Remove Metrics Remove Procurement Remove Sourcing Remove Transportation

Transportation Sourcing in an Omni-channel World

Talking Logistics

Omni-channel is transforming retail transportation’s supply chain and logistics processes. Unfortunately, many retailers are jumping in without a plan — that is, they are taking a short-term, silo’ed approach to transportation sourcing and execution, and as a result, are failing to meet their desired outcomes. And, what are some of the key factors retailers need to consider when developing their transportation plans?

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. Transportation is measured just as a cost rather than what it does for the rest of the organization. Again, not saying cost reduction is an indicator of poorly measuring supply chain performance, but it's not the only thing to measure when considering transportation.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

7 Ways to Strategically Elevate Freight Procurement

Talking Logistics

In the last decade, many companies, especially those with manufacturing operations, have evolved direct materials sourcing from an administrative function to a strategic procurement process. The embodiment of this transformation is the chief procurement officer, an increasingly common title for executives that strategically source goods and services. As a strategic process, transportation procurement may still seem very tedious and challenging.

10 Ways Effective Transportation Management Drives Competitive Advantage

Cerasis

Transportation management is no longer a tactical approach to simply moving freight and doing it at the lowest possible cost. There are several factors that exist today that are forcing shippers to use even more resources, which distract from their core competencies , in order to have a strategic and much more nuanced, complex transportation management practice. 10 Tips to Remain Competitive and Have an Effective Transportation Management Strategy.

Building a Triple A Supply Chain: Ten Tactics That Work

Supply Chain Shaman

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.

Lean Transportation: Are you Using Lean Thinking for Transportation Management? If not, Why?

Cerasis

For shippers, culture and behavior have to change to apply Lean Transportation thinking. The “Them (company leadership) versus Us (shop floor associates)” mentality also needs to change for Lean Transportation to " WE. The 8 Rights To Achieve Lean Transportation Practices. The are the 8 Rights of Lean Transportation thinking: Right Materials, Right Quantity, Right time, Right Place, Right Source, Right Price, Right Quantity, and. Transportation takes time.

Lean 179

3 Requirements for Meaningful & Useful Data in Transportation & Business

Cerasis

As data in transportation becomes more abundant and readily available, the question of “ What data is available ?” It is important to know who is providing the source data used to develop your KPIs. If you are using components of source data outside of either you or your provider’s control, what are the means of auditing its accuracy? In order to be truly accurate long term, the source data should be available for you or your provider to directly scrutinize.

Understanding Supply Chain Management

SupplyPike

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. These activities can involve storage and transport of inventory or supplies, monitoring of day-to-day activities, the preparation behind these processes, and blending these different components throughout the supply chain. Learn about.

SCM 48

Transportation Network Modeling: A Powerful Tool in Greenhouse Gas Emissions Reduction Strategy

Talking Logistics

Outside of the Paris Agreement, the European Union (EU) has a goal of reducing greenhouse gas emissions from transport by around 60 percent below 1990 levels by 2050. Cost reductions sometimes go hand-in-hand with GHG reductions, but some measures could increase transport costs. Supply chain network and transportation optimization can help make better sourcing and multi-stop route decisions that ultimately result in route design that balances low costs with higher service.

Tools 155

Sales Can Use RACI Charts to Understand Procurement… and vice versa!

NC State SCRC

Although RACI “charts” are often viewed as irrelevant and bureaucratic, they can provide an important clue regarding the “decision-rights” for procurement and contracting decisions. An important foundational issue for sales personnel to understand is the relative level of procurement maturity within the organization, and the extent to which the organization has developed a category management structure. Do they have a formal strategic sourcing program?

Manufacturing Gains From Machine Learning

IQMS

Source: Smartening up with Artificial Intelligence (AI) – What’s in it for Germany and its Industrial Sector? (52 Source: Technology and Innovation for the Future of Production: Accelerating Value Creation (38 pp., Source: Digital Factories 2020: Shaping the future of manufacturing (48 pp., Machine learning is predicted to reduce costs related to transport and warehousing and supply chain administration by 5 to 10% and 25 to 40%, respectively.

Global Sourcing and Human Rights Go Hand in Hand

NC State SCRC

Low-cost country (LCC) sourcing is now a commonplace strategy for shrinking bottom line labor and material costs in most consumer products industries, including apparel, footwear, toys, and other manufactured products. The on-going tariffs levied by the Trump administration in 2018 against China has also made this option significantly more expensive for sourcing.

Made in “I Really Don’t Know”

Talking Logistics

As reported in USA Today : [In a sourcing practice nicknamed “China plus one”], big brands like Rip Curl send their specifications — what they want made and how much they’re willing to pay for it — to sourcing agents, who find factories that agree to fulfill them. no metrics, operate in functional silos). Therefore, the first step is to define those processes, along with who will execute and manage them and what the right metrics should be.

Effectively Manage Foodservice Supply Chains During Disruptions

CH Robinson Transportfolio

Every decision becomes more impactful based on these metrics. Robinson experts act as an extension of your team when it comes to contract management, transportation, warehouse services, consolidation, last mile delivery and fresh produce sourcing—allowing you to optimize your entire supply chain holistically. Product alignment: Geography and transportation. With foodservice providers shuttered, it’s been an uncertain year for many.

The Case for Less Silos, More Intelligence in Supply Chain Management

Talking Logistics

Source: “The Case for Less Silos, More Intelligence in Supply Chain Management,” webcast presentation by Adrian Gonzalez, Adelante SCM. Logistics, Manufacturing, Procurement, Sales and Marketing — these functional groups, for the most part, continue to operate independently from each other, each driven by their own objectives and metrics. Break down your supply chain functional silos. This advice is not new.

SCM 192

Supply Chain Collaboration – The New Way to Drive Value!

Supply Chain Game Changer

Sixty-five percent of procurement practitioners say procurement at their company is becoming more collaborative with suppliers, according to The Future of Procurement, Making Collaboration Pay Off, by Oxford Economics. Lower transportation and warehousing costs.

Moving Up The Corporate Ladder, Does Your Freight Spend Have A Seat At The Table?

4WL Consulting

The previous decade has seen many companies, mainly those handling manufacturing operations, change how sourcing of direct materials is executed – from an administrative function to a somewhat strategic procurement approach that has seen the creation of a new position “the Chief Procurement Officer.” ” Similar transformational patterns have also been seen in the transportation industry.

eBook 100

The Future Of Supplier Collaboration: 9 Things CPOs Want Their Managers To Know Now

Cerasis

As a sourcing or procurement manager, you may think there’s nothing new about supplier collaboration. Your chief procurement officer (CPO) most likely disagrees. Procurement must start looking to suppliers for inspiration and new capability, stop prescribing specifications and start tapping into the expertise of suppliers,” writes David Rae in Procurement Leaders. For sourcing managers, this can be a lot of pressure.

Data is the Real Gold At the End of the Rainbow for Contract and Spend Management Systems

NC State SCRC

Contract analytics can provide a summary view on performance and pricing deviations, risks, statistics (expiry, renewal and pending), procurement and sales metrics. In a presentation at the EMPOWER conference held in Orlando, a large utility shared how procurement had used the decision-making algorithm embedded in the Emptoris suite of tools to guide users into the appropriate contractual mechanism. This is a key component of the sourcing initiative.

How Do You Define a Mature Supply Chain Planning Organization? (Part 1)

Supply Chain Shaman

Integration of corporate social responsibility metrics in planning. Comprehensive view of source, make and deliver. Most often the focus is on transportation or logistics, but does not take into consideration the trade-offs between make, source and deliver. Focus is on make, source and deliver together. Use of third-party data for transportation lane and drayage times by day/time of week. Procurement. Metrics. Functional metric orientation.

Top 5 Trends to Know to Compete with Amazon’s Supply Chain

Cerasis

Technology Will Reshape Procurement Practices. Better procurement practices translate into better overall sales, but the role of procurement in driving sales’ statistics will change throughout 2017. Today, procurement drives up to 67 percent of sales, explains Johnathan Webb of Forbes magazine, as procurement professionals look for innovative ways to produce effective, superior products. Procurement strategy was not always evident.

Trends 210

Taking the Hill

Supply Chain Shaman

This week, at Supply Chain Insights LLC, we published our 11th report in the series titled Supply Chain Metrics That Matter. We do not believe that there is much value in putting all companies into a spreadsheet and shaking them up… or looking at singular metrics without analyzing the intricate trade-offs of the supply chain when viewed as a complex system. When companies look at singular metrics (labor costs or inventory), they have moved backwards.

2020 Requires Big Wings and Feet

Supply Chain Shaman

No metric should be measured in isolation, and functional metrics should be replaced with the balanced scorecard metrics shown in Figure 2. To maximize value—price to tangible book, functional metrics need to be reset to focus on reliability. 5 A Focus on Functional Metrics Throws the Supply Chain Out of Balance. Most can only measure functional costs—transportation, manufacturing, and procurement. It has been awhile.

Building the Business Case for Supply Chain Risk Management

Cerasis

On the other hand, only 8 percent of companies that were rated by their executives as less than significantly above average on supply chain-related metrics have the same performance. The same source also informed that the Chartered Institute of Procurement & Supply (CIPS) Risk Index of 2016 was the highest since records have begun in 1995. The post Building the Business Case for Supply Chain Risk Management appeared first on Transportation Management Company | Cerasis.

Letter from the CEO: Coronavirus Market Update

Transplace

Transplace is closely monitoring the outbreak and the impact the reaction is having on the transportation market. Toward that end, we would like to provide you with four types of updates: 1) what we are seeing in the transportation marketplace, 2) what our customers are experiencing, 3) some best practices we recommend with regard to bidding, and 4) the actions we are taking to protect our employees and community. Letter from the CEO: Coronavirus Market Update.

Green Logistics: How to deliver efficiently while minimizing carbon footprint

Abivin

Source The process and involvement of logistics department in every organization have become an essential part to the economic development for a long time now. According to World Bank report, efficient logistics refer to transport, storage and conveyance of products to the ultimate consumers from the companies at minimal costs. Green logistics has a significant role in the trade process, transport and deliver the goods.

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.

Lean 182

Misnomer

Supply Chain Shaman

The team was organized around the functional silos of source, make and deliver. I believed that we would find a company with the lowest distribution costs (warehousing and transportation), and the lowest manufacturing costs, and this would result in the best overall cost structure. Instead, we found that the companies with the lowest total supply chain cost (a total of source, make and deliver) had average costs in manufacturing and distribution. Misnomer (n): A wrong name.

Let the Qs Begin

Supply Chain Shaman

There are three reasons why: Vertical excellence—having the best manufacturing, procurement or transportation function—has not worked. Aligned Metrics. To ensure the management of the complex system, the metrics of operating margin, inventory turns, ROIC, customer service, revenue, and forecast accuracy need to be managed together as a non-linear system. How do you balance the trade-offs between source, make and deliver?

Big Tech and Auto Battle for the World’s Cobalt Resources

Elementum

million metric tons (or 60% of the world’s supply). million metric tons. However, as standards for sourcing become more strict, these big players may lose business if they fail to provide visibility into their supply chains. It’s estimated that locating enough new sources to meet these demand spikes would take about 30 years — a long-term solution for a short-term need. Supply chain is not just about the procurement and transportation of goods from source to consumer.

Big Tech and Auto Battle for the World’s Cobalt Resources

Elementum

million metric tons (or 60% of the world’s supply). million metric tons. However, as standards for sourcing become more strict, these big players may lose business if they fail to provide visibility into their supply chains.

What Makes a Mature Planning Organization? (Part 2)

Supply Chain Shaman

Closing the gaps happens when there are aligned metrics, clarity of vision and aligned planning processes. It combines decisions across sell, deliver, make and source processes to drive value based outcomes. They also are clear that the supply chain is defined outside-in based on the channel requirements and the underlying rhythms and cycles of fulfillment, manufacturing and procurement. Metrics Alignment.

5 ways TMS transforms Logistics Managers' jobs

Abivin

That’s where the need for Transportation Management System (TMS) comes into play. Automate the manual process Source It can be very time-consuming to do the repetitive work manually. Manage data and information in real time Source Thanks to TMS integration, you can perform data management and information management in real time. Enable a proactive approach towards supply chain management Source Why is this important?

Supply Chain Risks: Which Are Top of Mind Today?

Talking Logistics

The reality is that supply chain management is not just about managing orders and transportation and inventory — it’s about doing all those things while also navigating through the many risks that could disrupt your supply chain or bring it to a halt. Do we have the right Service Level Agreement metrics in place? Is the mode of transport the most efficient to impact on-time delivery?

How Machine Learning Is Redefining Supply Chain Management

IQMS

Key factors influencing inventory levels, supplier quality, demand forecasting, procure-to-pay, order-to-cash, production planning, transportation management and more are becoming known for the first time. Source: Machine Learning – A Giant Leap for Supply Chain Forecasting, Material Handling and Logistics Conference (PDF, 28 pp., Source: DHL, Artificial Intelligence in Logistics, 2018 (PDF, 45 pp.,