QAD, a leading provider of enterprise business software and services for global manufacturing companies, announced today that Saudia Dairy and Foodstuff Company (SADAFCO) has selected QAD DSCP (demand and supply chain planning) to improve its forecasting and optimize its supply chain.

Based in Jeddah, Saudi Arabia, SADAFCO locally produces, imports, distributes and markets a wide range of food products throughout the Middle East. Established in 1976, the company is a leader in the Middle East in the milk, tomato paste and ice cream categories, marketing its core products under its flagship brand Saudia.

SADAFCO has had a business relationship with QAD since 2010 and has used QAD Enterprise Applications for ERP since 2015. Forecasting, however, remained spreadsheet-based and not integrated with ERP, resulting in a lack of information needed to accurately plan inventory and production. QAD DSCP provides a complete supply chain planning solution with specific capabilities for Demand Planning, Production Planning, Distribution Planning, Procurement Planning and Sales and Operations Planning (S&OP). SADAFCO will initially implement Demand Planning at its headquarters in Jeddah in 2016. It will then roll out Production Planning, Distribution Planning and Procurement Planning in subsequent projects allowing it to manage its three manufacturing sites and 24 distribution centers with a single integrated solution.

SADAFCO anticipates that QAD DSCP will reduce costs and inefficiency throughout its supply chain by assisting SADAFCO with:

• Reducing raw material inventory and raw material costs.
• Increasing sales through higher product availability.
• Improving forecast accuracy enabling a more accurate production plan.
• Enabling more timely availability of raw materials for manufacturing.
• Improving communication with suppliers, ensuring effective just-in-time deliveries.

SADAFCO chose QAD DSCP for the following reasons:

• QAD DSCP offers a comprehensive, end-to-end solution.
• QAD DSCP integrates with SADAFCO’s existing QAD ERP and with the company’s van loading system.
• QAD’s extensive food and beverage industry experience and expertise.
• QAD DSCP is flexible and can be configured to meet SADAFCO’s needs without customization.

“We were using spreadsheets to do the majority of our forecasting and it was not providing the level of accuracy we needed,” said Pat O’Toole, SADAFCO’s manager, planning and supply chain systems. “We wanted a comprehensive solution that would meet all our supply chain needs while integrating with ERP. Not having to implement everything in one go is perfect for our business. Over time, using QAD DSCP should allow us to better manage our inventory, improve our customer service levels, reduce our make-to-order lead time and increase our promotional profit. We also anticipate that it will help us improve our communication with our suppliers which will lead to lower purchasing costs.”

JC Walravens, QAD senior vice president of Europe, Middle East and Africa, commented: “When a leading regional player the size and stature of SADAFCO chooses to implement our entire DSCP solution it is a sign that we are on the right path. Food and Beverage manufacturers face a unique set of challenges that can result in significant changes in consumer demand. QAD DSCP has helped many food and beverage companies around the world get the information they need to deliver the right product to the right place at the right time in the right quantity at the best cost. We are confident that it will do the same for SADAFCO.”