Remove 2006 Remove Information Remove Inventory Remove Metrics
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The Fight of the Titans

Supply Chain Shaman

My caution is not so fast… 95% of companies are not making progress at the intersection of growth, operating margin, inventory turns and asset strategies. Figure 1: Supply Chain Metrics Are a Balancing Act. The metrics shown in Figure 1 are difficult to improve together. Consistent data is not available prior to 2006.)

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Q&A on the Supply Chains to Admire

Supply Chain Shaman

The data analyzed to compile the Supply Chains to Admire report came from publicly-available information from balance sheets and income statements. The companies were selected based on performance better than peer group for 2006-2013 and delivering better than average improvement within the peer group as determined by the Supply Chain Index.

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Q&A on the Supply Chains to Admire

Supply Chain Insights

The data analyzed to compile the Supply Chains to Admire 2014 report came from publicly-available information from balance sheets and income statements. Nineteen of the 200 companies met the performance criteria of improving operating margin, inventory turns, and ROIC together in concert for the years of 2006-2013 or 2009-2013.

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What About the Supply Chain Index?

Supply Chain Shaman

It is a quest and the subject of my next book, Metrics That Matter , that will publish in September, 2014. We used the period of 2006 to 2012 to build the model and we used the formula to attempt to predict 2013. And, recently, Procter & Gamble is more focused on improving inventory turns. I shake my head. What did we learn?

Gartner 257
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Mush

Supply Chain Shaman

I just don’t think the comparison of very different industries in a spreadsheet based on growth, inventory values, and Return on Assets (ROA) is meaningful. The more work that I do on trying to understand corporate balance sheet information and the connection to supply chain excellence, the more I realize how unqualified I was to vote.

Gartner 304
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Talent Trap

Supply Chain Shaman

Despite multimillion dollar technology projects, and tomes of strategy documents, they are stuck in their ability to overcome market factors and rising complexity to drive continuous improvement on a portfolio of metrics. In 2006, I asked Dick why it was taking him so long to define the roles of planning within P&G.

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Renegade Riposte

Supply Chain Shaman

The more that I work on supply chain metrics, the more that I believe that both the SCOR model and the Gartner Hierarchy of Supply Chain Metrics (which I worked on for the period of 2006-2010) reward functional, not end-to-end supply chain behavior. What CEO does not like the concept of reducing inventory? It is cash.