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Organizational Alignment: Overlooked, but So Important.

Supply Chain Shaman

In 2012, I placed the first alignment study in the field. In the supply chain team analysis, note the 21% gap between procurement and manufacturing teams, the 35% gap between sales and operations and the 21% gap between finance and operations. Organizational Alignment 2012. To respond, follow this link. Organizational Alignment.

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Supply Chain Management – A 2012 Priority

Logility

ChainLink Research and SupplyChainBrain just released “ Business Priorities 2012 – Research and Results ” which takes a look at where companies will invest in the coming year. And yet, our respondents do expect business expansion and intend to invest to make it happen in 2012.”

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Supply Chain Performance Declined In the Last Decade. The Question is Why?

Supply Chain Shaman

Average performance in 2016-2019 across twenty-seven manufacturing sectors on inventory turns, Return on Invested Capital and operating margin was worse than in 2012-2015. Belief in efficient procurement. Investment in indirect procurement hi-jacked investment in building value networks. Sadly, most of it is the wrong inventory.

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When It Comes to Planning, Please Vote with Ike!

Supply Chain Shaman

To understand this point, I contrast the results of the Gartner Top 25 Award Winners published in 2022 (last week) against their peer group from 2012 to 2021. In contrast, 19% have an operating margin less than a comparative company for 2012-2021. The red cells indicate that the company is underperforming against its peer group.

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How 2011 Prepared Us for Today

ivalua

A Procurement Officer Survey conducted in 2012 by the IBM Institute for Business Value found that 53% of respondents believed their organization was “effective” or “very effective” at leveraging Supplier Relationship Management and Supplier Risk Management technologies. Most Procurement organizations are not yet advanced.

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Apple Procurement Leader Hails from NC State

NC State SCRC

Today’s WSJ front page shares the important role of one of Apple’s top senior executives who runs much of the procurement and supply chain activity for Apple – Tony Blevins. As head of procurement, he earned the moniker of the Blevinator, someone who could get the job done when it came to saving money and cutting costs. .

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When the Rubber Hits the Road

Supply Chain Shaman

In this volatile world, efficient procurement led by a CFO is not the answer. The low Return on Invested Capital (ROIC) and the growth below the industry average comes from the lack of network design and organizational alignment between new product development, manufacturing, and procurement. What is the issue?