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The Manufacturers Health Check: Firms Holding Double the Stock Amidst ‘Inventory Crisis’

Unleashed

Gross Margin Return on Inventory (GMROI), a profitability metric that accounts for unsold inventory, has now dropped in all three countries as manufacturers abandon the Just In Time business model for the more costly Just In Case approach. Founded in New Zealand in 2009 it was acquired by the UK’s Access Group in November 2020.

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Measuring Up?

Supply Chain Shaman

The supply chain is a complex system with finite, and non-linear relationships between supply chain metrics that drive balance sheet results. In our analysis, only one out of ten companies successfully improves operating margins and inventory turns at the same time. We find that companies can improve one, but not two of the metrics.

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Who Should Be In The Winner’s Circle?

Supply Chain Shaman

When Gartner purchased AMR Research in December 2009, the methodology became the Gartner Supply Chain Top 25. The first step was to charter a research project with the Arizona State University statistics department to analyze which combination of metrics drives the highest market capitalization. The result? The reason?

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Q&A on the Supply Chains to Admire

Supply Chain Shaman

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. However, due to a variety of factors, companies are losing ground on driving progress on both inventory turns and operating margin.

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Guest Post: Ignoring this Performance Metric is Risky

TMC

Companies can then prioritize their mitigation efforts based on parameters such as value-at-risk, customer importance, and field inventory. In 2009, the United States boosted import duties on Chinese tires from 4% to 35%, and did so with only 15 days’ notice. This post is credited to Dr. Yossi Sheffi.

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My Lessons in Interviewing Supply Chains to Admire Award Winners

Supply Chain Shaman

To help, we analyze business results each year to understand which companies outperform on the balanced scorecard of growth, inventory turns, operating margin, and Return on Invested Capital (ROIC) over the past ten years. They used the work built together in 2004-2009 to build a course with Georgia Tech for executive training.)

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Stories of Supply Chain Leadership: An Interview with Joan Motsinger of Seagate

Supply Chain Shaman

In our work on the Supply Chains to Admire report , we tracked the progress of manufacturing, retailing and distribution companies for the period of 2006 to 2013 and 2009-2013. We then rated companies on their ability to manage and improve a portfolio of metrics: operating margin, inventory turns and Return on Invested Capital (ROIC).