Quintiq, a Dassault Systèmes company and provider of supply chain planning and optimisation (SCP&O) solutions, has announced that its software will be used to support Pandora's capacity expansion program.
Pandora, the jewellery manufacturer by production volume, aims to have doubled its production capacity from 2015 level to end of 2019 to meet rising consumer demand from 7,800 points of sale in more than 100 countries where its products are sold.
Pandora will implement Quintiq for tactical and operational production planning in its three crafting facilities in Thailand, where over 95% of their jewelry was produced in 2017. The Quintiq solution will enable Pandora to optimise its production planning, which will play a key role in improving utilisation of existing and future production capacity, and increase productivity.
"With Quintiq's advanced planning system supporting our capacity expansion program, we will be able to scale up manufacturing capacity, increase our efficiency and increase agility to satisfy the demands of our valued customers," said Thomas Touborg, SVP Group Operations of Pandora.
New production capabilities to support retail expansion and increased demand
It is a constant challenge for Pandora to meet the demand from its increasing number of retail stores. The company added 376 concept stores last year, bringing the total to over 2,400 stores. It recently launched its Chinese eSTORE, together with Tmall.com by China's Alibaba Group.
Pandora produces more than 120,000,000 pieces of jewelry yearly distributed across approximately 1,500 designs and launches more than 500 new designs every year to fulfil product campaigns and seasonal demand. The Quintiq solution will optimize utilisation of production equipment as well as human resources by ensuring that the specialised craftsmen have the correct mix of skills to execute the planned production. The solution will provide the agility needed to achieve high utilisation and on-time delivery while considering peaks in seasonal customer demand. By doing so, Quintiq will support Pandora in significantly reducing production lead time enabling them to serve the market with exciting new products faster, keeping up with demand spikes and build customer interest in its modern jewelry.
"We are proud to work with a global brand like Pandora," said Rob van Egmond, Quintiq CEO. "Quintiq will support PANDORA's growth and market ambitions with a solution that aligns with its lean production efforts and can scale up to meet increasing demand. We are confident that Pandora will soon be reaping the business benefits of its strategic capacity expansion programme."