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3 Prerequisites to a Modern Demand-Driven Supply Chain

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In 2010, Gartner estimated that manufacturers outsourced about 70% of the products they make to other manufacturers. I haven’t seen a recent statistic, but that still feels about right. So, it only makes sense that, for most manufacturers, implementing modern demand-driven or pull-manufacturing techniques will require collaboration with many partners across the entire supply chain. Before you can collaborate with your supply chain partners, you need to get your own house in order.

3 Ways to Put Big Data to Work in Your Factory

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Is enthusiasm for Big Data wavering? In 2015, McKinsey Global Institute claimed that the IIoT had the potential to create as much as $3.7 trillion in economic value in the global manufacturing sector by 2025. They also predicted that 80 to 100% of manufacturers will have implemented IIoT applications by then and already be reaping the benefits of data-driven insights into their operations.

Fast Results Using TOC for Demand-Driven Manufacturing – Part Two

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Manufacturers use constraints management first to gain the most demand-driven change. Last time, we talked about focusing on enterprise improvements rather than local efficiencies using constraints management (TOC). We discussed that continuous improvement tools such as TOC, Lean and Six Sigma work like “sandpaper” on an organization’s processes, smoothing various stages of their demand-driven journey.

The Pros and Cons of Consolidating Manufacturing ERP Systems

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Managing operations through multiple manufacturing systems can be challenging, but it’s a daily reality for many manufacturers. In this post, we’ll look at the pros and cons of consolidating ERP systems – and propose an alternative. When Two Worlds Collide. Whenever two or more organizations merge, they are almost always using different ERP systems. As anyone who’s ever tried to consolidate an ERP systems knows, it’s not easy. Each organization chose their respective ERP systems for a reason.

Facebook Causes Continue to Show Little Promise as Fundraising Tools

IT/OT Convergence in the Factory of the Future

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Since the advent of the Industrial Internet of Things (IIoT), experts and enthusiasts have been talking about the coming together of IT (information technology) and OT (operational technologies). Some call it an integration, while others call it a convergence. I call it a good thing.

Manufacturing Metrics that Actually Matter (The Ones We Rely On)

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Part one of a multi-part series to help you measure your production efforts wisely. LNS Research blogger Mark Davidson said, “When it comes to metrics, it’s often said that what gets measured gets done.”. I have found this to be true when working with many different manufacturers. Mark also writes: “Metrics that have the attention of business and manufacturing leaders tend to be those that get measured and improved upon by their employee teams.”. I agree– measurements do drive behavior.

The Magic Bullet for Real-Time Supply Chain Collaboration? Cloud Visibility.

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Jessica Twentyman reported in the Financial Times , that for many manufacturers, supply chain collaboration is stuck in the dark ages. When it comes to ordering materials and components, managing inventory levels, or organizing the delivery of finished goods to customers, companies are forced continually to chase business partners – mostly suppliers, logistics companies, and retailers – via a messy stream of emails, phone calls, and even faxes.

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It’s Time to Revisit Vendor Managed Inventory

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A few decades ago, Vendor Managed Inventory (VMI) was a hot topic. Many manufacturers saw it as a way to reduce inventory levels and costs. If they could get their suppliers to maintain ownership of raw materials or subcontracted components until consumed, inventory levels would naturally drop—on paper anyway. Because they were giving most, or all of their business to one supplier, they were also in a position to negotiate better terms.

What Sandpaper Will You Use? – Part One

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What to Use to Get the Most of Your Demand-Driven Changes. Demand-driven manufacturing leaders are always refining their tools and tactics to ensure they’re spending their time wisely. This blog marks the first in a three-part series about using the tools of TOC, Six Sigma and Lean to help manufacturing leaders gain the most benefit from their demand-driven transformation. Three in One.

Mission Critical: Leveraging Learning Engineering to Drive Digital Transformation

Speaker: Trish Uhl, Founder of Owl's Ledge LLC and the Talent & Learning Analytics Leadership Forum

Digital is disrupting every part of an organization's value chain at a record pace, creating a critical need to transform operations and employees' ways of working. Formal training alone can't keep up; it's often too slow, too generic, inconvenient, inefficient, unduly expensive and lacks or lags methods for measuring business-related effectiveness. Trish Uhl show you how to start leveraging Learning Engineering, a multidisciplinary approach that combines modern technology, data analytics, decision science, learning sciences and change management with human-centered engineering design methodologies to ultimately deliver targeted learning outcomes and business results that keep pace with the business and merge learning into the flow of work and lead Digital Adoption.

Efficiency vs. Productivity: Metrics that Matter…Until They Don’t

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Measure efficiency and productivity against your REAL goal. I keep seeing the word efficiency in the manufacturing media. For s omeone who is a Constraints Management person, this is the equivalent of saying “Ni” to the Knights Who Say Ni (Monty Python reference, okay?) or like scratching your fingernails across a blackboard. It is one of those words that I think we should remove from the English language.

Supply Chain Visibility and Collaboration – How ERP Falls Short

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TR Cutler, Inc. Market Research (TMR) just released the results of a survey conducted in the first two weeks of February, 2017. The respondents were all discrete manufacturers and all held VP or C-level titles. The universe of completed surveys totaled 401 and inquired about the highest priorities for manufacturers today. The sample size ensures statistical significance to a probability of +/- 3%). Key Findings and Frustrations.

Three Ways Leaders Create Lean

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Three Ways Leaders Create Lean. Relentless” leadership and team empowerment drive lean change. For those of you who have heard this before, it bears repeating. For those of you who have not, this is important – leadership is the single most important component to lean success. .

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Weathering the Next Recession

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The global economic recession that started in 2007/2008 hit the manufacturing sector hard. In February of 2009, The Economist even published a piece called The Collapse of Manufacturing. If you recall, this was right about the time the automotive manufacturer bailouts kicked in because they, like the larger financial institutions, were deemed too important to the US economy to fail. It felt like we were on the verge of an economic collapse.

Webinar on Demand: Resilient Supply Chain Network Design

Speaker: Bhomik Jain, Paul van Nierop & Aanand Pandey

Companies around the world are struggling to cope with COVID-19 disruption. Are supply chain networks resilient enough to weather the storm? Watch this webinar to learn about our research findings in the realm of network design and optimization, and uncover the capabilities you need to build resilience and agility.

You are Here!

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. . Where to Start Your Lean Journey. There’s one sure-fire way to tell when someone has lived in Minneapolis long enough to be called a Minnesotan. No, it doesn’t involve rooting for the Vikings, though that helps. It’s when they can find their way around The Mall of America without a directory.

It’s Time: Manufacturers Need to Cut Ties with MRP and Spreadsheets

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A few years ago, Aberdeen Group did a study that showed that 63% of “best in class” manufacturers still used spreadsheets for planning. With percentages this high, it’s probably safe to say that there is a lack of trust in planning tools like ERP and MRP even in the best-run companies. Of course, spreadsheets come with their own set of issues. You may have a certain amount of confidence in the spreadsheets you’ve created, but what about those from your colleagues?

Aligning Metrics to Strategy

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Measuring your strategic goals against their value and the time, money and attention they need. When we began our metrics discussion, we talked about how behaviors are too often dictated by metrics—and whether or not these behaviors actually “move the needle” for sustainable supply chain improvements. Mark Davidson’s blog about aligning metrics to larger goals and objectives covers this topic well. I’d like to go over what I find especially valuable about these tactics.

The Future of the Organization is On Your Shoulders

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Imagine this: You’re in a high-level planning meeting with senior leadership, when the CEO and CFO issue a clear mandate: Get inventory levels under control. The VP of Sales, never being one to hold back an opinion, steps in to argue that the organization needs to become more competitive if it’s to survive. Right now, your promised lead times are the longest in the industry – even longer considering how often your promised delivery dates are not met.

The Best Sales Forecasting Models for Weathering Your Goals

Every sales forecasting model has a different strength and predictability method. It’s recommended to test out which one is best for your team. This way, you’ll be able to further enhance – and optimize – your newly-developed pipeline. Your future sales forecast? Sunny skies (and success) are just ahead!

Modern Metrics

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How Technology Has Changed What We Measure. The two areas of my working world are embracing technology like never before: Marketing and manufacturing. While digital content and automated technologies gave birth to the modern marketer, a more real-time, digitally connected enterprise is driving modern manufacturing strategies like the Factory of the Future, Smart Manufacturing and Industry 4.0 – all of which are grounded in Demand-Driven Manufacturing methods. This got me thinking.

Five Key Elements that Drive Manufacturing Flow

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If you follow the Demand-Driven Matters blog, you know we specialize in Demand-Driven Manufacturing and have identified the two key components of this method as synchronization and flow. At an enterprise level, synchronization is all about fully connecting your organization to aggregate and share information in real-time.

POV: 3 Ways Layered Technology Differs from the ERP Add-On

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Most manufacturers have, at one time or another, deployed an “ERP add-on.” These are the bits and pieces of functionality sold through third parties that round out the capabilities of an ERP system. Common ERP add-ons can include core functionality like Advanced Planning and Scheduling (APS) and Supply Chain Planning (SCP), but for major ERP systems, there are dozens if not hundreds of add-ons available.

Smooth the rough spots with TOC, then Lean – and fine-tune with Six Sigma

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What Grade of Sandpaper Will You Use? Part Four. Here we are at the final installment of our four-part, Sandpaper blog series about when to use the tools of Lean Manufacturing, the Theory of Constraints (TOC) and Six Sigma to address constraints, drive flow and promote continuous improvement.

Supply Chain Planning Maturity – How Do You Compare to Peers?

Today's supply chains are networked, global ecosystems. An event upstream in a different country or region can cause considerable disruption downstream. The COVID-19 pandemic is an extreme example of how this unfolds in practice. How prepared are supply chain teams to react and recover, from a planning maturity stance? Download this report to get exclusive insights on planning maturity!

Doing more with less: Learning from Kanban

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The manual Kanban cards that were the precursor to Lean Manufacturing have evolved into eKanban systems that automate inventory replenishment and reduce material waste. READ MORE on our guest post on EBN, the premier online community for global supply chain professionals. The post Doing more with less: Learning from Kanban appeared first on Synchrono. eKanban Inventory Lean Manufacturing ekanban inventory kanban lean manufacturing replenishment

Lean Manufacturing Driven by Rapid Return on eKanban Technology Investment

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Lean Manufacturing relies heavily on trusted relationships with suppliers and pre-negotiated terms of engagement. Through the use of supplier quality certifications and blanket (long-term) purchase orders, a manufacturer can accurately and effectively calculate the optimal level of inventory needed to fulfill demand requirements through the duration of replenishment lead time. Ensuring supplier performance. When a relationship is setup with a supplier, a service level agreement is defined.

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Creating Trust Throughout the Supply Chain Using Demand-Driven Methods

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How reducing forecasting errors and disruption risks create better supplier relationships. . Building trust in the supply chain is essential to driving flow; and when there are forecast errors, there is an inherent mistrust throughout the supply chain. Lack of collaboration is often the cornerstone of conflict, blame, and mistrust between a manufacturer and suppliers. These communication breakdowns lead to finger-pointing when forecast errors and disputes arise.

Demand-Driven Supply Chain Transformation

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End-to-end Visibility for Real-time Coordination, Communication, and Commitment. By applying demand-driven methods and synchronizing processes, manufacturers are reaching new levels of communication, profitability, and customer responsiveness. Demand-Dr iven Manufacturing incorporates the best of Lean manufacturing, Theory of Constraints (TOC), and Lean Six Sigma principles.

B2B Pocket Playbook: End-to-End Guide to Sales Enablement

Sales enablement is the strategic process of providing sales teams with the content, guidance, and mentorship needed to engage targeted buyers. It’s all about equipping sales professionals with the tools they need to put their best-selling foot forward. And if sales teams want to continuously sell better -- and faster -- their sales enablement process must have a game-winning strategy. It's time for you to start selling smarter - and hitting your sales number - with the best B2B database in the market. Get started today.

Demand Driven Manufacturing in the Engineer-to-Order Space

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Aligning Lean Manufacturing and Continuous Improvement Practices. Demand-driven manufacturing (DDM) is an approach to manufacturing where production is based on actual demand rather than forecasts. DDM enables a synchronized, closed loop between customer orders, production scheduling and manufacturing execution – all while simultaneously coordinating the flow of materials and resources across the supply chain.

Common Lean Manufacturing Software Project Constraints

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Leveraging Project “Constraints” and Maximizing Results. As a project manager for demand-driven, lean manufacturing software, I have more than a nodding acquaintance with the theory of constraints (TOC). What I find quite remarkable is the ability to apply the theory of constraints to other mediums beyond the manufacturing of goods – even something like project work.

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The Industrial Internet of Things (IIoT) and the Modern Marketer

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For your customers, it’s more than just connectivity. I was recently reading about the Industrial Internet of Things as it relates to my business—manufacturing software. It’s exciting that technologies are now available that will liberate manufacturers from the rigid systems and processes of the past. For today’s manufacturer, the IIoT boils down to the ability to capture and connect data from multiple sources to attain truly meaningful information.

FAQ: Is Demand-Driven Manufacturing the Same Thing as Lean?

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Many of our customers don’t start out looking to implement Demand-Driven Manufacturing per se. Often, they’re focused on Lean Manufacturing or at least some element of it. In fact, customers often find out about us as they search for an eKanban or production scheduling solution that will work with their current ERP system. However, at some point in the conversation, they will inevitably ask, “Is Demand-Driven Manufacturing the same thing as Lean Manufacturing?”.

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Supply Chain Resilience in the Face of Uncertainty

Speaker: Aanand Pandey, Supply Chain Analyst & Consultant, AIMMS

This short video explains how scenario modeling can help you improve supply chain resilience and your ability to respond and recover quickly from disruptions. Looking at scenarios side by side provides valuable insights that makes it easier to evaluate impact on your operations, ability to service customers and margin, and the best options to restart supply when supply lanes reopen.