The Most Important Distribution Center Metrics to Track and Understand

Cerasis

Throughout the supply chain, the use of metrics to track and understand processes provides an invaluable resource for ensuring increased production and customer satisfaction. Additionally, the use of metrics fosters positive relationships with coworkers and adherence to rulesets and best practices for the respective third-party logistics provider (3PL). What Distribution Center Metrics Need Tracking? Data Distribution Logistics Supply Chain distribution center metric

6 Benefits of Effective a Reverse Logistics System & The 9 Core RevLog Metrics to Track

Cerasis

While conventional logistics optimizes the flow of goods from producer to consumer, reverse logistics manages the processes for inverting that flow to deal with returned parts, materials and products from the consumer back to the producer. Thus, reverse logistics management has developed into a discipline that produces cost reductions, adds efficiencies and improves the consumer experience. BONUS: Download the Ultimate Guide to Transportation Reverse Logistics White Paper.

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3 Core Metrics & 10 Soft Metrics for Measuring Supply Chain Performance

Cerasis

3 Key Metrics for Measuring Supply Chain Performance Beyond Cost Reduction. Inventory measurement is critical and it is money after all in that it took a capital expense to procure. The goal is to keep inventory levels at a minimum to meet customer needs. Review Inventory turns and Return on Assets. For clarity, in measuring supply chain performance, we should be focusing on: inventory, working capital, and time.

Your supply chain is costing you money – Reason #9: Relentless pursuit of one metric at the expense of other metrics.

Kinaxis

Reason #6 Not effectively managing inventory. Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. Yet, these are similar instructions as what is passed down to the supply chain from executives focused on a specific supply chain metric. One example that I’ve seen several times is around inventory targets. The result is a lower inventory level, but much higher expedited costs and reduced customer service.

Supplier Quality Management: What it is, 5 Key Metrics to Know & a 4 Step Supplier Evaluation Process

Cerasis

Therefore, it is paramount for you as a logistics and supply chain professional to have a keen sense of how to properly evaluate a supplier. The next posts in the series will break down metrics and issues to consider in SQM by industry and conclude with a case study on the application of SQM. 5 Key Metrics to Use for Scoring Supplier Quality Management (From LNS Research ). The definition of this metric is similar to the way it sounds.

Logistics Metrics You Didn’t Know You Should Be Watching

Supply Chain Collaborator

What if I told you were unwittingly undermining all the time, cost and effort your organization has invested in logistics IT solutions like TMS and optimization tools? Read on to find out what may currently be missing from your supply chain logistics program. Yard management is a crucial piece of any successful logistics management practice with significant implications for efficient supply chain planning. Asset management/inventory controls.

The 9 Key Considerations of an Effective Last Mile Logistics Strategy

Cerasis

Understanding last mile logistics is only half the battle. Shippers need to reevaluate their existing last mile logistics processes and devise an effective last mile logistics strategy that aligns consumer and business expectation. In fact, an effective last mile logistics strategy must consider these nine key points. Planning Is Essential To Have an Effective Last Mile Logistics Strategy. Logistics

Vendor-managed inventory and distribution planning in the food and beverage industry – here’s something to chew on

Kinaxis

Among the many supply chain initiatives taking place today, vendor-managed inventory (VMI) has become an increasingly effective process and business model to help organizations share risk and information between vendors and customers — while benefitting from lower stockouts, reduced uncertainty and lower costs. What is vendor-managed inventory? The benefits of the vendor-managed inventory process include: Enhanced visibility for vendor. Maintaining optimum inventory levels.

Logistics Company

LeanCor

2 Key Inventory Metrics Your Logistics Company Should Be Measuring. ADOH represents how much inventory a process has stored expressed in terms of how many days that process could sustain activity by consuming the stored inventory. ADOH is an appropriate measure of lead time your logistics company should use because replenishment is based on consumption, and eliminating the time between consumption and replenishment reduces waiting and increases velocity.

Which Metrics Matter? Interview with Philippe Lambotte

Supply Chain Shaman

My journey to understand supply chain Metrics That Matter started three years ago. When I sat down to write the book, Bricks Matter, I believed that companies had used supply chain technologies to reduce operating margin and improve inventory turns. We are currently mapping the progress of all public manufacturing, distribution and retail companies on three factors: Strength: Year-over-year improvement on operating margin and inventory turns for the past six years.

Logistics Key Process Indicators (KPIs)

The Logistics of Logistics

If you move freight for a living, you know the importance of logistics key process indicators (KPIs). A KPI is an indicator (a metric) that you have chosen, and agreed with your partners and or customers, that will determine whether you are meeting your critical success factors. Key Process Indicators vs. Metrics. I sometimes use the terms KPI and metrics interchangeably, but they are not the same. Only the most important metrics can grow up to become KPIs.

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Speed up your eCommerce Business with Inventory Management Software

Vinculum

Inventory management plays a vital role in building a sustainable, scalable and profitable eCommerce business. No matter how expert you are, how bigger or smaller your business may be, what products you sell, or who do you serve, lack in your inventory management can bring bigger challenges in your business success. Thus, inventory Management Software is really an essential tool for your business to gear itself up. What is Inventory Management System?

Top 15 Logistics Blog Posts of 2014

Cerasis

We continue our top blog posts of 2014 from our main categories today by focusing on something at Cerasis we are experts in : Logistics. If you are familiar with the term logistics, then you undoubtedly know it conjures up a different meaning to different people , different countries, and different companies even. There are countless number of logistics service providers who offer many different types of broad and niche services. Top 15 Logistics Blog Posts of 2014.

Guest Post: Ignoring this Performance Metric is Risky

TMC

Companies can then prioritize their mitigation efforts based on parameters such as value-at-risk, customer importance, and field inventory. Professor Yossi Sheffi is Director of the MIT Center for Transportation & Logistics. The post Guest Post: Ignoring this Performance Metric is Risky appeared first on Connect Blog by TMC, a division of C.H.

Six Ways Warehouse Inventory Management Software Optimizes Efficiency

IQMS

The Warehouse Inventory Management Software market grew to $1.4B Warehouse Inventory Management software and systems help reduce infrastructure costs and enable the reallocation of existing IT resources to drive productivity improvements, according to IDC. Warehouse Inventory Management Software is seeing increased adoption as manufacturers expand globally through mergers, acquisitions, and regionally-focused manufacturing strategies.

Wanted: Supply Chain Architects!

Supply Chain Shaman

I knew nothing about the world of logistics, inventory management and order optimization. From the research, we know that when organizations have source, make and deliver reporting to the same leader, that supply chain performance improves (intersection of operating margin and inventory turns). It is usually driven by the logistics and transportation functions. Companies need multi-tier Available to Promise (ATP) and real-time inventory management.

Defining Your Own Logistics Competitive Weapon

Talking Logistics

For a long time, C-level executives viewed supply chain management, especially the logistics function, as a cost center. You have to think and act beyond cost manage and find ways to leverage supply chain and logistics as a competitive weapon — that is, look for ways to leverage supply chain management to drive top-line growth, increase market share, and enhance customer loyalty. Supply Chain & Logistics Trends Amazon Prime logistics supply chain

Common Sense Warehouse Performance Metrics for Supply Chain Benchmarking

Logistics Bureau

Some Common-sense Warehouse Benchmarking Metrics. In this post, you can discover some common-sense warehouse metrics that should probably be included in your project, regardless of whether you are benchmarking internally or externally. We’ll begin with a few metrics relating to cross-functional/cross-enterprise order-fulfilment performance—typically known as “perfect order” measurement. Other Warehouse Performance Benchmarking Metrics.

7 Incredible Benefits of Cloud-Based Logistics Management

Cerasis

In the below article I propose to have a look at the main benefits and advantages of the cloud-based logistics management. Each industry has its peculiarities, among the others, in the logistics, manufacturing, and supply. It incorporates your resources from every stage of the logistic process in the real-time. The cloud-based logistics is a “pay-per-use” model. The cloud-based logistics grants a more realistic assessment of the company’s ability to perform.

Excess Inventory? No Problem. You Have Trailers In the Yard.­­

Talking Logistics

With the national warehouse vacancy rate hovering at record lows and warehouses bloated with inventory pulled in from China during 2018 to get ahead of impending tariffs, companies can combine flexible storage options with advanced technology to create an end-to-end supply chain solution that works. But even as developers have flooded the market with new inventory, some retailers are still having trouble finding adequate, flexible space. The post Excess Inventory?

Why Reverse Logistics Systems and Transportation Management Should Be Considered Together

Cerasis

Needs for efficient reverse logistics systems continue to increase as e-commerce claims greater market share, and as so many traditionally functioning businesses grow and inevitably incur increasing volume of returns. This presents opportunities for developing new revenue streams, an exciting challenge to logistics professionals. Need For Reverse Logistics Breeds Opportunity. Efficiently managing reverse logistics is a daunting challenge for many businesses.

6 Benefits of Applying Useable Data in Logistics For Continuous Improvement

Cerasis

We continue our series on strategic shipping by going into detail of the 10 main areas that shippers can turn to in order to have a strategic logistics and transportation management mindset. Today we will go into detail on using the available data created in the processing of shipments within transportation management and other related logistics management for continuous improvement. . Using data in logistics to generate an accurate forecast of shipping processes sounds complex.

The Supply Chain Detective™ and the Inventory Turnover Mystery!

Supply Chain Game Changer

Featuring Our 10 Best Inventory Management Articles! The company I had just joined went to market declaring that it was a world leader in Distribution and Logistics. As I settled into the job and started learning, and studying, the various Supply Chain metrics I was surprised when I looked at the Inventory Turnover performance of the company. We would cover organization, metrics, performance, plans, strategies, and more, all in as much detail as was necessary.

Top 5 Roadblocks to Effective Inbound Logistics Management

Cerasis

With the added pressure to lower costs to end-users, your customers, it’s no surprise that the need for increased scrutiny and cost reductions among inbound logistics partners, your vendors, has gone rogue. Some cite a lack of visibility or lack of control for reasons to not manage inbound logistics, and while proponents of “increased visibility” argue more information begets more effective inbound logistics strategy, its meaning gets lost in the murky waters of the internet.

Outsourcing Logistics: Does It Make Sense for Everyone?

Cerasis

The benefits of outsourcing logistics processes to a third-party logistics provider (3PL) are well documented. As the world’s economy has become increasingly complex, it has become impossible for a single entity to control all of the warehousing, transportation and administrative tasks that come with shipping and managing inventory. Basic Facts to Understand Before Outsourcing Logistics. This may include the following: Better inventory management.

Ultimate guide to warehouse logistics: Enhance organization, movement, and management

6 River Systems

Warehouse logistics is the heart of any supply chain operation, assimilating and dispatching goods to ensure availability and timely delivery. One of the best ways to reduce shipping costs and ensure fast delivery is by optimizing warehouse logistics. What is warehouse logistics?

KPI 52

Employing this S.M.A.R.T. Technique with a Logistics Company to Create Total Stakeholder Satisfaction

Cerasis

Today we continue our series on successfully working with a logistics company, often called a third party logistics company by focusing on how to properly understand the success of the engagement by knowing all the key performance indicators that a shipper could put in place. We will then finalize the series on logistics key performance indicator success management with practical techniques to carry through the academic subjects we've covered thus far. .

Warehouse Management Software – A Blueprint for Warehouse Excellence & Inventory Management

ThroughPut

A Warehouse Management Software (WMS) is one that helps plan, control, and manage the day-to-day manufacturing operations in a warehouse along with the guidance of inventory movement, optimizing order picking, and shipping of customer orders. The WMS guides the overall order and inventory replenishment on the factory floor. The Software is usually used alongside or integrated with a Transportation Management System or an Inventory Management System. Easy-to-follow metrics.

Warehouse Management Software – A Blueprint for Warehouse Excellence & Inventory Management

ThroughPut

A Warehouse Management Software (WMS) is one that helps plan, control, and manage the day-to-day manufacturing operations in a warehouse along with the guidance of inventory movement, optimizing order picking, and shipping of customer orders. The WMS guides the overall order and inventory replenishment on the factory floor. The Software is usually used alongside or integrated with a Transportation Management System or an Inventory Management System. Easy-to-follow metrics.

Seeking Logistics Perfection

Enterra Insights

Logistics professionals could adopt that statement as their motto. Half-a-decade ago, Apptricity analysts wrote, “In the world of supply chain and logistics management, perfection remains an elusive goal. ”[1] Between then and now, logistics has become a focal point in today’s e-commerce environment; but, the perfect order remains the elusive ideal. “Logistics companies cannot afford not to be innovative,” he explains.

Public Markets Reward Supply Chain Alignment

Supply Chain Shaman

The relationship between corporate financial performance and supply chain metrics was complex; and in my first attempts, I was unable to derive a correlation. As I wrote about this concept, and worked with Abby Mayer ( @indexgirl ) to write the Supply Chain Metrics that Matter series of reports, I discovered more on the depth of the complexity. I wanted to better understand which metrics truly mattered. The Metrics That Matter Are Different by Industry Sector.

21 Vendor Metrics Your Supplier Scorecard Might be Missing

Supply Chain Cowboy

But is your scorecard missing key metrics? It includes a free Excel template that you can modify to match exactly what metrics you want to measure. While some of these metrics might not apply to your business model, there’s definitely a few to add if they measure something important to you and your customers. Of course, you’ll want to be courteous and professional with your feedback, but being open and honest with this metric can go a long way to solving problems between you.

Eliminating Your Excess Inventory

Loop Supply Systems

Eliminating Your Excess Inventory. Excess inventory is experienced by nearly every manufacturer – and it’s a big problem. Inventory is one of the 7 Lean Mudas (Japanese term for ‘waste’). COST OF EXCESS INVENTORY. According to Chris McLaughlin at LeanCor , a lean consulting company, Inventory Carrying Cost (ICC) is estimated to be an astonishing 18-25%. Now think about all of your inventory. THE INVENTORY QUALITY RATIO.

Digital Inventory Management Key Battleground in Transformation of Brick-and-Mortar Retail

Veridian Solutions

As e-commerce growth accelerates, shippers are working overtime to manage available inventory. It catalyzed brick-and-mortar retailers to offer online shopping opportunities, which require much more than manual inventory management practices. As a result, brick-and-mortar retail has become more focused on digital inventory management, a building block in the road to omnichannel supply chains , than in the past. A Guide to the Warehouse Metrics Supply Chain Execs Should Track.

7 Key Factors that Underpin the Success of your Inventory Optimization Initiative

Supply Chain Opz

From the most basic to the most advanced organization, Inventory Optimization is a critical goal and one which underpins the effectiveness of the supply chain operation. Inventory Optimization requires an organization to sustain and maintain the right mix of cost versus service. In this article we will examine inventory optimization processes as part of a structured sequential journey and examine seven of the key factors in delivering the optimal mix of stock.