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Embracing the Supply Chain as A Complex Non-linear System

Supply Chain Shaman

turns in 2013. Kellogg posted 19% margin in 2013 and 6.96 turns in 2013 but fell to 11% margin and 6.05 Orbit Charts for Kimberly-Clark and Kellogg for 2013-2022 A good friend of mine, asked, “Isn’t this the impact of the pandemic.” This work completed in 2013 defined the Supply Chains to Admire.

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Who Should Be In The Winner’s Circle?

Supply Chain Shaman

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. After six months of analysis, we decided the best fit was the combination of growth, inventory turns, operating margin, and Return on Invested Capital.

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Defining Supply Chain Excellence: One Column at a Time

Supply Chain Shaman

Instead, what I observed when I looked at the data, was that most companies that I had worked with (in my role as an industry analyst, I had worked with over 300) were going backwards on margin and inventory turns. This work is based on a collaborative project with Arizona State University. “Ugh,” I said.

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Imagine the Supply Chain of the Future

Supply Chain Insights

On September 9–11, 2014, 110 supply chain visionaries will gather in the desert at the Phoenician Hotel in Scottsdale, Arizona to think differently and define the future of supply chain. Today, 90% of publicly-traded companies are stuck at the intersection of operating margin and inventory turns. It is needed.

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Let the Qs Begin

Supply Chain Shaman

Supply Chain Improvement is based on the work that we completed with an Arizona State University Operations Research team to determine the Supply Chain Index. Do you actively design networks with a focus on form and function of inventory? Supply Chain Design. Active, and intentional, design of the supply chain. Aligned Metrics.

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What About the Supply Chain Index?

Supply Chain Shaman

We used the period of 2006 to 2012 to build the model and we used the formula to attempt to predict 2013. This week, I am finalizing an agreement with Arizona State University to fund a PHD student in statistics under the guidance of George Runger to try to finish the work. The result is outlined in figure 1. However, we are not done.

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Judging Supply Chain Improvement: Campbell Soup Case Study

Supply Chain Shaman

We believe that a supply chain leader is defined by both the level of performance on the Effective Frontier (balance of growth, Return on Invested Capital, Profitability and Inventory Turns) and driving supply chain improvement. Resiliency is the tightness of the pattern, or the reliability of operating margin and inventory turns results.