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I watch in amusement as supplychain leaders surf the ups and down of each cycle. The role of the supplychain planner evolved when systems were tough to use and loading data/ running batch jobs were difficult. Lean Into the Answer While lean proceses are often used in manufacturing. My observation?
Enterprise procurement teams face growing pressure to deliver strategic value – managing supplier risk, ensuring compliance, and supporting sustainability – all without sacrificing speed or control. This blog explores the most common challenges in digital procurement and the capabilities that matter most.
Supplychain efficiency is the cornerstone of success and involves the effective management of processes, resources, and technologies from procurement to production, transportation to warehousing. In the automotive sector, manufacturers are simultaneously reducing inventory costs and delivery times.
Today, in supplychain planning, this could not be further from reality. In May 2025, one in seven home-purchase agreements fell through resulting in the cancellation of 56,000 purchase contracts. Supplychain was defined in 1982 as interoperability between source, make and deliver. The reason?
Understanding how your Procurement and SupplyChain KPIs are performing isn’t just a nice-to-have; it’s essential for survival and growth. Is inventory bloating your costs? Why You Need Visibility of SupplyChain and Procurement KPIs? Check out SCMDOJO’s SupplyChain KPIs Dashboard!
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.
Many people get confused about KPIs or Key Performance Indicators in Logistics and SupplyChain operations. Still, in this article, I will help you evaluate the need for supplychain and logistics KPIs in your organisation, and identify which types of measurement might be most appropriate. Which ones to use?…
Supplychains are particularly vulnerable during recessions. Economic downturns can disrupt the flow of goods, increase operational costs, and reduce profit margins. Consequently, it is imperative to develop a recession-proof supplychain to make them more resilient and adaptable.
Data-Driven Decision Making : Using analytics to continuously refine operations. Key Benefits and Business Impact Warehouse optimization offers significant advantages across multiple areas: Cost Reduction: Expect a decrease in operational expenses, lower labor costs, and reduced energy consumption.
With consumers today demanding convenience, personalization, and quick delivery, the rapid ascent of e-commerce has fundamentally redefined the supplychain landscape. While this boosts engagement, it also pressures supplychains to manage higher return volumes and deliver quickly.
What Contractors Need to Streamline Procurement in 2025 By Ian Summers (pictured) Content Writer 111 Views You’re on-site before dawn, the framing crew’s ready, but the steel shipment’s stuck in limbo, the invoice isn’t approved, and your project management app just pinged you for the fourth time.
from last year, with over two-thirds of purchases happening online. Stockouts and Overstock Hurt Retailers The inventory imbalance was glaring this year: 33% of shoppers ** reported being unable to find the items they wanted due to stockouts. Retarget customers with personalized offers based on their browsing or purchase history.
Jassy called generative AI a “once-in-a-lifetime” technology that will change the way the company operates, and said Amazon is already using it in “virtually every corner of the company,” calling out the supplychain areas of inventory and demand planning as examples. prediction made in March.
Balancing supply and demand requires careful planning and the ability to adapt to changing market conditions, especially when considering the bullwhip effect in supplychain management. What is the Bullwhip Effect in the SupplyChain? Imagine a retailer experiencing an uptick in customer demand.
Striking the perfect balance between available stock and cost efficiency is key. By leveraging analytics and key performance indicators (KPIs), manufacturers can optimize inventory, reduce waste, and boost profitability. Tracking inventory flow and performance across your supplychain is a must.
We’re talking real-time tracking, automated purchasing, and a whole lot less stress. Automated Purchase Order Generation: Maintain optimal stock levels by automatically generating purchase orders when supplies run low. It’s not just a nice-to-have; it’s the key to staying competitive.
When deadlines slip, the consequences ripple through the supplychain, affecting deliveries, customer satisfaction, and overall profitability. Discover how to reduce waste and empower teams for lasting efficiency with Introduction: Lean & Cultural Changes a step-by-step guide to transformation.
Maintenance, Repair, and Operations (MRO) professionals, heads of maintenance, and spare parts managers are navigating an environment shaped by supplychain volatility, legacy infrastructure, and an explosion of data. This lack of transparency hampers accurate demand forecasting, procurement efficiency, and inventory optimization.
Rethinking supplychains is a reader-supported publication. The topic/report will be on the logistics M&A so far this year. Reported May 20 Let me take a moment to comment on our global sourcing strategy. Today, more than 50% of our purchases are sourced in the United States. A busy week in retail earnings!
Various strategic steps and procurement procedures are incurred to make informed decisions about inventory production. The 7 Stages of the Inventory Life Cycle Procurement Acquiring necessary goods and materials before starting a business is essential. This step involves donation and charity programs.
Full-price sell-through represents more than a performance metric for retailers; it’s also a test of how well the business is aligned from plan to shelf. With the right tools, retailers can set sales and margin targets based not just on past performance but on future potential, informed by predictiveanalytics and real-time demand indicators.
Also, 62% of online shoppers in the US say delivery speed is what makes for a good purchase experience. Carbon emissions From recent reports, we could see that carbon emissions are rising to alarming levels causing serious damage to the globe. Today, customers are leaning more and more towards sustainable deliveries.
Maintenance, Repair, and Operations (MRO) professionals, heads of maintenance, and spare parts managers are navigating an environment shaped by supplychain volatility, legacy infrastructure, and an explosion of data. This lack of transparency hampers accurate demand forecasting, procurement efficiency, and inventory optimization.
In the context of manufacturing, this translates to seamless collaboration across production lines, supplychains, and every stakeholder in the value stream. Implement Lean Manufacturing Principles Lean manufacturing is not just a buzzword; it’s a methodology that reduces waste and optimizes operational efficiency.
Still Foggy at the Top – What the New Logistics Report Means for the Rest of Us For all the hope around trucking bouncing back, the new CSCMP “State of Logistics Report” just affirmed what most small carriers already feel: Things are still off. Get real with your costs: Don’t expect market rates to do the work for you.
Rethinking supplychains is a reader-supported publication. 🙏 Retailers Tractor Supply Q1 ending March 29. Reported April 24 Over 60% of our business is from products that are manufactured, bagged, assembled or grown in the United States and only 12% of our business is direct imports. comes from China.
If you recently scored a purchased order (PO) from Walmart, congratulations! On February 1 st , 2024, these requirements changed to 90% for on-time and 95% for in-full metric s. The consequences of not meeting OTIF standards go beyond fumbled revenue for not having product on the shelf. You must be super excited.
Lifestyle journalist Stacey Leasca reports, “One in eight. … The impact of GLP-1 use extends beyond just calorie-dense items, with most food categories experiencing declines in purchases. In this case, the hormone being mimicked is Glucagon-Like Peptide-1, more commonly known as GLP-1. brand in nearly three decades.[8]
Learn what just-in-time inventory is, its advantages and disadvantages, and how businesses can implement a JIT system to improve supplychain efficiency. The cost of inefficient inventory management extends beyond storage fees—it impacts cash flow, slows growth, and can damage hard-won customer relationships.
New Roles and Skills likely to Emerge, Gartner’s Abdil Tunca Says July 30, 2025 SupplyChain Digest Says. Initially, robot management will operate as a distinct role within supplychain. It also has huge implications across the GE global supplychain with regard to the management of their support and spare parts network.
Second is the broader strategic importance: As the macroeconomic environment tightens, and tariffs start to bite harder, it will be crucial to both lower operating costs and also protect against increased volatility. Inventory is capital sitting on the floor. Timely, incisive articles delivered directly to your inbox.
SupplyChain Digest Says. Gartner says that “Over 90% of supplychain logistics functions have started or completed a digital transformation within the past three years, and high-performing functions set the logistics digital technology strategy 48% of the time.” A ny comments on Gartners thoughts?
They receive goods into their warehouse, and they store them and they don’t know what they’ve paid for them, nor do they have a purchase order from, or they haven’t issued a purchase order. We needed to lean on a best practice, even if it was just something to get us through a temporary period.
They have continued to move the goalposts in terms of delivery standards — this year reporting a 25% increase in same-day delivery orders. They lowered their own fulfillment costs while improving delivery speeds with their optimized distributed warehousing strategy, which they will continue to invest in.
We always start with a check on the US and global economy, as that has such an impact in the end on supplychain practice. One measure of the health of the US manufacturing sector is the US Purchasing Managers Index from the Institute of Supply Management. Gilmore Says. What do you say? growth for all 2025, 2.8%
SupplyChain Digest Says. Click here to send us your comments Just recently, Gartner itself did an interesting look at what supplychain execs were saying at the Orlando conference as well as a similar event in Europe. Below are some highlights from the Gartner blog post. This shift was accompanied by a change in tone.
SupplyChain Digest Says. Click here to send us your comments Aronow observes that many supplychain organizations are perpetually chasing their commercial partners to engage and improve the demand forecast. Aronow says to start by investing in organizational storytelling skills. What do you say?
Or, we could look at the Gartner top 25 supplychains list. That famous ranking used to be released at a dinner the Gartner SupplyChain Executive Conference in May (now called the SupplyChain Symposium), but this year it was again released in a webinar a few weeks after the conference. Gilmore Says.
It also has huge implications across the GE global supplychain with regard to the management of their support and spare parts network. Financial performance metrics are valuable as they capture the economic consequences of business decisions. What do you say?
Automakers that rely on North American supplychains, such as General Motors, Ford, and Stellantis, face the most significant exposure. Automakers and suppliers must expedite efforts to localize their supplychains, invest in U.S. Approximately 23% of vehicles sold in the U.S. As negotiations between the U.S.,
Nearly two decades ago, Jim Womack, LEI Founder and Senior Advisor, told the lean community about the dual benefits of a shared problem-solving workplace: operational outcomes that far exceed those found in command-and-control environments and mutual respect among frontline associates and management. SupplyChain Digest Says.
The on-going conflict creates risks to critical raw materials and the continued flow of finished goods, Garter says, requiring supplychains to conduct cost-benefit analyses of mitigation actions in partnership with finance leaders. SupplyChain Digest Says. What do you say?
SupplyChain Digest Says. The final pillar of defense against cargo theft involves collaboration with trusted partners to track threats and report incidents – which often doesn’t happen even in today’s environment. Financial performance metrics are valuable as they capture the economic consequences of business decisions.
What I failed to do in any of those three columns was mention what in some ways may have been the biggest to news items: the retirements of sorts of Gartner analyst Dwight Klappich and groundbreaking, inaugural Gartner analyst, and famous inventor of the Three V’s of SupplyChain, Art Mesher.
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