Supply Chain Shaman

APRIL 24, 2025

The Losers Are the Global Multi-National Supply Chain Teams As I work on the Supply Chains to Admire report, that will publish soon, I wince at the performance of large strategic customers of the supply chain planning vendors when compared to their peer groups. Today, companies measure too many metrics without a clear definition of value.

Gartner 195

Gartner Supply Chain Planning Software Supply Chain Planning Scenario Planning 195

Supply Chain Shaman

APRIL 27, 2022

At each company, there is a relationship between the metrics of growth, margin, inventory, customer service, and asset strategy. For the purpose of this article, I will use Return on Invested Capital (ROIC) as the proxy metric to discuss asset utilization.) Supply chain excellence was largely defined as manufacturing excellence.

Procurement Analytics 369

Procurement Analytics Manufacturing Procurement Supply Chain Planning Software Supply Chain Design Software 369

Supply Chain Shaman

APRIL 2, 2025

For my long-time readers, you know that fewer than 3% of companies outperform their peer group in our Supply Chains to Admire analysis , and that the Gartner Top 25 is essentially a beauty contest for underperformers. Using channel and trading partner signals build outside-in models and orchestrate decisions across source, make and deliver.

Optimal Sourcing 195

Optimal Sourcing Supply Chain Planning Software Modeling Supply Chain Design Software 195

Logistics Viewpoints

MARCH 3, 2025

According to a survey by ARC Advisory Group, only 10% of industrial companies are ready to apply artificial intelligence/machine learning. The company has 55 manufacturing sites across the world. The risks associated with chemical manufacturing include the storage and transportation of raw materials, finished products, and waste.

Negotiating Skills 187

Negotiating Skills Supply Chain Design Software Modeling Software Supply Chain Planning Software 187

Kinaxis

DECEMBER 3, 2014

Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. Why do companies focus on reducing a specific metric? by John Westerveld. Sound ridiculous?

Expense Reduction 250

Expense Reduction Procurement Analytics Cost Reduction Strategies Metrics 250

Supply Chain Shaman

APRIL 18, 2023

For organizations layered in functional metrics and driving a cost agenda, this is a tough nut to crack. In the face of variability, this is two-to-six weeks too long to make allocation or procurement decisions. Companies driving digital transformation did not outperform their peer groups during the past three years. The reason?

Supply Chain Planning Software 418

Supply Chain Planning Software Supply Chain Design Software Optimal Sourcing Supply Chain Software 418

Logistics Viewpoints

AUGUST 15, 2022

GEP and the North Carolina State University (NCSU) Supply Chain Resource Cooperative surveyed supply chain, procurement and IT professionals across a range of industries to gain insight into their priorities and strategies regarding supply chain resilience and optimization. Procurement solutions are often updated with purchased information.

Supply Chain Network Software 312

Supply Chain Network Software Manufacturing Procurement Procurement Analytics Optimal Sourcing 312

Logistics Viewpoints

APRIL 6, 2023

Procurement and Supply Chain Management are essential functions that can help companies navigate these challenges, but they are often siloed and operate in separate departments. Their metrics are often misaligned as well – supply chain focuses on service and procurement focuses on the cost of acquiring materials and services.

Optimal Sourcing 246

Optimal Sourcing Sourcing Strategies Manufacturing Procurement Material Savings 246

Supply Chain Shaman

FEBRUARY 18, 2021

Advanced planning evolved with a focus on modeling manufacturing constraints. Initially, the output was published to procurement to design strategic buying strategies. Procurement became an island–isolated from the demand signal except for MRP. Watermelon Metrics Don’t Drive The Right Results.

Supply Chain Planning Software 355

Supply Chain Planning Software Supply Chain Design Software Supply and Demand Procurement Analytics 355

Supply Chain Shaman

DECEMBER 28, 2020

Only four percent of companies compared to their peer groups improved balance sheet performance of growth, operating margin, and inventory turns. Both companies outperformed their peer groups. Henkel is underperforming its peer group. The first story is about a large regional food manufacturer. What can we learn?

Supply Chain Planning Software 420

Supply Chain Planning Software Forecasting Forecasting Software Modeling 420

GlobalTranz

JUNE 30, 2017

Manufacturers have always struggled to know their customers. Unfortunately, this means manufacturers face an even greater challenge, as more customers translate into greater use of customer service. But, how do manufacturers turn their focus to the customer experience? Determine What Customers Want Today.

Manufacturing Procurement 205

Manufacturing Procurement Manufacturing Procurement Analytics Price Reduction 205

Supply Chain Shaman

SEPTEMBER 3, 2018

We consistently see that companies focused on functional excellence–a focus within a functional silo like manufacturing, transportation or distribution– or singular metrics– like inventory or costs– underperform against their peer groups. Reward teams for cross-functional metrics.

Supply Chain Planning Software 377

Supply Chain Planning Software Supply Chain Design Software Agile and Lean Supply Chain Supply Chain Software 377

Supply Chain Shaman

JUNE 3, 2013

It was funded by 50 large consumer products manufacturing companies (CPG). In the dawn of e-commerce, conservative manufacturers, anteed up $240 million in four months. In the height of the e-commerce craze, the marketplace offerings started with a focus on e-procurement. The stories border on the ridiculous.

Supply Chain Design Software 322

Supply Chain Design Software Supply Chain Planning Software Procurement Analytics Manufacturing Procurement 322

Supply Chain Shaman

SEPTEMBER 17, 2014

This report, Supply Chains to Admire , compares the progress of 200 companies within their respective peer groups on both performance and improvement. There are three reasons why: Vertical excellence—having the best manufacturing, procurement or transportation function—has not worked. Aligned Metrics. ” Yes, I said.

Optimal Sourcing 365

Optimal Sourcing Supply Chain Design Software Supply Chain Planning Software Manufacturing Procurement 365

Logistics Viewpoints

JULY 7, 2022

These include: Challenges getting ESG metrics from suppliers, partners, and other third parties. Time-consuming manual processes to report on ESG metrics. From product design, sourcing and operations planning, to manufacturing, logistics and warehousing, there are many opportunities for improved efficiency at each stage of the process.

Material Savings 320

Material Savings Waste Reduction Resource Reduction Supply Chain Design Software 320

Supply Chain Shaman

NOVEMBER 9, 2014

It was my first time working with this group. The team was organized around the functional silos of source, make and deliver. The group laughed. ” The group was quiet as we discussed the fact in the traditional organization that functional silos are not designed to work together. My name is often mispronounced.

Manufacturing Procurement 318

Manufacturing Procurement Optimal Sourcing Benchmarking Supply Chain Design Software 318

Supply Chain Shaman

MARCH 21, 2024

During the 1980s, I was on a management team for a large manufacturer. 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.

Inventory Reduction 435

Inventory Reduction Supply Chain Planning Software Cost Reduction Strategies Supply Chain Design Software 435

Supply Chain Shaman

JULY 6, 2020

Frank, the line manager for manufacturing, dominated the meetings. Despite goals to improve agility and resiliency, functional metrics for manufacturing efficiency continually throw the supply chain out of balance. Strong manufacturing organizations do not make the most effective manufacturers.

Agile and Lean Supply Chain 363

Agile and Lean Supply Chain Supply Chain Design Software Supply Chain Planning Software Supply Chain Strategy 363

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. Based in Paris, L’Oréal is a global personal care manufacturing company.

Case Study 329

Case Study Inventory Reduction Study Agile and Lean Supply Chain 329

Supply Chain Shaman

MARCH 5, 2019

Groups throw-out concepts. While there are many types of visibility (see Figure 1), the most common use case is either sourcing or transportation visibility. Contract manufacturing or 3PL data often will have a 24-hour latency due to batch integration. Groups rally around the concept of real-time. It looks like this.

Supply Chain Design Software 340

Supply Chain Design Software Real-time Visibility Prescriptive Analytics Software Supply Chain Planning Software 340

Supply Chain Shaman

JANUARY 9, 2024

Nvidia, Northrup Grumman, PACCAR Inc, PCA (Packaging Corporation of America), ResMed, Rockwell Automation, Ross Stores, Taiwan Semiconductor Manufacturing (TSMC) Company, Tempur-Pedic, TJX, Toro, Toyota, West Pharma, United Tractors, and Urban Outfitters. As shown in Figure B, the Company outperforms their peer group but lacks resilience.

Supply Chain Planning Software 388

Supply Chain Planning Software Pharmaceutical Supply Chain Planning Gartner 388

Logistics Viewpoints

DECEMBER 15, 2022

The idea is that data points within a group share similar properties, and each group is different (statistically speaking) from another. Retailers can apply cluster analysis techniques in different ways to find groups of customers, products, stores, or suppliers that behave similarly. The retail industry is rich with data.

Optimal Sourcing 263

Optimal Sourcing Analysis Procurement Analytics Purchasing Skills 263

Precoro

MAY 19, 2025

Companies often push aside procurement compliance to focus on more pressing issues. No wonder—procurement often gets tedious and burdened with time-consuming processes. However, ignoring procurement compliance is like ignoring a ticking time bomb. Scroll down to find out: What is procurement compliance?

Procurement Analytics 45

Procurement Analytics Procurement Solutions Manufacturing Procurement Examples 45

Supply Chain Shaman

DECEMBER 13, 2021

I gently probe with the groups and ask the question, “Why?” – Is it possible to drive digital transformation without asking the group to unlearn and untether themselves from existing norms and processes? Is there a need to redesign metrics to move from a functional and traditional function to drive goal alignment?

Cost Reduction Strategies 415

Cost Reduction Strategies Price Mitigation Strategies Supply Chain Strategy Supply Chain Design Software 415

Supply Chain Shaman

NOVEMBER 15, 2021

Especially grievous are the gaps between finance and operations, manufacturing and procurement, and the operations and commercial teams. The focus of planning is volume not value, and leaders struggle to change and embrace bi-directional orchestration to capture the price/volume trade-offs between source, make, deliver and plan.

Supply Chain Design Software 355

Supply Chain Design Software Supply Chain Planning Software Sourcing Strategies Supply and Demand 355

Supply Chain Shaman

OCTOBER 1, 2013

As I work with companies, I often contrast the strategies, approaches and outcomes within a peer group. Both companies provide packaging materials to the food manufacturing industry. Food manufacturers, over the course of the last decade, have pushed costs and waste backwards in the supply chain. Owens Illinois (OI), a $6.3

Illinois 253

Illinois Waste Reduction S&OP Supply Chain Planning Software 253

Supply Chain Shaman

JUNE 14, 2014

“The idea of the value chain is based on the process view of organizations, the idea of seeing a manufacturing (or service) organisation as a system, made up of subsystems each with inputs, transformation processes and outputs. ” Institute for Manufacturing, 2013. __. This is a group of leaders. What can we learn?

Manufacturing Procurement 345

Manufacturing Procurement Optimal Sourcing Procurement Analytics Modeling 345

Supply Chain Shaman

SEPTEMBER 24, 2017

In manufacturing-based companies, 70-80% of costs are in the processes of source, make and deliver. While the practices of finance are over 200 years old, in contrast, supply chain as a cross-functional practice (the combination of make, source and deliver) was recently defined in 1982. Is talent a cost or an asset?

Cost Reduction Strategies 263

Cost Reduction Strategies Inventory Reduction Resource Reduction Manufacturing Procurement 263

Logistics Viewpoints

MARCH 9, 2023

Commerce is global and regional at the same time, the world is getting smaller and more interconnected, and Consumer Packaged Goods (CPG) manufacturers operate in this build-anywhere and sell-anywhere market. Here we have compiled a list of the top six challenges that CPG companies face in the post-pandemic market.

Supply Chain Planning Software 287

Supply Chain Planning Software Modeling Forecasting Software Optimization Software 287

Logistics Viewpoints

SEPTEMBER 19, 2023

Management practices such as lean manufacturing and just-in-time inventory management, along with globalization, have made tremendous impact on cost and service, but have accentuated risk. Metrics such as lead-times, forecast accuracy, inventory levels, and service are used to measure operational risks. are most exposed to risk?

Supply Chain Design Software 299

Supply Chain Design Software Supply Chain Design Supply Chain Planning Software Supply Chain Software 299

Supply Chain Shaman

DECEMBER 4, 2018

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). Note the balanced results of Rockwell Automation against their peer group.

Supply Chain Software 34

Supply Chain Software Supply Chain Planning Software Supply Chain Design Software Manufacturing Procurement 34

Logistics Viewpoints

JULY 18, 2022

Ferguson provides plumbing and heating products to 9 specialist customer groups – over a million customers – in the US and Canada. The company sources goods from 34,000 suppliers out of 30 nations. The company has shown sustained improvement on this metric. Ferguson has a big and complex supply chain.

Supply Chain Design Software 305

Supply Chain Design Software Supply Chain Planning Software Supply Chain Software Network Design Software 305

Supply Chain Shaman

SEPTEMBER 28, 2022

Last week, after booking an additional $1B in unexpected supplier costs in the third quarter, the CFO led the company’s focus on restructuring to “support efficient and reliable sourcing of components and internal development of key technologies and capabilities.” What is the issue? These capabilities do not exist at Ford.

Manufacturing Procurement 195

Manufacturing Procurement Supply Chain Design Software Network Design Software Supply Chain Planning Software 195

Supply Chain Shaman

OCTOBER 29, 2014

Groupthink is a psychological phenomenon that occurs within a group of people in which there is a desire for harmony within the group, but the result is an irrational or dysfunctional outcome. I feel that the industry is engaged in ‘Group Think’ No one in this meetings is going to ask tough questions.

Supply Chain Planning Software 379

Supply Chain Planning Software Modeling Demand Planning Software Optimization Software 379

Logistics Viewpoints

FEBRUARY 14, 2022

ARC Advisory Group, where I work, recently announced the publication of their analysis of the 25 manufacturers with the most mature digital transformations. In fact, their digital champions began by aggressively expanding their sources of wisdom beyond their historic and current resources. Digital leaders learn from others.

Supply Chain Design Software 262

Supply Chain Design Software Supply Chain Software Report Logistics Network Optimization Software 262

SCMDOJO

OCTOBER 30, 2024

Conversely, a student who quickly grasps procurement strategies can be challenged with advanced case studies and leadership projects. For example, a student might work on a project that involves analyzing sales data to predict future product demand, thereby learning how to adjust procurement strategies accordingly.

Supply Chain Planning Software 97

Supply Chain Planning Software Analytics Software Forecasting Software Predictive Analytics Software 97

Supply Chain Shaman

APRIL 17, 2013

Source Merriam-Webster Dictionary. The first definition of Demand-driven Supply Chains was pushed into the market by AMR Research (now part of the Gartner Group) in 2004. They are step change requiring either the redeployment of existing technologies or the purchase of new platforms. The acronyms keep coming…. Details matter.

Supply Chain Design Software 258

Supply Chain Design Software Manufacturing Procurement Supply Chain Planning Software Supply and Demand 258