Remove Inventory Remove Manufacturing Remove Metrics Remove Supply Chain

Building a Triple A Supply Chain: Ten Tactics That Work

Supply Chain Shaman

” Here is an excerpt from the article: “…it isn’t by becoming more efficient that the supply chains of Wal-Mart, Dell, and Amazon have given those companies an edge over their competitors. First, great supply chains are agile. Supply Chain Planning.

Supply Chain Leaders Rearranging Deck Chairs? Yes, I Think So.

Supply Chain Shaman

After finishing the Supply Chains to Admire report and the Youtube series (to be released this week), this is my feeling. What Is Supply Chain Excellence? In the review of my first book, Bricks Matter , Keith Harrison, former Global Director of Product Supply at P&G asked me, “You mention the need for supply chains to shift from a focus on cost to value. My first observation is that the best supply chains are fit for function.

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My Take: Metrics that Matter

Supply Chain Shaman

Dialogue with global supply chain teams energizes me. Tomorrow, I have a call with a manufacturing company to answer the question, “ What is the most important concept in the book?” 1) Get Clear on the Definition of Supply Chain Excellence. He has a passion to do supply chain right, but he is uncertain on what to do. Joe works for Filipe, and his boss believes that supply chain excellence can best be typified by lean.

Metrics that Matter: Inventory Effectiveness

QAD

The effective use of a manufacturer’s inventory investment is an important determinant of the company’s success. Excess and obsolete inventory is a drain on resources, as is excessive safety stock. Managing an Inventory Investment. Inventory effectiveness measures the process that delivers the right part to the right place at the right time, while minimizing investment and meeting customer requirements. Using Metrics to Measure the Health of the Business.

Supply Chain Dashboards – Key Metrics For Manufacturers

Silvon Software

As I mentioned in my previous post, Sales Dashboards – 16 Metrics for Manufacturers , a strategy for measuring business performance should also incorporate metrics that focus on the supply chain and other operational areas of the enterprise. Supply chain metrics and key performance indicators (KPIs) are sometimes a bit tougher to compile than sales metrics. Inventory Turns and Sales-to-Inventory Ratio.

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

Cerasis

The average Supply Chain management professional measures their Supply Chain by reviewing cost reduction. Is cost reduction all that there is in measuring Supply Chain performance? Sure, supply chain cost reduction is important in reducing the cost of goods sold (COGS) and increasing profit, but there are other measurements which should not be forgotten. 3 Key Metrics for Measuring Supply Chain Performance Beyond Cost Reduction.

Time for a Supply Chain Metrics Cleaning

Logility

Wait, it’s not spring; but does that mean you have to wait another eight months to review your supply chain? Often, it becomes necessary to reevaluate how supply chain performance is measured to ensure healthy operations. Ask yourself, “Are your supply chain metrics bogging you down?” However, companies often have too many independent metrics that can cause conflicts amongst competing supply chain functions.

Supply chain inventory optimization – Beyond the analytics

Kinaxis

by Alexa Cheater From designing, sourcing and manufacturing, to distribution and consumption, your supply chain is at the heart of your customer satisfaction levels. But the sheer complexity of supply chain networks, and the impact design decisions have on operational performance, makes supply chain inventory management aligning inventory investments with on-time customer delivery and margins a major challenge.

Five Reflections From Supply Chain Planning Benchmarking

Supply Chain Shaman

In my work with Supply Chain Insights , I immerse myself in learning. I continually question my long-held beliefs on supply chain excellence. . When readers finish a Supply Chain Shaman blog, I want to drive a set of unique takeaways. Today, I am going to share five insights that I have gleaned from our work on Supply Chain Planning Benchmarking. Figure 1: Supply Chain Planning Benchmarking Methodology Overview.

History Repeats Itself Without Supply Chain Leadership

Supply Chain Shaman

This is a story for the Eds, Franks, and Toms working together in supply chains across the globe. It is also a story for a young supply chain manager attempting to make a difference, but feeling stymied. Frank, the line manager for manufacturing, dominated the meetings.

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?

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

Kinaxis

Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #3 Not having end-to-end supply chain visibility. Reason #4 Making key decisions by modelling the supply chain in Excel. Reason #5 Not having a supply chain risk management process. Reason #6 Not effectively managing inventory. Reason #8 Keeping supply chain information in silos.

Congratulating the Supply Chains to Admire Winners

Supply Chain Shaman

This afternoon, I poured myself a cup of tea to pen congratulation emails to the Supply Chains to Admire award winners. Each year, based on feedback from supply chain leaders, we refine the methodology. Supply Chains to Admire Award Winners.

Supply Chain Metrics - Gaining Visibility in a Data-rich World

Logility

The second part of Drucker’s quote, “if you can't measure it, you can't improve it,” really brings home the importance of having the right set of metrics. In the field of supply chain management, we have created an abundance of metrics and key performance indicators (KPIs). For the past 30 years I have been involved with multiple efforts to build a set of supply chain metrics and have learned a few things along the way.

Modern Metrics

synchrono

The two areas of my working world are embracing technology like never before: Marketing and manufacturing. While digital content and automated technologies gave birth to the modern marketer, a more real-time, digitally connected enterprise is driving modern manufacturing strategies like the Factory of the Future, Smart Manufacturing and Industry 4.0 – all of which are grounded in Demand-Driven Manufacturing methods. The post Modern Metrics appeared first on Synchrono.

Sales Dashboards: 16 Metrics For Manufacturers

Silvon Software

The more challenging part of dashboarding, however, gets down to the actual metrics that should be included as part of a performance management strategy. As a place to start, I thought I’d provide a shortlist of both simple and more complex metrics that our manufacturing and distribution clients are using in their dashboards today. Today’s post focuses on Sales metrics only. Basic Sales Metrics. More Complex Sales Metrics.

Is Inventory Waste or an Asset?

Supply Chain Shaman

Next week is the annual Supply Chain Insights Global Summit , and summit preparation is on my agenda for the weekend. We were discussing the results of the planning benchmarking work that we have just finished, and I was sharing some insights on inventory management when one of the panelists emphatically stated, “Inventory is a waste to manage. We feel so strongly about this that we do not have an inventory planning role.” Inventory is both.

Gaining Clarity on Inventory Effectiveness

Supply Chain Shaman

I was moving from a position where I led a manufacturing operation to being a part of a team to design supply chain software to improve planning decisions. I was moving from the world of manufacturing to a new world of software. The tension I felt reading the brochure on the plane is what I believe every supply chain leader feels every day. The technology world moves at a quicker pace than the world of manufacturing and distribution.

L’Oréal: A Case Study in Supply Chain Excellence

Supply Chain Shaman

At the Supply Chain Global Summit 2018 , Francois discussed the impact of digitalization, Industry 4.0, and L’Oréal’s approach to business that has allowed the company to continuously rank as a Supply Chains to Admire winner for four consecutive years.

Help Supply Chain Planners Be More Successful In These Uncertain Times

Supply Chain Shaman

As I shopped at Best Buy for office supplies, I struggled to not think about the massive disruption of electronics supply chain. The Sam’s Club and Costco shortages of water, toilet paper and laundry products signals one thing for me: the spread of the virus will disrupt every supply chain. As markets shift, supply chains struggle to adjust. The order is a poor proxy for demand and few supply chains have access to consumption data.

Seven Misconceptions on Managing Inventory in a Market-Driven World

Supply Chain Shaman

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.” ” I have been studying the evolution of inventory technologies as an industry analyst since 2002. The supply chain is a complex system with increasing complexity. The Inventory Management Journey.

Understanding Supply Chain Management

SupplyPike

The importance of supply chain management What to watch while consumers are panic buying How to implement supply chain management Supply chain management and Walmart. Supply Chain Management (SCM) is a systematic and controlled procurement operation. Procurement usually comprises a diverse range of suppliers chosen according to a conceived ability to supply merchandise at the right price. Why Supply Chain Management is Important.

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Manufacturing Metrics that Actually Matter (The Ones We Rely On)

synchrono

LNS Research blogger Mark Davidson said, “When it comes to metrics, it’s often said that what gets measured gets done.”. I have found this to be true when working with many different manufacturers. Mark also writes: “Metrics that have the attention of business and manufacturing leaders tend to be those that get measured and improved upon by their employee teams.”. Metrics for Action. These Metrics for Action are not intended for overall business analysis.

Supply Chain Diagnostic: A Four-Step Process

Supply Chain Shaman

In my work with manufacturing companies recently, I am thinking a lot about the need for diagnostic testing. Time For A Supply Chain Check-Up? When a company contacts me to help them with their supply chain, the pain is usually a gap in customer service. They tend to have many pretty PowerPoint slide decks–full of acronyms, pretty pictures and E2E commitments–but they lack a common definition of supply chain excellence. inventory turns.

Mining Supply Chain Data for Insights

Supply Chain Shaman

At Supply Chain Insights, we have been actively working in our own mine sweeping project. These are mainly North American-based manufacturers, distributors and retailers.) We loaded 493 financial metrics from balance sheets and income statements for each company into the data lake for the period of 2004-2016 using YCharts data. The company was then assigned to one of 37 peer groups based on the Supply Chains to Admire methodology.

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Supply Chains to Admire: 2016 Results

Supply Chain Shaman

This morning, we announced the Supply Chains to Admire Winners and Finalists for 2016. Selfishly, we need standard for our research, but we also want to help supply chain leaders gain new insights from a deep data-driven analysis. There is no agreed standard for supply chain excellence. The Supply Chains to Admire analysis is now in its third year. Figure 1: Supply Chains to Admire Methodology. Five months of analysis.

Reflections on Integrated Supply Chain Planning

Supply Chain Shaman

In the presentation, I shared data on the evolution of supply chain planning and the results on user satisfaction. Neither technology vendor is an industry leader in delivering a solution that fits the needs of the supply chain planner. The common perception is that SAP and Oracle supply chain planning solutions are superior to best-of-breed Advanced Planning Solutions. Summary Data of User Satisfaction with Supply Chain Planning Applications.

How to Sustain a Lean Culture in Manufacturing & Supply Chain

Cerasis

These metrics would, of course, be aligned and are updated every hour. The metrics are also manual as automatic metric systems cannot retrieve the information at an hourly frequency as these metrics are process inputs and not outputs. Next, you would have management supporting this effort during their daily Gemba walk, reviewing these hourly metrics. Specific metrics: process metrics and outcome metrics.

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Carter’s: A Story of Supply Chain Leadership

Supply Chain Shaman

To drive global scale, companies need to design the supply chain to buy globally and execute locally. The design of the supply chain is fundamental to making this happen. In our interview of the Supply Chains to Admire Winners, we found a unique approach at Carter’s. Shipping approximately 400 million selling units consisting of 700 million manufactured units per year, Carter’s employs about 4,000 employees at its peak. Supply Chain Index.

L’Oreal: A Beautiful Supply Chain

Supply Chain Shaman

In the process of compiling the Supply Chains to Admire report for last year’s Supply Chain Insights Global Summit , the research team at Supply Chain Insights calculated the rate of supply chain improvement of companies by industry for the period of 2006-2013 and 2009-2013. We wanted to see which companies were driving the fastest rate of improvement on the supply chain metrics that matter.

Elephant in the Room: Thoughts on Metrics That Matter in Semiconductor and Hard Disk Drives

Kinaxis

Supply Chain Insights recently published a Metrics That Matter report covering both the Semiconductor and Hard Disk Drive (HDD) industries. Notice in the Supply Chain Insights report, there are only two HDD companies. Semiconductor is poised to consolidate, which will have huge impact on the metrics. This could create a shortage in the US/Europe OEM chain. Understanding inventory planning will take on a new dynamic. Supply Chain Length.

Supply Chain KPIs You’ll Want Every Morning

Logility

A quick scan of the Internet will yield a long list of “the biggest-ever supply chain disasters”. in inventory write-down and 20% drop in stock value. Would access to better supply chain and IT performance information have helped avert or mitigate these failures?

Measuring Up?

Supply Chain Shaman

The average manufacturing company’s supply chain organization is 15 years old. Historically, the traditional supply chain focused on improving costs. Today, more mature supply chain teams focus on delivering value. While companies want to improve supply chain performance and drive value, it is easier said than done. It usually takes at least three years for a supply chain to make an impact on financial balance sheet results.

How Supply Chain Lost Its Mojo

Supply Chain Shaman

“someone must have their mojo working over at the record company” In the 1990s supply chain had MOJO. 90% of public manufacturing companies are treading wate r. ” Background: I have been working in the field of supply chain management since 1979.

Manufacturing Gains From Machine Learning

IQMS

Improving semiconductor manufacturing yields up to 30%, reducing scrap rates, and optimizing fab operations is achievable with machine learning. Reducing supply chain forecasting errors by 50% and lost sales by 65% with better product availability is achievable with machine learning. Manufacturers care most about finding new ways to grow, excel at product quality while still being able to take on short lead-time production runs from customers.