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Molex implemented a multi-enterprise supply chain network platform from SAP called SAP Business Network. Molexs story is interesting because they excelled at overcoming these cultural issues. The most common form of trading partner collaboration is purchase order collaboration. The buyers dont report to Mr. Gainsford.
Background Most of the clients that I am working with are working on two large supply chain initiatives: Implementation of SAP RISE and Compliance with the EU Digital Product Passport initiative. I observe that organizations are unclear on outcomes and the definition of supply chain excellence. The answer is not th e Gartner Top 25.
Aptean is orchestrating the Blue Yonder/E2open/Infor playbook of buying undervalued assets and milking the maintenance and Software-as-a-Service contracts with existing customers. OMP, like o9 and Kinaxis, benefited from the SAP’s APO migration failure. This is despite the strengths of the recent purchase of Optimity.
You’re juggling production schedules, managing inventory, keeping an eye on finances, and making sure everything runs smoothly on the shop floor. Think of it as the central nervous system of your operation, connecting everything from production planning and inventory control to supply chain management and financial reporting.
Richard Lebovitz and Joe Lynch discuss leading inventory attack teams. Richard is the CEO of LeanDNA , a purpose-built analytics platform for factory inventory optimization. About Richard Lebovitz Richard Lebovitz is the CEO of LeanDNA , a purpose-built analytics platform for factory inventory optimization. acquired by SAP).
Competition : The aggressive marketing of the Enterprise Resource Planning (ERP) vendors introducing planning suites (led by SAP with a product named SAP APO) took the market off course. It did not matter that most of them had integrated to SAP suites for over a decade. During this time, I worked for Manugistics. Study Results.
Nick Lynch is the Global Excellence Manager at Shell Lubricants, a division of Shell Global. Shell operates as a single-instance of SAP Enterprise Resource Planning (ERP). What can often look like compliance in APO could actually be numbers calculated in Excel and posted into the SAP system. Planting the Seeds.
In the process, there is a fine line between marketing hype and overpromising, making buying difficult. McKinsey promises improved agility (not defined) with up to a 30% reduction in operational cost and a decrease in inventory of 75%. (I For many tech providers, the message often becomes a religious argument. Digital Supply Networks.
<Bear with me… > Here I share a nine-step process in an attempt to help companies unravel the process for buying supply chain planning software. They center on how to make a good decision in the purchase of supply chain planning solutions. Most have purchased software, but are dependent on Excel spreadsheets.
It was called multi-enterprise inventory optimization. In the beginning, the inventory management solutions of LogicTools , Optiant and SmartOps pushed to take operations research to a new level through supply chain optimization. SmartOps was purchased by SAP. They knew little about the software market. It is no more.
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. In this case, the metrics are operating margin and inventory turns.
In May 2025, one in seven home-purchase agreements fell through resulting in the cancellation of 56,000 purchase contracts. Employees Cannot Get to the Right Data at the Speed of Business A war is raging between Oracle, Salesforce and SAP to automate supply chains. A negative FVA increases cost, inventory, and risk.
We find that the companies with the most marked improvement in a balanced scorecard of growth, inventory turns, operating margin, and Return on Invested Capital (ROIC) are smaller and less well-known. Demand latency is the time cycle to translate a channel purchase to an order.) Could SAP mobilize to redefine the space?
When it comes to the management of inventory in value chains, frustration abounds. Executive, after executive, lament, “They have purchased many technologies and sponsored many projects to reduce inventories, but they are not seeing results.” Inventory is the culmination of many business decisions.
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. In 2007-2014 Terra added inventory management, multi-tier demand sensing, transportation forecasting, and long-term forecasting. However, there are no sure bets.
I am speaking to companies that are being held hostage to SAP HANA upgrades with 70% cost overruns and 60% time schedule expansion. Similarly, SAP Ariba frustration is mounting in the market. Yet, the IT team is still mandating SAP standardization. For many, mandating SAP is job security for the IT implementation team.
” Same for SAP HANA. My Point of View (POV) is that the best use case for SAP HANA is the in-memory capabilities for repetitive work. Or mine supplier shifts to build alternate buying plans. The problem with supply chain planning is that it is, by definition, not repetitive work. Test and Learn.
My takeaway is a serious concern by attendees on the impact of SAP RISE on global supply chains. Definition: “The RISE with SAP offering includes an AI-powered cloud ERP that’s managed and optimized by SAP. SAP is the maestro of charging customers for software upgrades. It was painful. I listened.
For the past five years, the team at Supply Chain Insights identified Supply Chains to Admire Award Winners by analyzing performance by peer group on the key metrics of growth, operating margin, inventory turns and Return on Invested Capital (ROIC). The project included the centralization of SAP ERP and the augmentation with other software.
The second generation of solutions were built and marketed by Enterprise Resource Planning technology companies like SAP and Oracle. By purchasing planning and transactional systems for a common vendor, they had one throat to choke and they were familiar with the architectural elements. The book is a story.
However, in the polling data in the APICS webinar, we found that over 70% of the respondents had deployed solutions from the ERP-expansionists (either SAP or Oracle). Today, SAP and Oracle have market share dominance; however, the data is clear. The SAP and Oracle analyst relations groups are big machines. It is complex.
At Dow, Mr. Baker had Purchasing experience in raw materials, and logistics for their plastics supply chain. S&OP is the key process in effectively balancing supply – what can be made – with demand – what customers want to buy. Typically, supply chain planning drives significant reductions in inventory.
At the time, DuPont, now acquired by DOW, boasted externally on internal adherence to SAP standardization for decision support. Companies tightly coupling the budget to S&OP have significantly higher inventories and lower growth than their peer group. Industries carried on average 32 days more inventory in 2020 than in 2007. (I
Dependency on Excel. Due to the shortfalls in the evolution of Advanced Planning, 68% of business users use Excel spreadsheets as the primary mechanism for planning. This is especially true for processes dependent on the ERP-based solutions from Infor, Oracle and SAP. Driving supply chain excellence is a balancing act.
Through digital marketing, small brands are cropping up all over, and it is sentiment analysis and digital content driving purchases. Instead, companies need to build it into digital process redefinition like digital path-to-purchase, digital procurement, digital agriculture, digital manufacturing or digital service.
The third issue is the lack of understanding that global processes–to maximize the economies of scale in transportation and material buying–need strong governance. Without this discipline, the global organization cannot actualize buying power in procurement or lower costs and improve costs/customer service in transportation.
So why do we feature content related to Vendor Managed Inventory? In a VMI model, part of the equation is the inbound & outbound flow of the inventory. Inventory is then put on pallets and shipped as freight. ” Vendor Managed Inventory Model: A Quick Back Story. No Purchase Orders were used.
As we walked, I reflected and kept asking Scott, “How can we optimize outcomes if companies are not clear on what defines excellence?” Sean strongly believed that the sales group knew what the customers wanted and that tight supply chain integration to sales information would drive excellent results. He was unequal to the question.
The focus is on the role of supply chain finance in driving supply chain excellence. The design of the conference includes tours of several modern warehouses and centers of excellence. Granular data by volume is a must to be able to manage replenishment, network design, and inventory targets. Time horizon. The takeaway?
As we walked, I reflected and kept asking Scott, “How can we optimize outcomes if companies are not clear on what defines excellence?” Sean strongly believed that the sales group knew what the customers wanted and that tight supply chain integration to sales information would drive excellent results. He saw all inventory as “bad.”
To drive global scale, companies need to design the supply chain to buy globally and execute locally. The company leverages globally sourcing strategies to buy products at a lower cost and then deploys some unique process logic to drive mass customization for retailers. Inventory Turns. Not many companies have cracked this code.
I think that IBM, HP, Microsoft, Oracle, SAP and Teradata are victims today in the information technology sector. I was an avid student of supply chain excellence; and in this role, I watched as best-of-breed solution after best-of-breed solution replaced with more complicated technology. This is disruptive innovation. I was a skeptic.
Supply chain management, purchase requisitions and orders, budget management, and three-way matching – all these processes are integral to procurement as a whole. Purchase requisitions and orders, receipts, invoices, and other documents must each contain specific information, often legally binding. Low-Quality Documentation.
For the past five years, the team at Supply Chain Insights identified Supply Chains to Admire Award Winners by analyzing performance by peer group on the key metrics of growth, operating margin, inventory turns and Return on Invested Capital (ROIC). The project included the centralization of SAP ERP and the augmentation with other software.
ThroughPut AI SAP Integrated Business Planning Oracle SCM Cloud Blue Yonder Kinaxis RapidResponse Infor Nexus E2Open Manhattan Associates Epicor SCM Logility Anaplan Odoo Coupa HighJump (Körber) 1. Which is the Best Supply Chain Management Software in 2025? Review the features and benefits of these tools below.
In this guide to barcodes in inventory management: In order to apply barcodes to inventory management, it is important to understand the basics of the barcode system. Hence, some companies will find corded barcode scanners to be all they need, where other companies require wireless scanners to support their online inventory management.
If we look back at history, 70% of companies implemented Vendor Managed Inventory (VMI), however two-decades later only 1% of companies use VMI processes to drive a better demand signal. Inventory strategies and processes to absorb the error. When I hear this, I raise my hand to ask some basic questions. Moving Forward.
Demand signals include shopping trends, digital footprints of shopping online or looking at recipes, talking to their neighbors and friends on social media, buying habits, and consumption data. As we have written in past blogs, point-of-sale (POS) data is a huge piece of that puzzle; but it cannot be the only piece. Bang…deduction!
Trade promotion, almost two centuries old, was used as an incentive for the retail channels to buy enough product to keep the shelves stocked with the brand and reach the local shopper with the message of price and where to buy. One of their largest is SAP. These are aptly named Demand Signal Repositories or “DSR’s.”
Competition: The aggressive marketing of the Enterprise Resource Planning (ERP) vendors introducing planning suites (led by SAP with a product named SAP APO) took the market off course. It did not matter that most of them had integrated to SAP suites for over a decade. During this time, I worked for Manugistics. Study Results.
You could assess impacts to inventory, margin, cost of sales, new purchases, capacity…all within seconds, all within a single system. Some sites have SAP, others have Oracle. The tricky part is that the analytics could be based on SAP for some data and Oracle for other data – in the same system.
What is the strategy of the Company (or Division/Supply Chain): Operational Excellence, Product Leadership or Customer Intimacy? Consumer products place priority on margin and inventory and that requires close collaboration with our customers to squeeze out as much efficiency as possible. We always put the customer first and foremost.
Competition: The aggressive marketing of the Enterprise Resource Planning (ERP) vendors introducing planning suites (led by SAP with a product named SAP APO) took the market off course. It did not matter that most of them had integrated to SAP suites for over a decade. During this time, I worked for Manugistics. Study Results.
An online procurement system, also known as e-procurement software, is a digital platform designed to streamline and automate the buying process within an organization. At its core, an online procurement system centralizes purchasing activities. At its core, an online procurement system centralizes purchasing activities.
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