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In follow-up qualitative interviews, one of the largest issues with organizational alignment was metric definition and a clear definition of supply chain excellence. In my post Mea Culpa, I reference my work with the Gartner Supply Chain Hierarchy of Metrics. Error is error, but is it the most important metric? My answer is no.
Interview for Metrics That Matter. My kitchen table is piled high with interviews for the upcoming book, Metrics That Matter. Writing a book is a labor of love. It is my second book. To give readers a sneak peek for the book, here I share my interview with Peter. .” Supply Chain Leader. I am behind.
Traditionally, procurement has been a process weighed down by manual tasks, fragmented systems, and endless paperwork. Today, procurement is undergoing a transformation. While procurement teams have long worked to add strategic value, Artificial Intelligence (AI) amplifies their impact.
Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. Yet, these are similar instructions as what is passed down to the supply chain from executives focused on a specific supply chain metric. Why do companies focus on reducing a specific metric? There can be multiple reasons.
The Failure of Existing Demand Planning Solutions. During the pandemic, supply chain leaders turned off their demand planning solutions. Also, the solutions lacked flexibility. No company interviewed was able to successfully use their current what-if solutions to model pandemic impacts. Lessons Learned. The reason?
The solution solved a relevant industry issue. In the height of the e-commerce craze, the marketplace offerings started with a focus on e-procurement. The widely-held view was that the e-procurement market would fuel the next generation of marketplace applications. Transora had a short history. Clear governance.
In my research, I find that the lack of alignment has a direct impact to value (operating margin and market price to book value). 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. Functional Metrics.
In today’s dynamic market, procurement is far more than just a buying and purchasing center. Our latest e-book, “ Is Manufacturing Missing Out On Procurement’s Value Add? Our latest e-book, “ Is Manufacturing Missing Out On Procurement’s Value Add? Here are some key insights from the e-book.
Here are the three questions that I would like people to ask: Table 1: Comparison of Results for Best of Breed Solution Providers to ERP Expansionists in Supply Chain Planning. The first evolution of technologies were built by best-of-breed solution vendors. This new solution was favored by the Information Technology (IT) organization.
Aggressively design and test products online and then bring the data into your forecasting tools to predict sales of new products by channel. It was great to see click and pay on the London tube, and I love some of the new models that are being developed in grocery and specialty stores for purchases on-line and pick-up at the stores.
Transportation Metrics That Matter Most to Track and Improve Performance : How do you measure logistics efficiency and transportation metrics performance indicators when you are already doing the best job possible? Let’s take a look at these trucking industry trends and what kind of facts they provide. Read the Full Blog Post.
I also shared with them my view that companies will ultimately find opportunities for supply chain innovation at the intersection of Software, B2B Connectivity, and Social Networking — a trend best illustrated by the rise of Supply Chain Operating Networks (SCONs). How are companies using SCONs in the real world?
Streamline Your Route Planning Process Daily route planning can quickly become overwhelming, especially if you’re managing delivery routes using spreadsheets, manual methods, or basic mapping tools. Top 10 Route Planning SoftwareSolutions: Overview Here’s a quick comparison of the top route planning softwaresolutions in 2025.
Companies often push aside procurement compliance to focus on more pressing issues. No wonder—procurement often gets tedious and burdened with time-consuming processes. However, ignoring procurement compliance is like ignoring a ticking time bomb. Scroll down to find out: What is procurement compliance?
I am speaking this morning at the Terra Technology conference and doing a book signing of my new book, Supply Chain Metrics That Matter. Selling licenses does not translate into implemented software. ” LLamasoft: Recycled Software Assets Offering Hope? ILOG was then purchased by IBM for $340 million in 2008.
With so many moving parts to running an ecommerce business, youll probably build a tech stack of several different apps, platforms, and solutions to power your operations. The software automatically pulls inventory data from your warehouse for a real-time stock count update across all your sales channels.
With so many moving parts to running an ecommerce business, youll probably build a tech stack of several different apps, platforms, and solutions to power your operations. The software automatically pulls inventory data from your warehouse for a real-time stock count update across all your sales channels.
Businesses often use it in retail and purchasing. Category management isn’t just another procurement trend. It’s a way for companies to group similar goods or services (like IT infrastructure, facilities, or raw materials) and manage them holistically instead of handling every purchase in isolation.
Movement solves for this by empowering AI agents to clean data, then communicate and act at the operational level, including booking shipments and performing complex reroutes, all while keeping stakeholders informed. This extensive connectivity has resulted in impressive metrics: 1.2
As an analyst in the battered supply chain software market for a decade, it is fun to watch you grow. Clients buy your software because you make it real. I always start the discussion of all software acquisitions with the same statement: the acquisition of software is seldom a good deal for the buyer/user of software.
As of January 1, 2022, it was taking a company an average of 73 days to deliver goods to truck or rail carriers after booking with an ocean carrier and completing the cross-ocean journey, according to E2open’s Ocean Shipping Index. Brand loyalty is no longer the driver for consumer purchasing decisions. HOW DID WE GET HERE?
When it comes to executing mode-specific freight moves from origin to destination efficiently, reliably, and cost-effectively, transportation execution and visibility solutions play a critical role. Transportation execution solutions allow shippers to connect to multiple carriers and then tender, track, and pay in the system.
” Or run the statement by any software provider, and they will share that their solutions delivered these “best practices.” ” When I first started working on the book Bricks Matter , I believed it too. Which supply chain metrics correlate to market capitalization by Morningstar sector?
According to McKinsey & Company, procurement accounts for 50% to 80% of a company’s cost base. That’s why organizations zero in on strategies to achieve procurement cost reduction. The key thing to remember is that cost reduction in procurement isn’t just about slashing expenses.
The traditional tools and approaches are not up to the task. Push for new Solutions. The greater the demand latency (time to translate purchase in the channel to receiving an order), the greater the value of demand sensing to reduce demand latency. They are sensing and shaping channel behavior. Let’s face it.
When I wrote the book Bricks Matter , I cavalierly penned a chapter on the evolution of supply chain thinking from cost to value. I found this out the hard way when Keith Harrison , contributor to the Forward of the book, asked me to define what I meant by ”value.” E2open last week announced the purchase of Serus.
Digital commerce efficiently requires the digitalization of many customer-facing operations and sourcing and procurement. Ensure that, somewhere along the way, data diagnostic tools will be used to check for missing and inconsistent data automatically. . Accurate and timely reconciliation of purchase orders with receipts.
Are you looking for logistics management books? In this article, we will show you 5 books that'll help you learn logistics faster than any other logistics book. Logistics Book Ranking Factors To provide the book recommendations, first, we collect the name of the books that appear on Amazon.com.
When making discretionary purchases, I could look at my projection to make sure that if I made that purchase, I would have enough money in the bank, not only now, but at the end of the month when my mortgage and car loan came out. You create a new scenario within the tool and modify the forecast for the time period of the promotion.
With the seasonal flood of consumer demand about hit the retail industry, advanced home delivery solutions can play an important role in success. A single solution also provides the retailer and the customer with consistent visibility into delivery status. Blending Traditional + Customer-focused Metrics.
The article is written and the story is spun, but the solution offered is a supply-centric solution based on yesterday’s technology. As a result, articles are written proclaiming demand-driven results and then the reader is given a solution that is anything but demand driven. The concepts surrounding demand driven sound right.
Without a doubt, Apple Inc is the world leader in Innovation, Branding and Software Ecosystem. Apple Inc purchases raw materials from various sources then get them shipped to an assembling plant in China. Supply chain professionals also use this metric in inventory management function. 1) Apples Supply Chain Model. A Case Study.
Software maintenance costs are rising for the CIO. In parallel, the traditional software vendors are struggling with the Innovators Dilemma. They must evolve existing platforms to continue to fund their solutions; but at the same time, they realize that they are not serving the greater need of the market to reinvent the supply chain.
As an analyst in the supply chain market for 15 years, I have written many articles on best-of-breed technology companies purchased by a larger company. The initial software product release name was Real-Time Forecasting. E2open sells a cloud-based solution for network collaboration. History of Terra Technology.
For example, Infor purchased GT Nexus in 2015; OpenText purchased GXS in 2014, GHX purchased H-Card, LLC today; E2open purchased Terra Technology in May 2016 and Orchestro on Monday. Thoma Bravo purchased Elemica in June 2016. The solutions evolved from different funding models.
According to Deloitte’s 2025 Global Chief Procurement Officer (CPO) survey , 41% of CPOs are actively renegotiating with existing vendors to deal with volume volatility and price hikes. Effective vendor collaboration isn’t built on iron-clad contract terms and purchase order s.
Today, 7% of order and purchase order flows move through business networks. Increasingly, companies are evaluating business network solutions to close the gap on inter-enterprise visibility, but as they work on the problem, they find that they need to somehow interconnect business networks. The gaps are large.
Whereas retailers once purchased merchandise largely based on the gut instinct of trend-savvy buyers and the push of whatever manufacturers tried to sell them, nowadays, they need to take a much more customer-focused and data-centered approach. What is Lean Retail? How lean retail impacts business goals and revenue targets.
Ive seen KPI “packs” the size of phone books, and even KPI sets circulated as a monthly magazine that no one reads. Of course, its also possible to add further tiers for even more granularity, but again, the more levels you have, the more complex your KPI solution. Remember what the K stands for! What about DIFOT?
With the evolution of Software as a Service (SAAS) and Business Process Outsourcing (BPO) technologies there are now more options. The purchase of supply chain solutions remains a complex sale with increased power by Line of Business Leaders. Or favor the adoption of SaaS solutions from Logfire, Kinaxis, ModelN, and Steelwedge?
Types of cost efficiency metrics Here are five main types of cost efficiency metrics: Cost per unit : Total cost divided by units produced (e.g., Environmental benefits Many believe sustainable practices are costly, but according to the cost-efficient meaning, the most cost-efficient solutions are often the most sustainable.
No metric should be measured in isolation, and functional metrics should be replaced with the balanced scorecard metrics shown in Figure 2. To maximize value—price to tangible book, functional metrics need to be reset to focus on reliability. 5 A Focus on Functional Metrics Throws the Supply Chain Out of Balance.
Alternatively, you can procure access to a digital freight benchmarking platform. The range of such tools is growing along with demand, so you should be able to find one that matches your budgetary and capability requirements. The Pros and Cons of Procuring a Benchmarking Tool. 4: Use Standardised Metrics.
As shown in Figure 1, users are more satisfied, the implementations are shorter and there is greater Return on Investment of solutions from Best-of-Breed solution providers—especially if the best-of-breed solution providers used are industry-specific. Consultants recommended the solutions by SAP and Oracle. The reason?
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