Sony Music

Case Study

Integrated Supply Chain Management for Sony Music

Arvato provides a pan-European solution for Integrated Supply Chain Management – the strategic partnership with Sony Music creates customer value from release to retail. Sony Music Entertainment, a wholly owned subsidiary of Sony Corporation of America, is the second largest music major worldwide. Sony Music is home to some of the most prestigious and successful record labels, e.g. Columbia, Epic and RCA, representing music from every genre.

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Marcus Karten

Vice President Global Business Development

Background Situation

Arvato is the key partner for Supply Chain Management and one of Sony Music’s key partners for replication and warehousing & distribution in Europe. Supply Chain excellence and cost-efficiency are important factors for Sony Music’s success. Sony Music is therefore looking into all opportunities for outsourcing, for internal and external consolidation, and for turning fixed into variable cost.

Arvato's Solution

In 2009, Sony Music outsourced its European Supply Chain Management organization “European Services” to Arvato. Arvato now operates Sony Music’s legal entity “Sony Music Entertainment International Services GmbH” – managing all Supply Chain activities from release to retail on behalf of and in the interest of
Sony Music. While Sony Music can focus on strategic Supply Chain design (supported by Arvato), Arvato provides all operational services for cost-efficient Supply Chain processes. These optimized processes, sophisticated systems, and the experience and knowledge of the team, are the basis for future Supply Chain consolidation within Sony Music and with other Entertainment companies.

Vendor Management Inventory

Finance Management

Development and maintenace of integrated IT system landscape

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