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As I sat at my kitchen table, I reviewed spreadsheet after spreadsheet of corporate performance data on supplychain financial ratios. The relationship between corporate financial performance and supplychainmetrics was complex; and in my first attempts, I was unable to derive a correlation. Definitions.
In retrospect, I find that technology is an enabler, but only if we are clear on what defines supplychain excellence. Many believe that an ex-supplychain exec knows the definition of supplychain excellence. Please use caution, few led a SupplyChain to Admire Award Winner.
Closing the gaps happens when there are aligned metrics, clarity of vision and aligned planning processes. There has to be an enlightened leader that understands that the supplychain is a complex system with increasing complexity. Metrics Alignment. They lack cohesion. Many are not. Hoping to see you there!
of revenue on supplychain applications, the promise of an agile, flexible supplychain that can respond as the business changes seems like an illusion. This week, at SupplyChain Insights LLC, we published our 11th report in the series titled SupplyChainMetrics That Matter.
We are trying to understand how supplychain leaders have raised the bar at the intersection of these four sets of metrics on the supplychain effective frontier. Silos in the organization do not know how they align because over 85% of companies are not clear on supplychain strategy.
I love the stories but question the fit of the metaphor(s) for a supplychain conference. In both cases, there is a clear definition of “winning.” In the world of supplychain management following 33 months of disruption, this is not the case. A focus on functional metrics throws the supplychain out of balance.
This blog is based on an article that recently ran in the Journal of SupplyChain Management, Logistics & Procurement, “ Supplychain agility: An imperative in an unpredictable world.”. The Improved Way. These companies did not realize that profitable agility relies on a bag of capabilities, not simply “visibility.”
In the second report, I wrote about the current state of supplychain technologies. Companies are the happiest with supplychainexecution systems, but the gaps in supplychain planning are high, and the ability to use the data from ERP and order management remains a gap.
Focused on outcomes, a competitive supplychain capability not only assures the on-time delivery of component material, but also the execution of inbound supply to ensure the shipment of quality finished goods at a competitive price while delivering on-target margins for the manufacturers.
In my work tonight, I carefully studied 2006-2015 financial results to select the SupplyChains to Admire winners. The winners drive improvement while posting financial results in the SupplyChainMetrics That Matter ahead of the peer group. The supplychain is a complex system with non-linear relationships.
The promise of mathematical engines to improve business decision making is the basis of the supplychain planning, trade promotion management, revenue optimization, and supplychainexecution markets for transportation/logistics. Raise your hand and ask for definitions. Stop the frolic.
One of the SupplyChain Management trends apparent at the Gartner SupplyChainExecutive Conference in May was highlighted by several vendor/customer presentations focused on the value of Collaboration and Visibility projects. Nevertheless, I like the definition. Tom McDonough , Sr.
One of the surprises for me in the benchmark data is the gap in understanding of inventory strategies by the supplychainexecutive team. The strategy requires careful definition with finance. About the Author: Lora Cecere is the Founder of SupplyChain Insights. It takes training. However, it is worth it.
In the past, in the consumer value chain, retailers merchandised the shelf and removed units from the case and placed it on the shelf. Ecommerce has changed the definition. As a result, the average company is increasing investment in supplychain management technologies by 6 percent and rethinking architectures.
It’s rare to come across an industry article or conference that doesn’t reference how supplychains are being disrupted, automated, and optimized through digitalization. Our definition of the digital transformation is not specific to certain IT projects. Digital Transformation.
It also gets very positive endorsements from supplychain industry experts. On Time, In Full Achieving Perfect Delivery with Lean Thinking in Purchasing, SupplyChain, and Production Planning Pros: "On Time, In Full" is the most common performance measurement for customer-facing functions. Our Rating: 5/5 2.
In Part 1 of our blog Rich discussed the importance of supplychain transformation and why companies must create a “culture of transformation.” In this blog, Rich will discuss breaking the rules to create a smart supply network. The pillars of the performance management house of excellence are process-oriented metrics.
Instead of diverting more resources to returns management, supplychain managers should focus more on increasing the perfect order percentage, getting it right the first time, not the second or third time. Sustainable Practices Will Be a Leading Focus of SupplyChainExecutives.
For those procurement or SupplyChainexecutives in suitable organizations, there is an increasing number of uncertainties to manage, especially in today’s tough economic environment. Is there any definitive boundaries for procurement not to step across? If you think so, you are probably too conservative.
It’s rare to come across an industry article or conference that doesn’t reference how supplychains are being disrupted, automated, and optimized through digitalization. Our definition of the digital transformation is not specific to certain IT projects. Digital Transformation.
It’s rare to come across an industry article or conference that doesn’t reference how supplychains are being disrupted, automated, and optimized through digitalization. Our definition of the digital transformation is not specific to certain IT projects. Digital Transformation.
Once surfaced all of these flows can then be better managed through the application of supplychain management concepts and software with measurement, forecasting, metrics, visibility with full resource and performance planning and results to develop the ultimate high performance firm or what I’m calling ‘The SCM Company’ !
Changes in demand, late shipments, quality issues, point of sale, weather patterns, production schedules and projected inventory positions are just some of the myriad of things you want to be able to see so you can make better and more informed decisions as a supplychainexecutive. Execution Layer.
They are able to take pre-emptive action in either transporting or configuring shipments to reduce turn-around-times and increasing a resulting efficiency of the supplychains. The Rankings Gartner has used three financial and corporate social responsibility metrics for the ranking. Net income/total assets Inventory turns?—?Cost
At the recent Gartner SupplyChainExecutive Conference , one of the standout sessions was “The Penalty Conundrum?—?Suppliers It featured Monique Picou, Senior VP of Flow and SupplyChain at Walmart, who shared the motivation behind the retailer’s recent increase in On Time In Full targets for suppliers.
We had a very successful SCRC meeting this past week, and the speakers provided some fantastic insights to the group on the emerging trends in the digital landscape facing supplychainexecutives. Machine-based learning will be a core part of identifying how to put the part out in the right place to be able to sell it.
Many IBP cycles around the world are based on a 20-year-old process definition supported by 20-year-old planning concepts. KEY POINTS. This traditional IBP is not set up for a fast-changing world, where speed of decision making confers a competitive advantage. New Wave 3 Technology can empower a more efficient and responsive planning process.
It’s a departure from fitting every initiative into the same Gantt chart or methodology, and instead encourages businesses to evolve execution methods to fit today’s projects, which are inherently iterative and collaborative—especially in IT. For the supplychain, the definition of “bimodal” is parallel to project management.
Charlie Wilgus @Lucas_Group Charlie Wilgus is the General Manager of the Manufacturing & SupplyChainExecutive Search Division at Lucas , North America’s premier executive search firm. As we navigate the convergence of supplychain systems, tools like blockchain are going to help optimize efficiency on this front.
The supplychain for implantable devices is complex and immature. Cold chain capabilities and serialization require a redesign in product handling and supplychainexecution. The industry has created the most complex rebate incentives of any industry value chain. Please use this link: [link].
Luciano Sieber, Vice President of End-to-End SupplyChain for North America at Colgate-Palmolive, sums up the need to recognize and master volatility: “Resilience has a clear definition at Colgate: thriving in a world of uncertainty.” One change we’ve implemented is incorporating customer orders into the supplychain process.
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