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Sorting through this to make a decision on a new planning solution at this time is tough. In today’s architectures and functional metrics, value optimization does not exist. .” I agree that the market is a bit of a mess. My advice? I coach clients to wait and see and let the market settle-out over the next year.
In follow-up qualitative interviews, one of the largest issues with organizational alignment was metric definition and a clear definition of supply chain excellence. In follow-up qualitative interviews, one of the largest issues with organizational alignment was metric definition and a clear definition of supply chain excellence.
Smart energy management systems further enhance efficiency by tracking and optimizing energy use in real-time. Ethical sourcing is a fundamental aspect of social sustainability. In today’s interconnected global economy, sustainability within supply chains and logistics has become a necessity rather than an option.
We’ve seen AI take over everyday tools and search engines; AI in Sourcing and Procurement is becoming a strategic tool in our kit, At Ivalua, we are helping global procurement teams integrate AI across the Source-to-Pay process, bringing automation, insight, and agility to every step. Supplier risk adds even more complexity.
Just by embedding analytics, application owners can charge 24% more for their product. How much value could you add? This framework explains how application enhancements can extend your product offerings. Brought to you by Logi Analytics.
Reducing cost was the primary objective, and most operational decisionsfrom sourcing to fulfillmentreflected that mindset. Many organizations are now realizing that resilience is not just a supply chain add-on; it’s a fundamental capability. What if lead times from a key port double? AI also helps with scenario modeling.
A disruption at any point in the global logistics network including the average of 12 touch points from shipment packaging to final delivery can prove disastrous for profits, service levels, customer loyalty, and other key metrics. Today the question is not just When is the next disruption coming? We were wrong. billion to $23.07
Strategic sourcing and innovative solutions are often viewed as two distinct procurement tools, but they should not be seen in isolation. Strategic Sourcing: The Foundation of Effective Procurement Strategic sourcing is far more than simply choosing suppliers. Done well, it can become a key driver of competitive advantage.
Misaligned priorities, siloed systems, and unclear ownership can directly impact key performance indicators like cost savings percentage and procurement cycle time. In many organizations, procurement also plays a critical role in ESG compliance, innovation sourcing, and maintaining business continuity during supply disruptions.
AI is reshaping the way organizations source, manage suppliers, and drive value today. AI agents offer a smarter, faster way to manage sourcing, risk, and spend across the entire procurement lifecycle. For example, agentic AI can analyze supplier data, evaluate contracts, manage purchase orders, or recommend sourcing strategies.
AI is reshaping the way organizations source, manage suppliers, and drive value today. AI agents offer a smarter, faster way to manage sourcing, risk, and spend across the entire procurement lifecycle. For example, agentic AI can analyze supplier data, evaluate contracts, manage purchase orders, or recommend sourcing strategies.
They prepare equipment for maintenance, do isolation (disconnect a piece of equipment from the flow of chemicals by closing valves), look at quality or reliability metrics, and do rounds. We spent hours and hours looking for data, whether it was for audits, compliance, or just basic troubleshooting. Al Syed explained.
Second, they adapt over time as market structures and strategies evolve. 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.
In the automotive sector, manufacturers are simultaneously reducing inventory costs and delivery times. We’ll examine the key components of efficient supply chains, explore essential performance metrics, and uncover the fundamental drivers that influence efficiency.
You know there are opportunities hidden in the numbers; the challenge is surfacing them in time to act. This blog offers a clear, practical overview of what spend analysis is, how it supports strategic sourcing, and why it matters for both direct and indirect procurement. Let’s dig in! The culprit?
As a Principal FMCG Supplier, mastering this balance is essential; not just for growth, but for long-term sustainability. Do Set Clear KPIs and Governance Structures : Establish transparent metrics for sales, coverage, and service levels. Urban vs. rural, modern trade vs. traditional trade—each requires a tailored approach.
These include: Challenges getting ESG metrics from suppliers, partners, and other third parties. Time-consuming manual processes to report on ESG metrics. Cloud applications that manage your supply chain provide real-time access—a single source of truth no matter where you are. Start with your supply chain.
For organizations layered in functional metrics and driving a cost agenda, this is a tough nut to crack. Process latency, the time for an organization to make a decision using a traditional S&OP process, is two-to-six weeks. The traditional leader values cost reduction but is blind on how to value time. Unrest in Sudan.
Real-Time Social Listening Integration Traditional supply chain planning relies heavily on historical transactional data, which inherently delays responses to rapidly shifting customer preferences. These improvements directly strengthen the bottom line, making ML capabilities an essential component of modern supply chain management software.
Clear operating strategy and definition of supply chain excellence across plan, source, make and deliver. A shift from functional metrics to a balanced scorecard. I like the use of growth, margin, inventory turns, Return on Invested Capital, customer service and ESG metrics. I am also amazed. Drives Value. Funny, isn’t it?
At the same time, feeding your AI models too much data can also be a problem. Like Goldilocks’ quest for the perfect bowl of porridge, to leverage AI in your supply chain you need to identify which data is ‘just right’ for your business. ERP, CRM, SCM), external sources (e.g., Data is the lifeblood of AI in the supply chain.
The promise of a well-intended consultant just sounds sooooooo good. 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.)
Digital procurement streamlines workflows and unifies data, enabling faster sourcing, better collaboration, and improved accuracy. A staged maturity model guides transformation, helping organizations prioritize high-impact improvements and scale over time. Learn how Ivalua can help you on your journey to digital procurement.
If you’re exploring procurement technology, chances are you’re not just looking for a better tool – rather, you’re looking for a smarter, scalable strategy. Broadly speaking, procurement technology encompasses the digital e-procurement tools and systems used to automate, streamline, and optimize the entire Source-to-Pay (S2P) lifecycle.
Digital twins are emerging as digital transformation accelerators for supply chain and logistics organizations seeking enterprise-level visibility, real-time scenario modeling, and operational agility under disruption. Real-time decisions are now table stakesbut even real-time visibility isnt always enough.
Once upon a time, the world of manufacturing was a relatively stable place. And that’s where real-time perpetual inventory signals come in. Without updated data that can offer clear insights, manufacturers face increased costs and a decline in on-time, in-full (OTIF) delivery performance and overall efficiency.
The changeover times for the CM Bartlelts was 5X more prolonged than the more agile IM machines. Equipment washouts represented 11% of the change over time and were a significant barrier to agility. I reached out to the corporate R&D team for help, but they did not have the time to work on the change. Sharing My Experience.
Just as the saguaro is both nursed by and supports life in its ecosystem, it behooves supply chains to invest in their ecosystems, both suppliers and employees. It may feel like stormy times for supply chain right now, but not all rain is bad. Invest in your ecosystem. cm) in its first ten years.
The survey is structured to determine the relative importance of competing objectives, how the importance has changed over time and why; the degree to which certain external factors (resource shortages, cost inflation, etc.) However, supply chain resilience is more than just a concept to practitioners.
For the first time in more than a decade, more CPOs are prioritizing savings. Tracking the Metrics that Matter. While Ardent expects Procurement to rise to and tackle these challenges, tracking the metrics that matter will help them stay focused for full recovery. Inflation Metrics.
As discussions full of oxymorons, acronyms, and juxtapositions fill the air, I think that it is time to step back, and rethink planning based on the opportunities that new forms of analytics and data give us. My goal is to engage the supply chain community in a no smoke and mirrors discussion. My goal is to drive change. Buyer beware.
But before you start measuring everything in sight – and a few things not in sight – start with a set of thoughtful intentions and questions that will guide you to the right set of metrics and the right set of expectations. That’s not a bad answer. Effective IBP demands the discipline that KPIs can instill. For example: Verify your strategy.
Understanding how your Procurement and Supply Chain KPIs are performing isn’t just a nice-to-have; it’s essential for survival and growth. Running procurement and supply chain without metrics is like driving blindfolded. Control Costs: Track value beyond just the purchase price and manage inventory effectively.
I find that many times companies have the wrong name, or a misnomer, for what they are trying to achieve. It was my first time working with this group. As I sat in the back of the room, shifting in my chair, waiting for my time to speak, I watched speaker after speaker endorse the concept of one team. I am passionate about it.
The major challenge faced by customers of real-time visibility data had always been how to operationalize what could quickly become overwhelming quantities of fast-changing information. This extensive connectivity has resulted in impressive metrics: 1.2 The platform is built on a four-layered framework: Connect, See, Act, Automate.
Time For Action. Today, we are nearing the end of the fourth quarter of corporate reporting. Self-reported projections of the ocean carriers forecast that the industry is posting over $200B in profits. Let me repeat this, “$200 Billion in profits.” Yes, a single year offsets twenty years of poor margins for a struggling industry.
This morning, the New York Times pushed me an article by Peter S. I would like for us to move past the conventional view of sourcing strategies and globalization to drive improvements to the supply chain in a variable world. The populist narrative of sourcing globalization is only part of the story. Let me explain. Not so today.
Strategic Sourcing Simplified: Best Practices for Maximizing Value Strategic sourcing goes beyond cost savings its about making informed decisions that drive long-term value. Now well dive into best practices in these critical areas to ensure a more effective and resilient sourcing strategy.
Remember those times when we used to stroll down the block and find local stores such as the mom-and-pop diners and get the chance to relish the coziness and sense of family environment there. Digital commerce efficiently requires the digitalization of many customer-facing operations and sourcing and procurement.
The company sources goods from 34,000 suppliers out of 30 nations. In the annual report where they report on their key performance indicators (KPIs), they don’t just report on core financial metrics and the NPS, they also have people metrics. Despite their size, few people outside their industry have heard of them.
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.
But to do that effectively, they need more than just spreadsheets and static dashboards. They need visibility across multiple internal systemslike ERP, CRM, and financial platformsand even external sources shared with suppliers, partners, and customers. They served a purpose but lacked flexibility and real-time relevance.
Successfully scaling manufacturing requires more than just adding resources. Production Capacity Analysis While traditional testing methods can be time-consuming and offer incomplete data, focusing on key production metrics within the manufacturing process provides more actionable insights.
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