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In today’s architectures and functional metrics, value optimization does not exist. And, when procurement and tactical planning operate in isolation, there is no decision support framework to guide the trade-offs especially when the functions are tethered to different and conflicting metrics. You are right.
in Cybersecurity from Northcentral University, while teaching Cyber courses in the evening and advising Women in Leadership at the University of San Francisco. Network Analytics: Shippers gain granular visibility into capacity, helping them optimize sourcing and manage their transportation network more efficiently. Erika holds a Ph.D.
It senses, translates, and orchestrates market changes (buy- and sell-side markets) bidirectionally with near real-time latency to align sell, deliver, make and sourcing functions. When this happens, there is greater balance between metric trade-offs and resiliency in year-over-year improvements in corporate performance.
We consistently see that companies focused on functional excellence–a focus within a functional silo like manufacturing, transportation or distribution– or singular metrics– like inventory or costs– underperform against their peer groups. To change course, learn from history, to unlearn to rethink outcomes.
Just by embedding analytics, application owners can charge 24% more for their product. How much value could you add? This framework explains how application enhancements can extend your product offerings. Brought to you by Logi Analytics.
Procurement professionals can contribute significantly to the S&OP process by providing valuable insights into supply chain dynamics, identifying potential risks, and optimizing sourcing strategies. Enroll in SCMDOJO’s flagship Sales & Operations Planning Blueprint course! Click here to learn more and register today!
Supply Chain Insights recently published a Metrics That Matter report covering both the Semiconductor and Hard Disk Drive (HDD) industries. Semiconductor is poised to consolidate, which will have huge impact on the metrics. by CJ Wehlage. Success, provided they monitor the 7 “elephants” in the room.
This customization is achieved through a combination of elective courses, specialized modules, and targeted resources that cater to specific aspects of supply chain management. Conversely, a student leaning toward supply chain analytics could engage with advanced courses in data science, predictive modeling, and optimization techniques.
Assess root causes, adjust plans, and debate course corrections. But before you start measuring everything in sight – and a few things not in sight – start with a set of thoughtful intentions and questions that will guide you to the right set of metrics and the right set of expectations. That’s not a bad answer. That’s a trap.
This week, at Supply Chain Insights LLC, we published our 11th report in the series titled Supply Chain Metrics That Matter. Over the course of a year, we analyzed a decade of financial data to gain an understanding of how companies and industry sectors are balancing growth, profitability, cycles and complexity. We enjoy writing them!
Integration of corporate social responsibility metrics in planning. Comprehensive view of source, make and deliver. Most often the focus is on transportation or logistics, but does not take into consideration the trade-offs between make, source and deliver. Focus is on make, source and deliver together.
The Power of Source-to-Pay Digital Transformation To put it briefly, source-to-pay refers to the entire process that starts with finding, negotiating with, and contracting the suppliers of materials, goods and services, and culminates in the final payment for those items. Who Should Prioritize an S2P Digital Transformation?
I was surprised as I have evaluated balance sheet progress of these leaders over the course of the last year. Over the course of the last year, Abby Mayer ( @indexgirl ) worked with the Supply Chain Insights team to build a database of 20 years of information with over 50 supply chain financial ratios. Publication of our next book.
While there are many types of visibility (see Figure 1), the most common use case is either sourcing or transportation visibility. The focus is on functional metrics, but are unable to get to overall supply chain metrics. In this blog post, I give a framework to drive discussions. Visibility. Gaps in Enterprise Visibility.
In manufacturing-based companies, 70-80% of costs are in the processes of source, make and deliver. While the practices of finance are over 200 years old, in contrast, supply chain as a cross-functional practice (the combination of make, source and deliver) was recently defined in 1982. Is talent a cost or an asset?
The company sources goods from 34,000 suppliers out of 30 nations. Products, of course, can be picked up at the branches. In the annual report where they report on their key performance indicators (KPIs), they don’t just report on core financial metrics and the NPS, they also have people metrics. The company recorded 1.9
Whether you’re an aspiring procurement enthusiast or a seasoned professional aiming to advance your career, investing in procurement training and procurement training courses can be a game-changer. Take into account things like your current skill level, desired improvement areas, and professional objectives.
In simple terms business procurement is the process of locating and acquiring goods and services from external sources for the business to use. Procurement activities include planning, sourcing, and negotiation, along with risk management, legal and value analysis. What is procurement? Undamaged shipment rate.
Running procurement and supply chain without metrics is like driving blindfolded. Our course breaks down TCO/TCS. Decoding the Metrics: What Are They Telling You? A lower TCO indicates better value sourcing, even if the initial purchase price isn’t the absolute lowest. Do you have many vendors for the same category?
Of course, AI is already in use in the supply chain, adding its capabilities to myriad other efforts to optimize operational efficiency. That’s because supply chain itself is huge, Koganti argued. In any given country’s economy, it represents around 20% to 30% of GDP. It employs 450 million people globally, and contributes $1.45
Their metrics are often misaligned as well – supply chain focuses on service and procurement focuses on the cost of acquiring materials and services. The urgency of response to a disruption of a Category 1 supplier is of course much higher than that of a Category 4 supplier. Nari Viswanathan is currently Sr.
Select a planning solution that can incorporate intelligent metrics and optimization technology. It should deliver a single source of truth, live KPIs and continuous optimization capabilities so that you can evaluate outcomes and quickly determine the best course of action to meet your business KPIs.
Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. They use their knowledge of how planning systems work to peg up to find the source of the change and determine that someone changed the wrong record causing the change and confirm with the planner that the change was intended.
The next posts in the series will break down metrics and issues to consider in SQM by industry and conclude with a case study on the application of SQM. 5 Key Metrics to Use for Scoring Supplier Quality Management (From LNS Research ). The definition of this metric is similar to the way it sounds. Cost of quality.
Of course, the big challenge in this type of external benchmarking is obtaining the necessary data, since many companies are wary of sharing performance data with potential competitors. 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.
Over the next five weeks, seventy business/technology and consulting leaders will complete the course. Based on the work with Georgia Tech, we are getting clear on which metrics matter by industry. As companies adopt a balanced scorecard, the functional metrics shift to a focus on reliability.
Many-to-many can also refer to many participants in a network accessing many, many sources of event data critical to supply chain operations through a public cloud network. COVID of course taught companies the need for agility. But even in more normal times, a supply plan usually can’t be fully executed. Stuff happens.
Of course, the right training is key to the success of such initiatives, and can have a measurable impact on supply chain performance. In this article, we’re going to look at how role-based training and supply chain training courses play a crucial role in improving team collaboration and efficiency.
Now, of course the systems of healthcare differ but overall the level and growth is certainly a concern. Quite often there can be a general lack of spend and vendor management and strategic sourcing activities. The above is a simplified view, of course. Most other developed countries are around 40-50% less than this.
The answer, of course, is yes. 3PLs can quickly assess client-level profitability via accurate cost-to-serve metrics and analytics on demand while creating a verifiable audit trail of events and charges that reduce potential credit settlements and contribute to customer satisfaction. But can technology do more?
Digital commerce efficiently requires the digitalization of many customer-facing operations and sourcing and procurement. Supply chain planning involves interaction with different types of information based on internal and external data sources. These data sources are often spread across multiple platforms and come in various formats.
While it’s undeniably important to source products responsibly and produce recyclable or reusable products, companies also need to focus on making the transportation and distribution of products more sustainable. This is a global issue, of course, but if we just take the U.S. Ensure Your Materials Are Ethically Sourced.
In order to make the improvement process a constant activity and in order to fix the achievements from development, your team must adopt the representative metrics, key performance indicators , and benchmarking items. IT and technology literacy. Constant learning capability.
Key elements to include: Sustainability Goals and Metrics: Define clear sustainability goals aligned with the company’s overall objectives. Introduce relevant metrics for measuring environmental impact like carbon emissions, water usage, and waste generation. – Bob
Year after year, well intentioned people toiled against improving metrics that reduced, not improved, the effectiveness of the supply chain. Metrics comparison of Kellogg Co. Over the course of the last decade, we have gone backwards not forwards. You got it! It is a low probability that this will ever happen. A Case Study.
IBP helps achieve key performance indicators (KPIs) like sales, customer satisfaction, inventory level and other metrics outlined in the strategic plan. Overcoming that challenge means developing meaningful and robust metrics that measure financial performance, and including them in S&OP operations. 74% supply performance.
Over the course of the last year, I have written about this extensively. I have learned that supply chain systems are more complex than I originally thought, and that the relationships between supply chain metrics are nonlinear. These tools allow us to look at sell, source, make, and deliver together. They are slow to adapt.
Leadership workshops, financial literacy programs, and compliance courses can provide the skills new managers need to succeed. Invest in formal management training. Leadership development should be a standard component of fleet management training. Encourage engagement with industry associations.
metric tons per person and in the European Union 5.66 metric tons per person. metric tons. Of course, the political systems in each country influence what can and cannot be done. Lets now break that down into the various stages in the traditional upstream source-to-contract (S2C) processes.
How do we design work systems to align organizations and ensure that there is the right balance of reward systems with metrics? Is there a need to redesign metrics to move from a functional and traditional function to drive goal alignment? How do we drive bi-directional orchestration across source, make and deliver?
For smaller fashion brands, as highlighted by Glossy , the financial burden of tariffs can be especially acute, often forcing them to absorb higher costs or shift their sourcing strategies entirely. Imagine a supplier whose customer’s DBT climbs from 12 to 57 over the course of just three months.
Traditionally, the focus has been on building efficient organizational silos for make, source or deliver. As a result, tor most companies, the goals are unclear and the financial metrics are not well-understood. This year-over-year comparison, enables visualization of performance on two metrics. Overview of the Methodology.
Today our first course, Supply Chain Metrics That Matter, is ready for sale. The other courses, designed as fast sprints, are currently in development. The full course catalog will be complete by the Supply Chain Insights Global Summit. The other six courses are being tested by ambassadors.
I was at three clients’ sites over the course of the last two weeks. As shown in Figure 1, the cost of Texas crude has increased nearly four times in the last decade; yet, too few companies are actively modeling the trade-offs of make, source and deliver TOGETHER. In the end, we were all going to live “happily ever after.”
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