Getting Inventory Right: Hope with Hype and Recycled Software?

Supply Chain Shaman

I am speaking this morning at the Terra Technology conference and doing a book signing of my new book, Supply Chain Metrics That Matter. In parallel, I have been hard at work on a report on multi-tier inventory optimization for the last two weeks. It is morning in Orlando.

Household Products Industry Stuck in Neutral and Going Backwards

Supply Chain Shaman

Both Kimberly-Clark and P&G are going backwards on operating margin while making progress on inventory turns. P&G’s rate of improvement on the Metrics That Matter was lower than the peer group. As the company spiraled in the updraft of the market, it built inventory.

The Best Practice Frontier in the 3D Supply Chain Triangle


Ensure continued alignment by sharing inventory turns as a KPI. Figure 1 shows it for inventory and service. The idea is that more service, typically comes with a higher inventory (or lower turns). They increase the service but require a higher inventory.

VTech: A Story of a Supply Chain Leader

Supply Chain Shaman

Over the period of 2009-2015, only 88% of companies made improvement on the Supply Chain Metrics That Matter. Inventory Turns. Better performance in inventory turns than the peer group average for the period studied. Our phrase, at the time, was “inventory kills.”

Sales and Operations Alignment: Often The Missing Link

Supply Chain Shaman

I first met Shane in 2007 at the beginning of his work with Syngenta’s value chain. Orbit Chart Comparing Syngenta and Monsanto Progress on the Effective Frontier – Balancing Inventory Turns and Operating Margin for the Period of 2005-2014.

Is A Customer-Centric Strategy the Same as Demand-Driven? Outside-In?

Supply Chain Shaman

A Demand-Driven Value Network as defined by AMR Research in 2007: A network that senses demand with minimal latency to drive a near real-time response to shape and translate demand. The focus is on channel data: price; inventory positions; and policies. It was an early morning.

Nine Myths of S&OP Technology Selection

Supply Chain Shaman

When I wrote a summary report at AMR Research in 2007 and 2009, there were two or 6% of the market. In addition, 85% of the vendors in the multi-tier inventory optimization market that I wrote about in 1995, are now part of larger platforms.

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Unilever and Colgate: Two Bookends?

Supply Chain Shaman

If the definition is the balancing of costs and inventory, the winner is Colgate. However, what is now clear to me is that whatever the evaluative metric, Unilever is at the bottom of the CPG peer group and should never be seen as a supply chain leader.

And I thought last year’s Top 25 Supply Chain was a surprise


I am bolder on Samsung, simply because they had the highest 2016 Inventory Turns aside from McDonalds. This, my friends, is why we need to get back to CORE supply chain metrics when measuring the Top 25.

Spreadsheets – A Look Back


From our eBook, S&OP in the 21st century , “An audit of 50 corporate spreadsheets in 2007 revealed that 94% had errors… one for $100 million!” That could mean excess inventory sitting in a warehouse, gathering dust or depreciating.

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How Are You Analyzing and Adjusting to the Mobile Shopper?

Birst Supply Chain

Just as Steve Jobs reinvented an entire industry in 2007 when he introduced a mobile gadget called the iPhone, retailers have an opportunity to reinvent themselves by leveraging data generated by the mobile shopper. Every retailer is facing a similar challenge.

Building Outside-In Processes

Supply Chain Shaman

It pains me to see nine out of ten companies are stuck at the critical intersection of cost and inventory turns. For example, in the recession of 2007, DuPont missed the downturn in the market. This weekend, I decompressed and turned off my cell phone.

Friends with Fitbits: Fitness Tracking and Taking Supply Chain Planning to the Next Level

Talking Logistics

In supply chain planning, we are driven by metrics. We focus on reducing miles driven, making a delivery in hours instead of days, minimizing inventories, or increasing the utilization of our workforce. It’s been a busy week and I forgot to charge my Fitbit.

Effective Product Transitions in Complex BOM Environments


Avaya has been a Kinaxis customer since 2007 and has generated tremendous value from the use of RapidResponse. Over the past several years we have focused on either configuring RapidResponse to help us manage supply, demand, S&OP, product cost reduction and most recently inventory. Our metrics were poor, limited staff were wasting time fighting fires and chasing data, and change was certainly needed.

Next-generation supply chains: Efficient, fast and tailored

Global Trade Management

inventory turns, while the Laggards achieve only 3.8. metrics that really impact the bottom line; the Leaders in our survey. ► 2007. (4). Global Cargo Monitoring / Cargo Tracking. International trade is the engine of global prosperity today. The size of global trade has nearly doubled since 1990. The healthy growth continues as world merchandise trade continues to grow with an average of 10% per year.

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