This site uses cookies to improve your experience. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country, we will assume you are from the United States. Select your Cookie Settings or view our Privacy Policy and Terms of Use.
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Used for the proper function of the website
Used for monitoring website traffic and interactions
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Strictly Necessary: Used for the proper function of the website
Performance/Analytics: Used for monitoring website traffic and interactions
This past February we asked members of our Indago supply chain research community — who are all supply chain and logistics executives from manufacturing, retail, and distribution companies — “Is your company using Artificial Intelligence in its supply chain or logistics operations?”
Ivalua study finds 97% of procurement leaders see significant disruption in direct materials supply chain; 67% not confident in existing technology; 84% consider modernization a ‘strategic priority’. A full 84% of procurement leaders agree that dealing with supply chain disruptions has been their biggest career challenge to-date.
Procurement and supply chain management are often used interchangeably—but in practice, the lines between them can blur in ways that create real friction. Misaligned priorities, siloed systems, and unclear ownership can directly impact key performance indicators like cost savings percentage and procurement cycle time.
If you would like to participate in a current research study, we would love your help and participation in the contract manufacturingstudy. We are trying to assess the value of a network in managing contract manufacturing.) The metrics defining success in manufacturing and procurement do not align.
For global manufacturers, managing direct and indirect material spend can get very complicated very quickly. Multiple legacy systems prevent procurement from standardizing processes and tracking what they’re spending with each supplier.
For example, if I improve the cost structure in transportation, procurement, manufacturing and sales independently, what decision support framework decides the right trade-offs? Eleven of the thirteen industries studied are forecastable and stable over time. You are right. This is not a new project. What have I learned?
A 2023 McKinsey study found that companies relying on reactive supply chain management lose up to 10% of annual revenue due to inefficiencies and missed opportunities. Operational Benefits of AI-Driven Supply Chain Planning Cost Reduction AI enables cost reductions by optimizing inventory management, logistics, and procurement.
Many of the challenges faced by the world’s automotive and equipment manufacturers can be mitigated via flexible production planning. Enabled by artificial intelligence (AI), modern planning solutions enable manufacturers to create smart, flexible production plans that are continuously updated in response to real-time data.
Strategic sourcing and innovative solutions are often viewed as two distinct procurement tools, but they should not be seen in isolation. Think of them as apples and gearseach essential and effective on its own, yet when combined; they create a formidable mechanism for achieving procurement excellence.
The resulting increase in demand may place pressure on agricultural producers and extract manufacturers to scale operations. Reformulation and Product Development The transition will require most affected manufacturers to reformulate products that rely on the targeted dyes. Reformulation is not a one-to-one ingredient swap.
But, I want to understand this more, and as a result, I have a new study in the field to gain additional insights, and I would love your input. In 2012, I placed the first alignment study in the field. In my research, I find that the lack of alignment has a direct impact to value (operating margin and market price to book value).
Our approach simply breaks accountabilities and goals across the areas of Manufacturing, Logistics/Network Optimization and Ingredients/Packaging. We would not have succeeded without a team effort across R&D, the business leaders, and SC disciplines of engineering, procurement, and manufacturing. What have you learned?
In the face of variability, this is two-to-six weeks too long to make allocation or procurement decisions. Order cycles–the requested time from order to delivery–decreased while supply cycles –the time to procure materials– increased. Shift in cycles. Over the past three years, supply chain cycles shifted. Interested?
Case Studies: Achieving Supply Chain Excellence Shamir Optical Industry Shamir Optical , a global leader in prescription lens manufacturing, implemented probabilistic forecasting to enhance service levels while reducing inventory investment. Advanced Supply Planning : Improves procurement and production scheduling decisions.
Two recently published studies identify the top disruptions that impacted industry, business and global supply chains during 2024 and our expected to be present in 2025. Regarding this latter, the automotive, semiconductor, and manufacturing industries are particularly cited as at risk due to proposed tariffs by the new U.S.
This type of software is used by businesses to plan and oversee routine operations, such as supply chain management, manufacturing, services, project management, customer relationship management, risk management, compliance, accounting and procurement. It has proven to be particularly useful for companies in the manufacturing space.
Case Studies: Achieving Advanced Supply Chain Planning Shamir Optical Industry Shamir Optical , a global leader in prescription lens manufacturing, implemented probabilistic forecasting to enhance service levels while reducing inventory investment. Advanced Supply Planning : Improves procurement and production scheduling decisions.
How should a global manufacturer make a decision? In other studies, I am working with data scientists and statisticians to glean insights from over sixty quantitative research projects over the last decade. In short, the research tells me that the manufacturing industries are stuck. And how can supply chain planning help?
I like many other gray-haired supply chain professionals reported through a functional organization like manufacturing or transportation. For me, it was manufacturing. The reporting of manufacturing and procurement organizations through the supply chain leader has the probability of the flip of a coin.
Steve Jobs met Tim Cook In 1998, Steve Jobs invited Tim Cook for the interview while Cook was working as a procurement and supply chain leader at another company. He also reduced the manufacturing cycle time, from 4 months down to 2 months. Cook shared the same vision with Jobs and later decided to join Apple.
There is no unifying data model to align procurement and manufacturing, transportation and distribution, revenue management and demand planning, or sales account teams with supply chain planning. When I studied at Temple for my DBA, I did an academic search on what is value in the supply chain. In short, don’t AI stupid.
Optimizing spare parts inventory offers significant advantages for organizations, particularly in the manufacturing, maintenance, and repair sectors. Streamlined Lead Times: Improved procurement efficiency potentially resulting in cost savings from optimized shipping arrangements and favorable supplier terms.
A shortage of digitally savvy talent, and a lack of training for technical and soft skills, hinder digital procurement initiatives. Additionally, over half (55%) of UK businesses say that digital skills in procurement are less advanced compared to other departments. Challenges in hiring digital skills in procurement.
An increasing lineup of advanced digital solutions have given manufacturers the edge to transform and achieve better inventory control. The manufacturing industry is constantly searching for new and inventive ways to improve inventory management. Getting raw materials manufactured into something whole and useful is a complex process.
It’s a niche industry, but also one of the cornerstones of discrete parts manufacturing. They’re complex machines assembled from thousands of parts, many purchased from highly specialized manufacturers. Inevitably, the procurement process is complex and challenging to manage. Procurement System Improvement Goals.
I am currently working on a couple of case studies for this blog on how business leaders used digital twin modeling during the pandemic. Advanced planning evolved with a focus on modeling manufacturing constraints. Initially, the output was published to procurement to design strategic buying strategies. Over time, this changed.
They also enable the evaluation of networks for both sales and procurement relationships to optimize the flows upstream and downstream. Along the way, I will be doing more work on network design case studies. The greatest gap is in the design of supplier and manufacturing networks. And, in our Digital ManufacturingStudy.
At the same time, two-thirds (66%) of businesses admitted they were still reliant on such processes as part of their Procurement or supplier management function. At the same time, two-thirds (66%) of businesses admitted they were still reliant on such processes as part of their Procurement or supplier management function.
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. billion company, manufactures glass containers with headquarters in the Midwest. Here I contrast their results. So, what can we learn?
After two decades of study, I think because it is a lack of understanding. A Case Study. Keith led the work to move P&G from a regional to a global manufacturer opening up the Warsaw center of planning excellence and outsourcing IT to HP. Keith was an undisputed leader in building talent to drive manufacturing excellence.
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.
PWC’s Digital Trends in Supply Chain Survey reports that 83% of manufacturers say that supply chain technologies have not delivered the expected results. When he speaks of the supply chain, he means procurement. Connect the Output of Supply Chain Planning Supply (planned orders) to Procurement Commodity Management.
In research study after study, we see that the greatest challenge to achieving supply chain excellence is the understanding of the supply chain by the leadership team. We will be sharing insights from a recent study of 95 supply chain leaders. The average supply chain leader has five distinct supply chains.
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.
Disruptions like the pandemic, supply shortages, global trade barriers, high customer expectations and inflation all add tremendous pressure on the procurement process. According to SYSPRO Research 70% of manufacturing businesses experienced material handling and supply chain disruptions during the pandemic.
Many supply chain consultants will quickly rattle off case studies and proof points, but the smart supply chain leader will ground the discussion with clear definitions. For example, in a hospital, it is the translation of usage in a procedure to hospital order to a distributor and the translation of that usage to an order for a manufacturer.
The Hackett Group report recommendations on IT & Procurement collaboration and how it can benefit your organization in the time of Covid-19 and beyond. This study includes input from a range of industries via interviews conducted with pairs of IT and Procurement leaders. We all know these stories.
At Rockwell this includes all processes end-to-end except for manufacturing. As a B2B company, procurement management is essential. From a manufacturing perspective, products vary significantly in complexity. Solutions, for example, can take from 12 to 16 weeks to manufacture. He is a humble and quiet leader.
Meals on Wheels San Francisco Transforms Supply Chain Management to Serve Up to 30,000 Meals Each Day with OpenEdge-Powered ERP by MyOffice Apps 2020 | Case Study Challenge Meals on Wheels America has 5,000 independent programs across the United States, with the program in San Francisco being one of the largest in the nation.
How MES is Shaping the Future of Manufacturing and Boosting Production Efficiency What is a Manufacturing Execution System (MES)? A manufacturing execution system (MES) is a comprehensive, dynamic software system that monitors, tracks, documents, and controls the process of manufacturing goodsfrom raw materials to finished products.
Disruptions like the pandemic, supply shortages, global trade barriers, high customer expectations and inflation all add tremendous pressure on the procurement process. According to SYSPRO Research 70% of manufacturing businesses experienced material handling and supply chain disruptions during the pandemic.
Redwood, CA – 14 th September 2021 – Ivalua , a leading global spend management cloud provider , announced today the results of a commissioned study conducted by Forrester Research on behalf of Ivalua which shows that companies have been prioritizing CSR initiatives as part of their core business strategies – and it has paid off.
We have not been able to build the planning architectures that effectively let manufacturers plan from the customer’s customer to the supplier’s supplier. In this blog, let me share some insights based on work with clients and augmented with data from two recent studies that we have just completed at Supply Chain Insights.
By fostering collaboration across all stakeholders, including suppliers, manufacturers, and logistics providers, companies can enhance visibility, streamline processes, and proactively address disruptions. Make to Order: Here, products are manufactured based on specific customer orders.
We organize all of the trending information in your field so you don't have to. Join 102,000+ users and stay up to date on the latest articles your peers are reading.
You know about us, now we want to get to know you!
Let's personalize your content
Let's get even more personalized
We recognize your account from another site in our network, please click 'Send Email' below to continue with verifying your account and setting a password.
Let's personalize your content