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Cummins

Cummins. Company and Division. Vision : “Making people’s lives better by unleashing the power of Cummins.” Company division Engine Power Generation Components Business Distribution. Order Processing. How to look at parts Catalog Online How to order Phone, Fax, Mail

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Cummins

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  1. Cummins

  2. Company and Division • Vision: “Making people’s lives better by unleashing the power of Cummins.” • Company division • Engine • Power Generation • Components Business • Distribution

  3. Order Processing • How to look at parts • Catalog • Online • How to order • Phone, Fax, Mail • Electronic Data Interchange (EDI) from a Value Added Network (VAN)

  4. Push Pull Push Assemble to Order Supplier (Aerostar) Warehouse Distributor/Dealer Customer End Customer

  5. Engines | Power Generation | Components | Filtration | Turbo | Emissions | Fuel | Distributions Purchasing organizations for each business segment Arriba (Buy It Now) - Web based procurement system Automate, Monitor and Control Purchasing Life Cycle Lead processing - exposure for more suppliers Integration with current ERP system Procurement

  6. Information Systems • Oracle E-Business Suite R12 - Comprehensive and Adaptive • Oracle istore, Configurator and Advanced Pricing • Oracle Advanced Supply Chain Planning and Warehouse Management • Oracle Business Intelligence - Global Views Across Business Segments “Design Anywhere, Make Anywhere and Sell Anywhere”

  7. Manufacturing Six Sigma P

  8. Inventory, Logistics and Transportation • Automotive type relationships with suppliers • Commodity Swap contracts to avoid fluctuations • Parts • WIP • Very little finished product • Certain Logistics providers are required for suppliers • Warehousing is simply near manufacturing plants - Parts • Mostly ground transportation to distributors - class 8 haulers • Favorable cost structure for their fleet

  9. Competitors Main Competitors

  10. hallenges and Recommendations • Challenges • EPA 4 Tier regulations • Tier 1-3 completed • Tier 4 is in work expected completion is 2016 • Recommendation • JIT from supplier to warehousing - Opportunistic integration • Problems with acquiring suppliers • Pros and cons • Setup costs - fleet expansion, logistics expansion • Warehousing and inventory holding

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