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If you’re managing inventory with spreadsheets , you’re not alone—but you might be falling behind. While Excel has long been a go-to for planners, the landscape has changed. Disruptions are constant, demand is volatile, and complexity is increasing. Let’s explore why relying on Excel could be costing you more than you realize.
I laugh when business leaders tell me that they are going to replace their current supply chain planning technologies with “AI.” Each supply chain planning technology at the end of 2024, went through disruption–change in CEO, business model shift, layoffs, re-platforming and acquisitions. You are right.
In the fast-paced world of modern supply chains, traditional forecasting methods fall short. Probabilistic forecasting is revolutionizing demand forecasting, supply planning, and inventoryoptimization by significantly improving forecast accuracy and decision-making across distribution networks.
Machine learning (ML)a specialized field within artificial intelligence (AI)is revolutionizing demand planning and supply chain management. According to McKinsey , organizations implementing AI-driven demand forecasting solutions can reduce forecast errors by 30% to 50%.
My head is wobbling with announcements, late-night Friday press releases, company name changes, and executive turnover in the supply chain planning market. Logility, a conservative company supply chain planning technology, historically had no debt and cash reserves of more than 80M, is undervalued in this deal. Is it musical chairs?
She wrote, “I have been working in the supply chain for 35 years, and we are still trying to solve the “demand” issue. Solving from a supply side seems to work for many companies I work with. Over the last two years, I actively engaged technologists and business leaders to redefine demand planning.
Venture capitalists are high on Artificial Intelligence (AI), and over-exuberant professors with shiny new models are jockeying into position to get rich. Most of the business networks were hollowed out by venture capitalists or purchased by opportunists. 80% of the data that surrounds the supply chain is not used.
Today, in supply chain planning, this could not be further from reality. In May 2025, one in seven home-purchase agreements fell through resulting in the cancellation of 56,000 purchase contracts. Supply chain was defined in 1982 as interoperability between source, make and deliver. This bearish attitude is well-founded.
Is your business facing rapid growth, supply chain disruptions and/or unpredictable customer demand? If so, optimizing your inventory management strategy can be a game-changer. This method offers a solution to various inventory and shipping challenges for businesses just like yours.
The cheese on the puffs stains my hands like I feel that mis-guided past practices have indelibly colored supply chain practices. At the session, we discussed why companies have not made more progress on inventory management. Days of Inventory Pre and Post-Recession. IT View of the Current State of Inventory.
Today, I speak at the North American Manufacturing Association, Manufacturing Leadership Conference, in Nashville on the use of data to improve supply chain resilience. Background The Council of Supply Chain Resilience met for the first time this month. What is supply chain resilience? Think this is possible? The reason?
At the Supply Chain Global Summit 2018 , Francois discussed the impact of digitalization, Industry 4.0, and L’Oréal’s approach to business that has allowed the company to continuously rank as a Supply Chains to Admire winner for four consecutive years. Read more to understand the details on the Supply Chain Index ,).
In follow-up qualitative interviews, one of the largest issues with organizational alignment was metric definition and a clear definition of supply chain excellence. To manage continuous improvement, companies need a clear definition of excellence and organizational alignment to that goal. What Drives Value?
Consumers are ever more conscious of value, sensitive to health and environmental issues – especially after the COVID pandemic, each demanding more options for their money. End-to-end supply chain visibility, planning, and execution support software are critical in agile supply chain performance.
But between rising costs, complex logistics, and the constant struggle to optimize space and labor, staying ahead can feel like an uphill battle. That’s where warehouse optimization comes in. Here’s what you can expect: A clear definition of warehouse optimization and its core components. Ready to get started?
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 #3 Not having end-to-end supply chain visibility. Reason #4 Making key decisions by modelling the supply chain in Excel. and it didn’t leak.
Supply Chain Planners Analogous to Secretarial Pools? In my forty years of studying supply chain planning, the groups became larger, but with questionable results. If I had a magic wand, I would redesign work to transform the planners to become data orchestrators with supply chain planning becoming self-service by business leaders.
In a recent research project, we found that 2/3 of companies had a digital supply chain transformation strategy; however, those that were evolving their strategy performed better during the early months of the pandemic than those that were “clear” on the project plan for a digital transformation. Supply Chain 4.0.
In the warehouse context, a digital twin can be created to represent the physical layout, inventory, equipment, and workflows of a warehouse. Simulation allows you to model hypothetical scenarios and physical changes without having to physically change the asset. Physical change (i.e.,
The basic frame of supply chain planning–functional taxonomies for optimization on a relational database–must be redesigned before supply chain leaders can reap the benefit of deep learning, neural networks, and evolving forms of Artificial Intelligence (AI). ” I don’t think so. What is the business case?
Supply chain efficiency is the cornerstone of success and involves the effective management of processes, resources, and technologies from procurement to production, transportation to warehousing. As companies across industries have discovered, a well-optimizedsupply chain can drive significant improvements throughout their operations.
As a supply chain leader, he is struggling how to dance in the ring of fire. The ring of fire is corporate politics at the executive level on supply chain performance. Each executive has a different perspective on the definition of supply chain excellence, but they are never discussed and aligned. Let me explain.
Pirelli’s Business Model and Supply Chain Pirelli (PIRC.MI) is a consumer tire company headquartered in Milan, Italy. This is a complex supply chain. Pirelli designs a specific tire for a particular model, and even a specific version of the model, for one luxury brand. Pirelli had revenues of about €6.65
Supply chain excellence is easier to say than to explain. Executive teams strive to drive improvement in supply chain results; yet, sadly, only four percent of public companies succeed. The supply chain is a complex non-linear system. Understanding this relationship requires modeling. (A The reason? A Case Study.
Today, we published The Supply Chains to Admire for 2023. Supply Chains to Admire Winners 2023 Examine Your Own Paradigm. How Do You Define Excellence? Most supply chain leaders are stuck in their own paradigms. Many believe that an ex-supply chain exec knows the definition of supply chain excellence.
The consulting team pitches a theme–vision of supply chain best practices, big data analytics, or demand-driven value networks– to the executive team, and a new project is initiated. Question 1: What drives a Successful Implementation of Supply Chain Planning? Supply chain planning is now on its third decade.
While consultants know the answers (or believe they do), I believe my goal as a research analyst is to unearth new questions that should be asked (and answered together openly in the supply chain community) to improve value. Optimization engines to improve functional metric performance resulted in an exploding number of planners.
The client leaned across the table and asked, “Is a customer-centric supply chain strategy the same as a demand-driven supply chain strategy?” Drawing from the Whiteboard: Building Customer-Centric Supply Chain Strategies. To help, I wrote a few definitions on the board: Demand-Driven Processes.
My dad is the VP of our household’s grocery supply chain. Millions of shoppers, like my Dad, are not going back to their old habits because there are now faster and more convenient ways for buying daily household needs. It excels on a union of E-Commerce mobile apps and last-mile delivery innovations. InventoryOptimization.
We have this today in most supply chain planning solutions. The problem with supply chain planning is that it is, by definition, not repetitive work. Additionally, the tight integration of ERP to APS (Advanced Planning) makes the system nervous and throws supply chain results out of balance, increasing the bullwhip impact.
Two months before COVID made headlines in the US, nobody was forecasting the dramatic downturn in demand. If a recession hits, demand will decrease. How much will demand be impacted? When companies talk about improving their forecasting, they are most often referring to demand forecasting. When will the recession hit?
As businesses become increasingly global, professionals in the supply chain field must keep up with new technologies, trends, and best practices. Summary Table edX Supply Chain Courses vs. SCMDOJO Aspect SCMDOJO edX Focus & Specialization A dedicated platform focused entirely on supply chain management.
. <Bear with me… > Here I share a nine-step process in an attempt to help companies unravel the process for buyingsupply chain planning software. Let’s face a hard fact: the supply chain planning market is a mess. They center on how to make a good decision in the purchase of supply chain planning solutions.
Supply chain software is changing. So should the purchasing process. . As someone who has worked in supply chain for over 20 years, I’m very familiar with Requests For Information (RFIs) and Requests for Proposals (RFPs). There is valuable time and effort put in by both the supplier and the purchasing party.
GEON Performance Solutions purchases plastic pellets and add plastic compounders to make products of different strength, resilience, and flexibility. When companies want to digitally transform their supply chain capabilities, moving to an integrated business planning process (IBP) is often at the heart of the transformation.
From harvest to hands, the food & beverage (F&B) industry leaves no room for guesswork, especially without supply chain optimization software. This reality is compelling F&B companies to rethink their strategies and approach to supply chain optimization and demand planning.
Demand forecasting plays a crucial role in business success, as it helps predict customer demand and plan inventory effectively. Fortunately, with the advent of artificial intelligence (AI), demand forecasting software has undergone a significant transformation.
Waves of hype pass through supply chain narratives. and digital supply chains. and digital supply chains. A Closer Look at Digital For a decade, I have struggled to get a clear definition on the digital supply chain. While digital marketing is clear, for me, supply chain digital management is not.
Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #3 Not having end-to-end supply chain visibility. Reason #4 Making key decisions by modelling the supply chain in Excel. Reason #6 Not effectively managing inventory.
With international commerce increasingly digitalized and customer requirements continuing to grow, the demands on supply chain professionals to create frictionless, responsive, and cost-effective operations have never been higher. Supercharge your supply chain career through the SCMDOJO Supply Chain Learning Track Certification!
Building Supplies. Supply chain shortages abound. The supply chain impact is unprecedented. I volunteered to write a report on supply visibility. We ordered pizza and started working on a visibility maturity model. Over the course of the five months, we iterated on the model over seven sessions. The reason?
In part one of this blog series, I started the saga of the supply chain fairy tale. It was a story where people believed that functional excellence leads to supply chain superiority. Year after year, well intentioned people toiled against improving metrics that reduced, not improved, the effectiveness of the supply chain.
The high-tech industry is rapidly evolving, driven by technological advancements and shifting consumer demands. Demand volatility and forecasting complexity The shift to cloud-based environments and the rise of XaaS models are significantly complicating demand forecasting.
While companies talk digital, the projects follow traditional supply-centric paths. Wikipedia Unleashing the Contrarian Here are my thoughts this morning over coffee: Gartner Top 25: Really A Celebration of Supply Chain Leadership? We have not achieved supply chain economies of scale. As I listen, I struggle.
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