Eliminating Excel in Purchasing Metrics Quality 
Supply Chain Shaman
OCTOBER 5, 2018
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.
Supply Chain Shaman
FEBRUARY 18, 2021
Initially, the output was published to procurement to design strategic buying strategies. Watermelon Metrics Don’t Drive The Right Results. I love the metaphor of watermelon metrics. The issue is that traditional functional metrics drive underperformance—the greater the variability, the larger the gap.
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Supply Chain Shaman
OCTOBER 16, 2023
Clear operating strategy and definition of supply chain excellence across plan, source, make and deliver. Most companies buy decision support technology, but do not redefine work to improve decisions. A shift from functional metrics to a balanced scorecard. The focus on functional metrics sub-optimizes balance sheet results.
Supply Chain Shaman
JANUARY 8, 2014
Interview for Metrics That Matter. My kitchen table is piled high with interviews for the upcoming book, Metrics That Matter. He is responsible for manufacturing, procurement, supply chain planning, logistics, quality, social responsibility and final product engineering. How do you define the metrics that matter?
RFgen
DECEMBER 4, 2024
We’ll examine the key components of efficient supply chains, explore essential performance metrics, and uncover the fundamental drivers that influence efficiency. An efficient procurement process optimizes vendor selection and purchasing decisions to maintain cost-effective inventory levels.
SCMDOJO
MARCH 24, 2025
Introduction Gardner, (1954) and Huntzinger, (2007) define Purchase price variance (PPV) as a metric used to measure the effectiveness of cost-saving efforts by calculating the difference between the planned cost (standard pricing) allocated for purchasing activities and the actual cost incurred.
Supply Chain Shaman
JULY 6, 2020
Ed argued that instead of buying new packaging equipment that we should work with R&D to have a base flavor and add the color and flavoring at the head of the machine. Despite goals to improve agility and resiliency, functional metrics for manufacturing efficiency continually throw the supply chain out of balance. The So What?
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