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Trying to Push Content Above the Noise

Supply Chain Shaman

The month of December was my longest writing respite since I started this blog in January 2010. All four of these companies were selected as winners of the Gartner Top 25 award, yet all four underperform on growth and no company is driving improvement at the intersection of operating margin and inventory turns. Today is a writing day.

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Who Should Be In The Winner’s Circle?

Supply Chain Shaman

I struggled to manage myself as I settled in elbow-to-elbow with the group to listen to the presentation. During the presentation, I squirmed uncomfortably in my seat. The research project analyzed 1200 combinations of 180 metrics for four hundred companies for the period of 2010-2012. Figure 1. The reason? Is this leadership?

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Supply Chain Diagnostic: A Four-Step Process

Supply Chain Shaman

In Figure 1, we show the aggregate trend of the chemical industry in an orbit chart format showing year-over-year results at the intersection of two metrics operating margin and inventory turns. In the period of 2010-2018, within the chemical industry, margins fluctuated, largely driven by the price of crude, but inventory turns plummeted.

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Announcing the Supply Chains to Admire 2017 Award Winners

Supply Chain Shaman

The first number in a cell represents the average value for a specific industry for 2010-2016, and the percentage on the second line is a comparison of the average for 2010 when compared to 2016. The industry made progress on revenue/employee, but struggled on growth, margin, inventory turns.

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2020 Requires Big Wings and Feet

Supply Chain Shaman

The presentations from the Summit are posted now on the Supply Chain Insights You Tube Channel. Granular data by volume is a must to be able to manage replenishment, network design, and inventory targets. A simplistic view is that supply chain excellence is the trade-off of cost, inventory and customer service. Time horizon.

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How Can You Seize Opportunity If You Cannot Manage Risk?

Supply Chain Shaman

Energizer and Unilever are driving the fastest rates of improvement and Clorox and P&G improvement rates are the slowest on the Metrics That Matter of Growth, Operating Margin, Inventory Turns, and Return on Invested Capital (ROIC)). Average Performance Metrics for Consumer Nondurable Industry for the Period of 2010-2017.

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Congratulating the Supply Chains to Admire Winners

Supply Chain Shaman

It is now our fifth year of analyzing balance sheets to understand which companies are outperforming their peer groups on the metrics of growth, operating margin, inventory turns and Return on Invested Capital (ROIC) while driving improvement. The ploys–lunches, drinks, and presents–became humourous after a while.).

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