One Supply Chain Does Not Fit All
Customer Company Size
Large Corporate
Region
- America
Country
- United States
Product
- JDA Demand Manager
- JDA Supply Chain Planner
- JDA Order Promiser
- JDA Enterprise Architecture
Tech Stack
- Supply Chain Management Software
Implementation Scale
- Enterprise-wide Deployment
Impact Metrics
- Customer Satisfaction
- Productivity Improvements
Technology Category
- Functional Applications - Enterprise Resource Planning Systems (ERP)
Applicable Industries
- Electronics
Applicable Functions
- Logistics & Transportation
- Procurement
Use Cases
- Inventory Management
- Supply Chain Visibility
Services
- Software Design & Engineering Services
- System Integration
About The Customer
Altera Corporation is a pioneer and leader in the field of programmable logic solutions. The company enables system and semiconductor companies to rapidly and cost-effectively innovate, differentiate and win in their markets. Altera delivers solutions and services to more than 12,000 customers worldwide, with annual revenues of $1.9 billion. The company's customers range from global market-leading original equipment manufacturers (OEMs) to local hobbyists. Altera sells products that are low-volume/high-cost and products that are high-volume/low-cost — and every product type in between.
The Challenge
Altera Corporation, a pioneer and leader in programmable logic solutions, serves more than 12,000 customers worldwide, with annual revenues of $1.9 billion. However, recent market changes and organizational growth over the past decade prompted Altera to reevaluate its supply chain strategy. Adapting to external changes like new government regulations and industry consolidation, as well as managing more complex products and various distribution channels, were impacting the company’s supply chain. The company recognized that change is the new norm, and therefore, it needed to be continuously evolving in order to ensure supply continuity and velocity. Altera increased external and internal forecast collaboration, and invested in business process improvement and integrated planning systems to accelerate the speed of information exchange.
The Solution
Altera adopted a segmentation strategy, enabled by JDA’s Manufacturing Planning solution, to tailor its supply chain model. The company leveraged JDA’s demand planning, master planning and order promising capabilities to successfully drive both customer and product segmentation. Altera developed unique forecasting techniques and safety-stock policies that are tailored to its different customer segments. For example, the company developed a collaborative process for its OEMs since they purchase in large volumes. For customers with a more stochastic demand profile, Altera implemented very different supply chain processes and rules. The company also segments its supply chain based on product type. Altera’s segmentation strategy is critical in balancing ambitious customer service targets with real-world resource constraints.
Operational Impact
Quantitative Benefit
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