Oracle Supply Chain Exchange, Enterprise Program Management (EPM)

BearingPoint and Oracle Provide Aircraft Manufacturer Embraer with eBusiness Solution

The Client

Embraer, the world’s fourth-largest aircraft manufacturer, strives to provide world-class service provisioning and spare parts distribution. A leading manufacturer of regional 30- to 50- seat commercial airliners, Embraer is currently expanding its offerings in the 70- to 100- passenger and corporate jet markets. In addition, Embraer also provides transport, light attack, and surveillance aircraft for the Brazilian government and other air forces.

The Challenge

Embraer started to offer basic online service to offer after-sales services to its customers and suppliers online in mid-2000. However, Embraer had neither the infrastructure nor the online business capabilities to develop advanced online services to support collaborative supply chain management. Embraer selected BearingPoint and Oracle to help design and implement a more efficient trading network, AEROChain.

The Solution

BearingPoint helped Embraer refine its strategy and define the functionality needed to create AEROChain. We set up the project, determined the required functionality of the trading network, designed tracks, and developed the resource planning. We also determined the Enterprise Program Management (EPM) standards. EPM is our comprehensive, end-to-end enterprise program management office solution that combines project, knowledge, and change management to reduce the risk of project failure, effectively prioritize program initiatives, optimize internal resources, and enhance ROI.

The Benefits

Embraer’s trading network, AEROChain, offers after-sales services for customers and suppliers including trading, supply chain collaboration, forecasting and advanced planning, technical information (publications), maintenance repair management, technical services, and community capabilities. Embraer can now sell spare parts, hold auctions, and conduct reverse auctions, resulting in significant savings, via the trading network. In addition, the vendor management inventory feature of Oracle’s Supply Chain Exchange application gives Embraer the ability to collaboratively manage inventory with its regional aircraft customers. AEROChain allows Embraer to remotely manage inventory levels for its key customers. When all functionality is implemented, AEROChain will provide demand planning and direct material purchasing functionality. Embraer estimates that the AEROChain trading network will process $1.5 billion in purchasing annually.

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