Supply Chain Shaman
MAY 13, 2024
How aligned do you believe your organization is to drive these metrics? Observations on What It Takes In the Mea Culpa post, I wrote that I used to believe that excellence in S&OP was a ratio of 60/30/10. (60% This research, completed in 2006, was during the transformation of multi-national to global supply chains.
Supply Chain Shaman
OCTOBER 5, 2018
The award, based on beating the industry peer group on rate of improvement on the key metrics of growth, operating margin, inventory turns, and Return on Invested Capital (ROIC) while outperforming their peer group, is tough to achieve. The orbit chart below illustrates L’Oréal’s performance at the intersection of two metrics.
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Supply Chain Shaman
JUNE 7, 2021
Gartner purchased the firm in 2010.) Driving Improvements in Supply Chain Excellence. He felt strongly that supply chain leaders knew how to drive supply chain excellence and needed a forum– or maybe two or three depending on the business model– to help them network and refine their approaches.
Supply Chain Shaman
MARCH 12, 2019
The IT taxonomy for visibility is supply chain analytics. In 2004-2006, Greg Aimi (now a Gartner analyst) and I worked on a common definition of visibility for over a year. As you implement supply chain analytics and use control theory with well-defined reference data with clear bands for control, process improvement ensues.
Supply Chain Shaman
OCTOBER 29, 2020
Cash-to-Cash Metrics. Cash-to-cash is a compound metric: (Days of Receivables+Days of Inventory)-Days of Payables=Cash Conversion Cycle. Note the elongation of the cash-to-cash cycle in the chemical industry of 38 additional days when comparing the 2014-2019 averages to the pre-recession period of 2004-2006. My takeaway?
Supply Chain Shaman
JUNE 14, 2014
I think about this discussion with Keith often as I work on the Supply Chain Index and edit the chapters of Metrics That Matter. In Figure 1, I share a composite orbit chart of progress of Cisco Systems, Intel, Samsung and Flextronics on the Effective Frontier at the intersection of inventory turns and operating margin for 2006-2012.
Talking Logistics
NOVEMBER 10, 2014
The German team overcame disappointments in 2006 and 2010 to win the World Cup this year, while favorites Spain (the defending champion) and Brazil (the host country) were humbled by the competition. BASF’s goals included: Automating the end-to-end Purchase-to-Pay process from purchase requisition to invoice.
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