions emerge.

Capgemini’s Annual Third Party Logistics survey shows that 42% of total logistics expenditures among shippers who use 3PL services are directed to outsourcing and this is predicted to rise. Within Capgemini, Business Process Outsourcing is one of the fastest growing business units and Supply Chain Management is key element to its long term growth plan. Capgemini’s BPO business unit is aiming to extend its industry-leading position in Finance and Accounting, Procurement, Customer Operations and Finance Industry Services to Supply Chain Management.

Capgemini’s BPO Supply Chain Management Services will offer supply chain orchestration and optimization to enable transaction processing and logistics management on behalf of its clients. At its heart, Supply Chain Management is a business process. By bringing an outsourced managed services delivery model to address supply chain issues, companies can leverage the process, technical and operational expertise that is a BPO service provider’s core capability. The BPO Supply Chain Orchestration services include:

  • Order Management and Fulfillment – end-to-end process support spanning Quote to Deliver to maximize the efficiency of each step of the supply chain from: quote, order entry and management, schedule, procure and deliver through to invoice. Designed for companies with high asset-value, complex supply chains that incorporate quote and configuration, and a combination of products and services for delivery
  • Logistics Management – focusing on the coordination and shared service support for optimized and independent management of physical supply chains including truck, train, ocean and air freight. Capgemini will independently manage a complex set of vendor relationships between a company and its third party logistics partners to ensure operations best deliver against clients’ business objectives including cost effectiveness and sustainability management.
  • Sustainability Services – delivered as a bundled offer, leveraging Capgemini’s partnership with CA Technologies, and its industry leading ecoSoftware solution to help customers better manage complex sustainability data collection, challenging reporting demands and Corporate Social Responsibility (CSR) credentials.

Capgemini has a wide range of supply chain customers including Nokia Siemens Networks with whom it signed its biggest global supply chain BPO deal in 2010. “Capgemini’s excellent reputation and proven track record of maximizing efficiency in business processes, along with its global delivery model, were major factors in our decision to select them as our partner and future employer of our logistics experts. We believe that this relationship will considerably improve our order management and delivery performance through shorter lead times, better quality and increased efficiency, while Nokia Siemens Networks will focus more intensely on the customer facing aspects of order management”, said Johannes Giloth, global head of Supply Chain, Nokia Siemens Networks.

Hubert Giraud, CEO, Business Process Outsourcing, Capgemini comments: “Capgemini is a leading global BPO provider with a rich heritage in providing supply chain services to some of the world’s largest and most complex companies. This consolidated offering brings together the wealth of knowledge, techniques and tools that Capgemini’s BPO business unit has honed since its inception, to provide services to meet customers’ needs in the  ever-changing  supply chain landscape.”

About Capgemini
With around 115,000 people in 40 countries, Capgemini is one of the world’s foremost providers of consulting, technology and outsourcing services. The Group reported 2010 global revenues of EUR 8.7 billion. Together with its clients, Capgemini creates and delivers business and technology solutions that fit their needs and drive the results they want. A deeply multicultural organization, Capgemini has developed its own way of working, the Collaborative Business Experience™, and draws on Rightshore®, its worldwide delivery model.
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Rightshore® is a trademark belonging to Capgemini.

Capgemini’s expertise is recognized in Business Process Outsourcing (BPO) with a solution portfolio that spans Finance & Accounting, Customer Operations Management, Procurement, Supply Chain Management, Assurance Management, Human Resources and Knowledge Process Outsourcing services. As part of Capgemini’s Rightshore® delivery network, BPO professionals provide services to clients worldwide 24 hours a day, 7 days a week, in 36 languages, from centers located in Australia, Brazil, Canada, Chile, China, Guatemala, India, Poland, Sweden and the United States.
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About the 2012 Third-Party Logistics Study
2,258 logistics executives from both 3PL users and providers in North America, Europe, Asia-Pacific and Latin America, as well as other regions and geographies, participated in the 2012 Third-Party Logistics Study via a web-based survey. The findings were supplemented with a significant number of focus interviews with industry observers and experts, primarily relating to the special topics identified for this year. Facilitated workshops were also conducted where shipper participants collaborated on shared issues to help provide a better understanding of the survey’s results and to gain their valuable perspective as 3PL users. Though the 2010 3PL study was published last year, this year’s report is called 2012 since that will be when the results will be in active discussion.

About Capgemini Consulting Supply Chain Agenda 2011
In this year’s edition of Capgemini Consulting’s annual global supply chain study, 300 leading companies participated from various sectors in Europe (59%), the US and Canada (25%), Asia-Pacific (10%) and Latin America (6%). In addition to the survey, Capgemini Consulting conducted face-to-face interviews with 30 supply chain senior executives, which provided additional insights. The survey also looks back on bottlenecks for realizing supply chain initiatives in 2011 and gives insight in means to overcome them.

* Capgemini’s Global Process Model is a map that defines the best flow for each process and sub-process, backed by a comprehensive database of defined, world-class controls and measures representing global and industry best practice.
** BPOpen is an innovative and future-proof global integrated services platform designed to help increase speed to value in Business Process Outsourcing (BPO) delivery. Built on a Service Oriented Architecture (SOA), BPOpen makes the Service Oriented Enterprise a reality, and drives Capgemini’s Rightshore™ delivery of Business Process Outsourcing (BPO) services including finance and accounting, procurement and human resources.
*** Software-as-a-Service provides ready to use business applications, that can be integrated into customer business processes on demand.