“In 5 to 10 years, the hybrid MRP/DDMRP solution will be the norm”

Jérémy Catteloin, expert in supply chain management

Published at 08/30/2022
Expert's voice
Portrait Jérémy Catteloin

Jérémy Catteloin

Supply chain expert

The Demand Driven methodology derived from Lean Management is benefiting from a real ripple effect thanks to an economic and industrial context that is more uncertain than ever. For supply chain management expert Jérémy Catteloin, the Demand Driven vision is a key lever for improving performance which should gradually be imposed, in association with the historical flow management solution MRP – Material Requirement Planning.

- You talk about the DDMRP solution as a key lever for improving performance. What other factors come into play?

Human factors are obviously essential, I am thinking in particular of the management method and the level of maturity of the teams. This goes hand in hand with the need for performance management tools that are more modern, more visual, more automated...

We like to talk about innovative solutions and it is indeed a strategic aspect, but there must be consistency between the different dimensions of the processes, the organization, the systems and the skills of the men and women who make up the supply chain. . These 4 dimensions must be at the same level of maturity, because we can have super competent people, if we do not have the right tools in front of us we are very limited.

There are also organizational issues, it happens that the supply chain teams are subject to contradictory injunctions from top management who say, for example, "we must reduce stocks" when we must plan, structure and optimize a supply chain by working on different horizons of temporality and with a systemic logic.

When developing an innovative solution as we do at BEVOLTA, we must always put ourselves in the shoes of the users, of all users! Whether operational or top management. It seems obvious, but it is rarely the case. However, for a solution to work, users must take ownership of it. I believe this is one of the key elements of our success. At BEVOLTA we didn't just want to create powerful software. We absolutely wanted a solution that was simple and enjoyable for users. The fact that they adopt it quickly and that the recommendation then takes place mainly via users, is the reward for a lot of research work and a detailed knowledge of the field.

- If DDMRP is a key performance driver, why aren't big ERP vendors jumping on it?

They're on it! But pure-player publishers like BEVOLTA, which entered the niche 7 years ago, have taken a lot of head start and today benefit from sought-after expertise, with already some great success stories.

- Do you encounter blockages in the face of a DDMRP methodology which remains relatively recent in France?

Yes, we still encounter reluctance, especially among certain CIOs who may rightly hesitate before entrusting the heart of their supply chain management to companies like BEVOLTA, which remain small compared to large ERPs. But when these blocking situations are overcome, there is today a real enthusiasm for the method and the tools of the DDMRP. In addition, the basic foundation is now much more robust because it covers many processes in the supply chain, with concrete feedback from a whole range of industries. In addition, we rely on consulting partners - from the "big 4" or more targeted supply chain depending on the case. All this facilitates the conviction of decision-makers.

In any case, the brakes will be gradually lifted and within 5 to 10 years all eligible sectors will be switched to a hybrid MRP/DDMRP mode depending on the products and levels in the supply chain. It is then tools like BEVOLTA, which already make it possible to manage in DDMRP or classic MRP, which will be best placed to ensure this hybridization of management methods. There will be no more debate on MRP or DDMRP, we will focus on the most elaborate "best-of breed" to seek out the issues of agility, flexibility and resilience in the supply chain.

Interview by Ghislain Journé