Remove 2014 Remove Inventory Remove Manufacturing Remove Sourcing

Steel Fabrication and General Manufacturing Tips and Tricks for 2015

Cerasis

Still in all most fabricators have seen steel sales rise and customer demands and inventory requirements increase over the past several years. Now is the Time for Manufacturing to Look at Logistics Efficiency. The source pointed to several trends that are encouraging the adoption of TMS, including better control of data, more comprehensive analysis and the need to support omni-channel supply chains. Manufacturing seems heading for a long awaited comeback.

This Week in Logistics News (August 4-8, 2014)

Talking Logistics

The bodega and building as it appears today (source: Google Maps). HighJump Software announced enhancements to its Retail Inventory and Point of Sale Management software, RETAIL vantage. The post This Week in Logistics News (August 4-8, 2014) appeared first on Talking Logistics with Adrian Gonzalez. At the top of my family tree, the one planted here after my parents arrived from Cuba, youll find a small bodega nestled in the branches.

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Your supply chain is costing you money – Reason #6 Not effectively managing inventory.

Kinaxis

by John Westerveld Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #6 Not effectively managing inventory. Unfortunately, all the same kinds of things can happen to your supply chain inventory. Except that your inventory costs millions of dollars. Those of you that manage inventories know how hard it can be to get the quantities just right.

10 Commandments of Inventory Management

Supply Chain Opz

Inventory management is one of the most important tasks for supply chain management professionals. However, most inventory control theories are too complicated or too difficult to apply to real world situations. Then, this article will show you 10 simple principles that you can use to streamline your inventory management practices right away. 3) Forecast at the right level Standard inventory management textbooks suggested that forecast be done at a product family level.

Can Your Inventory Control System Support Seasonal Demand?

LeanCor

How can companies calculate the right inventory quantity and send it to the right place at the right time with such seasonality involved? Don’t be fooled by the scary mask – it is possible through rigorous supply chain planning, a sufficient inbound and outbound logistics network, and a supporting inventory control system. Here are 3 tips to help you develop an inventory control system based on flow to the customer: 1. Where will you keep the inventory?

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Your supply chain is costing you money – Reason #5 Not having a supply chain risk management process

Kinaxis

Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. If your demand decreases, you have excess inventory or idle capacity. Mitigating Risk – inventory tracking and dual sourcing are considered to be the most effective risk mitigation strategies. by John Westerveld Reason #5: Not having a supply chain risk management process.

Your supply chain is costing you money – Reason #7 Making decisions based on bad data (supply chain data accuracy)

Kinaxis

Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #6 Not effectively managing inventory. Having wasted time going to that store, I’d be less inclined to use that store in the future – at least I’d be much less likely to trust their website’s inventory. In addition to losing customers like me, those mistakes result in bad data that cost manufacturing companies millions of dollars.

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What the Analysts Are Saying About…A&D Supply Chains

Kinaxis

It has about 6 million components which are manufactured in 30 countries by 550 unique suppliers. Think about those design, sourcing and delivery challenges. A supply chain based so heavily on external sources is susceptible to more risk than catching a flight on time out of Newark. The challenge is balancing reduced material delays with rising inventory levels and longer Days of Inventory. by Bill DuBois.

Elephant in the Room: Thoughts on Metrics That Matter in Semiconductor and Hard Disk Drives

Kinaxis

With China already a source for semiconductor raw materials and the China/India end consumer market growing, there will be pressure to supply chips and hard drives to local China/India OEM’s first. Understanding inventory planning will take on a new dynamic. Of course, like any industry, Semiconductor and HDD manufactures are faced with a set of unique challenges in their space that puts their supply chain at risk. by CJ Wehlage.

Getting Down to Brass Tacks: Can We Really Collaborate?

Supply Chain Shaman

Source Wikipedia. Consumers became more loyal to retail brands, and retailers increased the number of products manufactured and marketed as house brands. Current State of Perpetual Inventory. Replenishment is fueled by an effective perpetual inventory signal. Without a perpetual inventory signal, you will never be able to manage out-of-stocks and promot ions. Collaborative relationships need a good signal for inventory.

Use these management strategies to build a great supply chain…

The Network Effect

To leverage cross functional measurement improvements, perhaps pull together a chat session to discuss inventory positions and show the various departments the effects their decisions are having on quarterly cash flows and customer service levels, without becoming negative and turning the conversation adversarial based on the usual “lack of visibility” issues.

The Next Great Disruption Coming to Supply Chains

Kinaxis

I watched a TED Talk video by Philip Evans, from Boston Consulting Group and shuddered to think that all our traditional fulfillment and inventory models can be drastically transformed by the “consumer”. 3PL’s, Contract Manufacturing, Suppliers, Logistics providers…. Sure, we’re concerned, and in some cases stocking more inventory at local distribution centers. They want to assure the sourcing meets their “sustainable” expectations.

Expert Explains How to Improve Supply Chain Efficiency

Supply Chain Opz

One emerging way to combat demand variability is to locate (some) manufacturing closer to the customer. By reducing lead times due to shorter delivery routes, inventory and waste in the system can be reduced without sacrificing service levels. Highly flexible manufacturing goes a step further by moving from a Built-to-Stock to a Built-to-Order system for the most erratic demand pattern.

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Why the supply chain should be more social

The Network Effect

As a result, when tragedy strikes like an earthquake affecting Japan or flooding rains overwhelming Bangkok, automakers and electronics manufacturers are unable to identify which of the suppliers upstream in their value chain may have been impacted. The problem has been compounded in recent years as many of the world’s high tech, automotive, aerospace and consumer products leaders have outsourced design, assembly, logistics and sourcing activities to Tier 1 suppliers.

Experts Discuss How to Streamline Global Supply Chain

Supply Chain Opz

Whether you''re a manufacturing company in China, a sourcing agent in London or a world''s leading company in Silicon Valley, we''re all in a global supply chain networks. That said, implementing Lean concepts would undoubtedly be part of that strategy, for example, - Lean Warehousing : Many firms (both retailers and manufacturers) are now aggressively rolling out Lean in their warehouse operations.

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Supply Chain Planning

LeanCor

For example, an automotive manufacturer may be dedicated to the operating principle of leveled flow. This dedication to level flow leads the manufacturer to make supply chain planning decisions that embrace collaboration with suppliers and dealerships. When a dealership opens its doors, it knows inventory will be more tightly controlled on the corporate level than its competition. Another manufacturer may only sell dealerships what they ask for.

Your supply chain is costing you money – Reason #10 Failure to adequately train your supply chain planning staff

Kinaxis

by John Westerveld Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #6 Not effectively managing inventory. A bad decision can result in missed orders, significant inventory, or scrapped materials. By doing this, they could potentially save the company millions of dollars in excess inventory.

Reflections on Hard Hats and Safety Shoes…

Supply Chain Shaman

Manufacturing teams used to manage the supply chain group. Today, in most organizations, the supply chain team manages manufacturing. The irony is that fewer and fewer people within the supply chain team understand manufacturing. As I work with teams to envision the new tomorrow, I find fewer people know the basic concepts of manufacturing planning–cycle inventories, freeze duration, slush period, bottlenecks and constraints.

Noob Guide to Supply Chain Management Definition

Supply Chain Opz

Supply Chain is actually a "network" consists of many players as below, A generic supply chain structure is as simple as Supplier, Manufacturer, Wholesaler and Retailer (it''s more complex in real world but simple illustration serves the purpose). Real world example is that a "new boss" ask you to cut cost by 10%, improve service level by 15%, double inventory turns and so on. What is the definition of supply chain management?

All Signs Point to Mexico Playing a Greater Role in Supply Chains

Talking Logistics

For most 3PLs, their customers — across a variety of industries — are growing their presence in Mexico, either manufacturing there or growing their supplier base there, so 3PLs need to align their services and capabilities accordingly to the changing supply chain networks of their customers. They also saw inventory cost reductions of 12% compared to 9% globally and order fill rates move to 77% from 68%. What do you think about Mexico?

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How to boost relationships between shippers and 3PLs

DELMIA Quintiq

This is due to the diversification in the production schemes of manufacturers. So, a lot of manufacturers require 3PLs to agree to service levels that are challenging for large operations. The logistics operator commits to certain time windows to deliver or pick up goods from the manufacturer, and the agreement is fixed. There is certainly high potential for both 3PLs and manufacturers to become more efficient.

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How the cloud and counterfeiting are affecting the pharmaceutical supply chain

The Network Effect

Pharmaceuticals manufacturers now realize that integrating upwards of 100 contract manufacturers in different regions into their core ERP would take several years. These capabilities can also work to reduce inventory by providing data on inventory from downstream supply chain partners, which can be leveraged to model demand and regulate drug supply. Note: This is part of an ongoing series on the top ten trends affecting the pharmaceutical supply chain.

Let the Qs Begin

Supply Chain Shaman

While the performance rankings were based on comparisons of inventory turns, operating margin and Return on Invested Capital (ROIC) for the periods of 2006-2013 and 2009-2013, the concept is that to be a supply chain leader you must outperform and drive improvement. There are three reasons why: Vertical excellence—having the best manufacturing, procurement or transportation function—has not worked. Do you actively design networks with a focus on form and function of inventory?

Five Major Changes Happening Right Now in Industrial Distribution

The Network Effect

You can do this by offering products for which you do not stock inventory, but rather pass the order onto your marketplace partner who drop- ships the product to your marketplace customers. This stockless production can literally allow you to offer an “endless aisle” of product offerings without increasing inventory. Another price reduction avenue is to cut out your supplier and go directly to the source and offer your clients private label.

Push vs. Pull in your supply chain…what’s the difference?

The Network Effect

Retailers, distributors and manufacturers are forced to choose the approach they hope will make them the most profit. They also lead to other problems like high carrying costs, discounting, disposals, missed sales, weak customer loyalty, shortages, high debt loads, inventory disposals, emergency shipments, rescheduled production and attenuated profits. Only immediate customer requirements are drawn from the protective inventories upstream. Loren Kerns (Flickr).

Throw Back Thursday: Remembering ‘Meeting Customer Demand in a Complex Industry’ from Kinexions

Kinaxis

This global manufacturer of surface-cutting tools, with headquarters in western Pennsylvania. The challenge is becoming even more daunting as Kennametal moves into the developing world, its most promising source of new business. Kennametal strives to meet customer demand for customized products, while also manufacturing to stock. General News Inventory management Sales and operations planning (S&OP) Supply chain management Supply chain risk management

Supply Chain Case Study: the Executive's Guide

Supply Chain Opz

Manufacturing systems and regulatory compliance are considered to be very complex, coupled with the limited number suppliers due to the high barriers to entry. Moreover, the aircraft manufacturers have to do whatever it takes to win the order long before the commencement of production. There are two things Boeing and Airbus have in common, utilization of lean manufacturing system and strategic sourcing concept.

Misnomer

Supply Chain Shaman

The team was organized around the functional silos of source, make and deliver. Proudly, I had led my division to have the lowest manufacturing costs with the highest Return on Assets. I believed that we would find a company with the lowest distribution costs (warehousing and transportation), and the lowest manufacturing costs, and this would result in the best overall cost structure. I also believed that this company would have the best inventory and customer service.

Lost in Translation-Incorporating Consumer Demand into your Supply Chain

The Network Effect

Her sources of information discussed, among other things, what might theoretically happen if the renminbi were allowed to float – and this is what she wrote in her column. One example of this is the sharing of POS information between retailers and manufacturers. Through such initiatives as CPFR, trading partners have tried to use aggregate POS and inventory data to try to plan the rest of the supply chain.

Throwing Down the Gauntlet

Supply Chain Shaman

“The idea of the value chain is based on the process view of organizations, the idea of seeing a manufacturing (or service) organisation as a system, made up of subsystems each with inputs, transformation processes and outputs. ” Institute for Manufacturing, 2013. __. In Figure 1, I share a composite orbit chart of progress of Cisco Systems, Intel, Samsung and Flextronics on the Effective Frontier at the intersection of inventory turns and operating margin for 2006-2012.

GM Supplier Factory Explosion: Thoughts on Supply Chain Visibility and Responsibility

Talking Logistics

Zhongron supplies aluminum alloy wheel hubs to another company, Citic Dicastal Wheel Manufacturing Co., In a statement on Sunday, GM was quick to note that it did not have a direct relationship with Zhongrong , which it described as a Tier 2 supplier, and added that Tier-1 suppliers such as Dicastal are “required to source from Tier-2 suppliers who must meet both in-country environment and safety standards as well as quality standards.”.

Challenges of global fast fashion supply chains (Part III)

Supply Chain Movement

Sourcing and manufacturing lead times. We have already discussed in this global fashion retail series about network design and inventory location in Chapter 1 and stores replenishment in Chapter 2. In this chapter we want to take a more upstream view to discuss about sourcing and manufacturing lead times. The first is the question of sourcing location. Chapter 1 of this global fashion retail series was about network design and inventory location.

The Noob Guide to Supply Chain Definition

Supply Chain Opz

Supply Chain is actually a "network" consists of many players as below, A generic supply chain structure is as simple as Supplier, Manufacturer, Wholesaler and Retailer (it''s more complex in real world but simple illustration serves the purpose). Real world example is that a "new boss" ask you to cut cost by 10%, improve service level by 15%, double inventory turns and so on. What is the definition of supply chain management?

Dreaming of Clouds, Lakes and Streams

Supply Chain Shaman

Nine out of ten companies are not making progress at the intersection of inventory turns and operating margins. The second company reads market data through syndicated sources. They are paving a way for manufacturers to rethink their processes. There are three primary obstacles for the line-of-business leader: The first barrier is that we , as manufacturers and distributors, are cheap. It is morning in Chicago. I crave coffee.

Time for a Mea Culpa?

Supply Chain Shaman

On the 2nd of April, I sat before a board discussing how a company could exceed expectations in the delivery of Return on Invested Capital (ROIC) and superior operating margins and fail at the delivery of customer service and inventory. Because he had reduced his buffers—both inventory and manufacturing—and had built a push-based supply chain using a forecasted demand signal, he was failing in many markets. It is a slow week. Most of my friends are on vacation.