Remove Chemicals Remove Eliminating Excel in Purchasing Remove Metrics
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L’Oréal: A Case Study in Supply Chain Excellence

Supply Chain Shaman

The award, based on beating the industry peer group on rate of improvement on the key metrics of growth, operating margin, inventory turns, and Return on Invested Capital (ROIC) while outperforming their peer group, is tough to achieve. The orbit chart below illustrates L’Oréal’s performance at the intersection of two metrics.

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Provoking the Industry to Move Past Incrementalism

Supply Chain Shaman

Or agreement on the definition of supply chain excellence. As a result, functional excellence anchors action. The focus is on digitization—automating today’s processes—versus rethinking process excellence based on the art of the possible. An orbit chart is a plotting of data at the intersection of two metrics.

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Writing: Working on My Book

Supply Chain Shaman

Interview for Metrics That Matter. My kitchen table is piled high with interviews for the upcoming book, Metrics That Matter. Prior to joining Starbucks, he worked at the executive leadership level in Europe, Latin America and North America at ICI, a global chemical company. How do you define the metrics that matter?

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What Is Old Is New Again. Maybe, Just Maybe, the Emperor Is Getting Some Clothes.

Supply Chain Shaman

While there is work within SAP to rethink SNC and use the assets purchased with Ariba to build multi-tier capabilities, the progress is not encouraging. the company is owned today by 20 organizations representing manufacturers, distributors, hospitals and group purchasing organizations (GPOs). Marketplace Rebirth.

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Insights from Elemica reveal 2014 Frankfurt

Talking Logistics

Several customers addressed those questions in excellent case study presentations: Dr. Bernhard Herzog, Oxea GmbH – “Business Impact of a Supply Chain Operating Network”. Herman Woltjes, Shell Chemicals – “Logistics Execution”. Ralf Kahre and Patrick Gött, BASF – “End-to-End Business Process Management”. Fast and effective roll out.

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Collaboration? When It Comes to Cash-to-Cash, We Don’t Know How to Walk the Talk

Supply Chain Shaman

Cash-to-Cash Metrics. Cash-to-cash is a compound metric: (Days of Receivables+Days of Inventory)-Days of Payables=Cash Conversion Cycle. Note the elongation of the cash-to-cash cycle in the chemical industry of 38 additional days when comparing the 2014-2019 averages to the pre-recession period of 2004-2006. My takeaway?

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How Do We Heal the Healthcare Value Network?

Supply Chain Shaman

They each lag in their understanding of supply chain excellence, and are now struggling to build effective supply chain teams. On the webinar, when the participants were polled on the reason for rising inventories, over 50% of respondents indicated that it was the lack of an executive understanding of supply chain excellence.