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In follow-up qualitative interviews, one of the largest issues with organizational alignment was metric definition and a clear definition of supplychainexcellence. To manage continuous improvement, companies need a clear definition of excellence and organizational alignment to that goal. What Drives Value?
Machine learning (ML)a specialized field within artificial intelligence (AI)is revolutionizing demand planning and supplychain management. These improvements directly strengthen the bottom line, making ML capabilities an essential component of modern supplychain management software.
“May you live in interesting times,” widely attributed as a Chinese curse, some claim this as a blessing; whichever side you take, this is exactly what’s happening in the supplychain world since 2020, and it looks like we will be living with this blessing/curse for a while longer. Emerging Themes for SupplyChainPlanning.
The Covid-19 pandemic tested the global supplychain. Like riding a bumpy road, the supplychain leader is riding the ups and downs of changing market conditions facing greater variability day-to-day. Here, based on interviews with supplychain leaders, I share lessons learned. It will not be over soon.
Autonomous SupplyChains In this competitive environment, a CPG manufacturer needs to fight to get space on retailer shelves in each region, keep those shelves stocked, compete and collaborate simultaneously with e-commerce, and maintain its operating margins. each with discrete plans generated typically in sequential batch runs.
by Trevor Miles I have been in the advanced planning and scheduling (APS) space since 1995 when I joined i2 Technologies in Europe. Before that I was in management consulting doing what would be called supplychain design or reengineering today. Let me start with the confusion between planning and execution.
Over the years, working for and with numerous manufacturing companies, I’ve seen many supplychain practices that cost companies money. Reason #2 Poorly executed or non-existent sales and operations planning. Reason #3 Not having end-to-end supplychain visibility. Reason #6 Not effectively managing inventory.
Thats why modern BI systems are quickly becoming the go-to solution for data-driven enterprises. They integrate, align, and activate data across the business to drive better, faster decisions unlike legacy reporting tools that can’t. But lets be clear: not all BI platforms are created equal. Why does that matter?
Today, we published The SupplyChains to Admire for 2023. SupplyChains to Admire Winners 2023 Examine Your Own Paradigm. How Do You Define Excellence? Most supplychain leaders are stuck in their own paradigms. Many believe that an ex-supplychain exec knows the definition of supplychainexcellence.
When making discretionary purchases, I could look at my projection to make sure that if I made that purchase, I would have enough money in the bank, not only now, but at the end of the month when my mortgage and car loan came out. Then could I buy it? Today’s supplychain professionals need a crystal ball, too.
Supplychainexcellence is easier to say than to explain. Executive teams strive to drive improvement in supplychain results; yet, sadly, only four percent of public companies succeed. The supplychain is a complex non-linear system. Now, I view the company as a supplychain laggard.
When reviewing strategy decks for supplychain teams, I often see statements like “move from a functional-silo’d focus to a drive a more holistic response.” ” Followed by “How are you organized, and what defines functional excellence? And, how do you tie functional excellence to corporate value?”
Supplychain efficiency is the cornerstone of success and involves the effective management of processes, resources, and technologies from procurement to production, transportation to warehousing. Healthcare providers are leveraging efficient supplychains to ensure critical supplies reach patients when needed most.
The Company was attempting to gain economies of scale by grouping manufacturing technologies within a common infrastructure to reap the benefits of a co-generation facility, a centralized warehouse, and a talented administrative team. Engineers could sign up for hour-long blocks to use the new systems. Why Jump Now?
My dad is the VP of our household’s grocery supplychain. 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.
This is part 2 of a 2-part series on how to succeed in planning and decisions amid times of disruption. In part 1 of my blog on Planning the Value Chain and Decision Making in Times of Disruption, the focus was on the ability to react and execute amidst the unpredictability of demand. Technology for Effective Planning.
Michael Jacobs, Senior Vice President SupplyChain, Ferguson. Mr. Jacobs is the senior vice president for supplychain at Ferguson. While nominally a distributor, “supplychain management is our core competency. In particular, Ferguson’s supplychain is built for speed and to provide high service levels.
In my recent Mea Culpa post, I mentioned my prior work on Sales and Operations Planning (S&OP), and the importance of leadership. If you have walked in the shoes of the supplychain leader, you are probably laughing by now. In assessing the health of the plan, what do you measure? Is your plan feasible?
The consulting team pitches a theme–vision of supplychain 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 SupplyChainPlanning? The answer is no. How do I know this?
This is a story for the Eds, Franks, and Toms working together in supplychains across the globe. It is also a story for a young supplychain manager attempting to make a difference, but feeling stymied. My job, as the plant engineering manager, was to drive innovation and implement technology improvement.
Nick Lynch is the Global Excellence Manager at Shell Lubricants, a division of Shell Global. Located in the United Kingdom (UK), he has more than twelve years of experience in progressive roles driving demand-drive projects for their global supplychain. Understanding the Lubricant SupplyChain. Overview of Shell.
Today, nine out of ten supplychains are stuck. Despite two decades of advancement in supplychaintechnologies, companies are struggling to gain balance at the intersection of operating margin, inventory turns and case fulfillment. Like an artifact, I have kicked around in the supplychain space since the 1980s.
Let me start by saying that t he process is not a panacea to solve all supplychain ills. Clear operating strategy and definition of supplychainexcellence across plan, source, make and deliver. There is a clear definition of the role of the supplychain in the delivery of value. Governance.
I asked companies to “Navigate through the hype focusing on the feasibility of scope and technology.” At the time, the popular belief was that Enterprise Resource Planning (ERP) technologies would build multi-tier capabilities. The solution solved a relevant industry issue. Clear governance. The debates were heated.
With international commerce increasingly digitalized and customer requirements continuing to grow, the demands on supplychain professionals to create frictionless, responsive, and cost-effective operations have never been higher. Supercharge your supplychain career through the SCMDOJO SupplyChain Learning Track Certification!
Or agreement on the definition of supplychainexcellence. Sometimes, even the definition of a supplychain is not clear. 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.
The attendees were sitting on the edge of their seats to hear about the next release of Llamasoft software. The market for network design tools was growing at a moderate rate, and most of the market had invested in technologies from either i2 Technologies (then termed i2 Strategist) or Logictools. The theatre was packed.
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 supplychain community) to improve value. This is why I host training twice a year to challenge existing technology paradigms. Back to John.
Driving Sustainable Growth Through SupplyChain Resilience. Every industry sector and every business across the board, in APAC and around the globe have been impacted by the Great SupplyChain Disruption over the last two years, causing a blow out of transportation costs and continuous delays at every stage of the channel.
In part one of this blog series, I started the saga of the supplychain fairy tale. It was a story where people believed that functional excellence leads to supplychain superiority. I strongly feel that a blind focus on functional excellence will cause the supplychain to become out of balance.
As an analyst in the supplychain market for 15 years, I have written many articles on best-of-breed technology companies purchased by a larger company. Today I am writing my take on the acquisition of Terra Technology by E2open. It is a story of supplychain innovation. History of Terra Technology.
With rising costs and declining margins, health systems must become more efficient and productive. We believe that a key pillar of this transformation is the supplychain. Now, of course the systems of healthcare differ but overall the level and growth is certainly a concern. Share on Twitter. Share on Twitter.
” SupplyChain Leader. Interview for Metrics That Matter. My kitchen table is piled high with interviews for the upcoming book, Metrics That Matter. I loved the quote that I captured today in my interview (see above), and I have enjoyed interviews with supplychain leaders like Peter Gibbons.
In the presentation, I shared data on the evolution of supplychainplanning and the results on user satisfaction. The use of best-of-breed planningtechnologies was small at 15%. Neither technology vendor is an industry leader in delivering a solution that fits the needs of the supplychain planner.
The power of Integrated Business Planning (IBP) comes in helping companies align financial, sales, production, procurement and marketing information into a single plan, grounded in modern-day reality. Indeed, it would be surprising if they agreed. Can you imagine adding economists to this already potent mix?). The Future of IBP is Now.
Theme 1: Global supplychains will be busy, congested and chaotic. 2023 call: Global supplychains will be slightly less busy, congested and chaotic, but cheaper – at least the transportation part. Theme 2: Online buying will fuel home delivery growth, challenges and new strategies. Despite many calling for U.S.
What defines a high-performing supplychain? However, this year promises a significant paradigm shift where traditional performance metrics are replaced by technology-driven frameworks, as recent breakthroughs with Generative AI in supplychains have demonstrated.
For the past five years, the team at SupplyChain Insights identified SupplyChains 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). About the SupplyChains to Admire Methodology.
Your supplychain needs to be agile too. The best supplychains are also designed for purpose. For the purpose of this discussion, I define agility as the design of the supplychain to deliver the same cost, quality and customer service given a level of both market volatility and process variability.
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.
Goodman titled “ The SupplyChain, Reconfigured.” ” His narrative centers on the evolution of the global supplychain evolving with a focus on labor arbitration ignoring geographic distance and shipping issues. Traditional supplychain practices are no longer best practices.
This was WBR’s first event in the United States targeted for the Medical Device SupplyChain Leader. Today, managing a medical device supplychain is tougher. As hospitals adopted consignment planning programs, inventory progress slowed. Companies with lower margins tend to get better at supplychain faster.
“If only I had the money that the company was supposed to save from the multiple ERP and supplychain projects. This year supplychain leaders will celebrate thirty years of progress in supplychain management; but we have not made progress on one of the funamentals: inventory management. I really do.
Understanding how your Procurement and SupplyChain KPIs are performing isn’t just a nice-to-have; it’s essential for survival and growth. But what if you could get a clear, birds-eye view of your core performance without investing in complex, expensive software? Check out SCMDOJO’s SupplyChain KPIs Dashboard!
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