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50 expert warehouse optimization tips and techniques

6 River Systems

Optimizing your warehouse means examining every corner of your infrastructure and every facet of your workflows and processes to identify and correct inefficiencies. Not only does warehouse optimization result in a healthier bottom line, but it also improves key warehouse metrics like accurate orders and on-time delivery. Of course, warehouse optimization isn’t something you do just once; it’s an ongoing process, and a complex one at that.

Podcast: Rob O’Byrne on Digital Transformation, Sustainability, and Diversification in Sourcing

Requis

People are still worried about having efficiencies in their warehouses, making sure they’re laid out properly, and having the right processes. A lot of companies now will have regional hubs with just smaller satellite warehouses in each country.

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Assessing the True Return of Procurement Transformation on Total Shareholder Return: A Tough Proposition

NC State SCRC

In my earlier book with Gerard Chick on “ The Procurement Value Proposition “, we advance the notion that buildoing a business case for investing in people, process, and technology improvement in procurement is key. Many procurement assessments developed by consultants seek to provide an answer to the question “how far along are you relative to your peers in your procurement transformation journey”, and “which processes are lagging compared to your peers?”

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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.

Manage and Share Your Sourcing Data Effortlessly with ASO: Data Warehouse

Jaggaer

You already know that accurate data is vitally important to your procurement team. According to JAGGAER’s 2018 Digital Procurement Report , technologies related to data analysis are the most valued and desired pieces of technology among respondents. One small mistake in examining or presenting data points within your sourcing activity could cost you. Businesses need a strategic approach to managing their sourcing data. Sourcing

21 logistics experts share the most important ingredients in developing an effective logistics strategy

6 River Systems

The number and locations of required warehouses, distributors, etc. David Bakke David Bakke is a Logistics Expert at National Air Warehouse. Similarly, warehouse usage would decline, as your need for safety stock would drop to near zero. Warehouse Operations

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.

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28 supply chain professionals share the biggest challenges of supply chain management

6 River Systems

Our supply chain involves a contract manufacturer, a third-party testing facility, warehouses to store inventory and a freighting company. For example, if my contract manufacturer is late with an order it can cause me to incur excess costs with the freighting and warehousing companies, respectively. This initially necessitated the expansion of our warehousing provision, revision of our stock rotation and warehousing policies and associated costs, which we had to bear.

50 expert tips on logistics planning and strategy

6 River Systems

Implement supply chain actions, including with internal procurement teams, with suppliers and through broader collaboration, and develop measurable targets for these efforts. “Users can easily now look at your global or regional supply situation and quickly source alternates when required, but the key here is to practice your response. “As for your internal systems, real-time inventory management helps you manage your fulfillment warehouses. Warehouse Operations

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. As a sourcing manager, you may need to go outside your comfort zone to think about new, innovative ways to collaborate for achieving sustainability because Collaboration comes in more than one flavor! Lower transportation and warehousing costs.

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.

25 supply chain experts reveal the best tactics to optimize a supply chain

6 River Systems

From raw materials sourcing to warehouse operations , logistics technology , order fulfillment and beyond, there are dozens of points throughout the supply chain, all of which contribute to overall supply chain efficiency. William Crane, Founder & CEO of IndustryStar Solutions , is an entrepreneur and experienced executive in supply chain with demonstrated results starting, launching and enhancing procurement, logistics, supplier quality and manufacturing companies globally.

KPIs That Purchasing Executives Need

Silvon Software

Companies that focus on strategic sourcing can generate substantial economic value not just by eliminating waste, reducing costs and improving administrative efficiency, but also by building stronger supplier relationships that can make them more competitive, profitable and nimble. There are many valuable metrics that can help you better assess your company’s performance at the sourcing / procurement level. These metrics are noted in the following sections below.

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

Cerasis

In other words, robots will gain new movements, capable of picking items from shelves in warehouses and storefronts. 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. For example, Johnson & Johnson procurement professionals actively review market trends before making purchases.

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26 supply chain pros reveal the single most effective way to create a winning supply chain strategy

6 River Systems

In my experience, companies find themselves in difficulties with suppliers by either taking the cheapest quote looking for the one-off score (when that approach is not the best solution for the sourcing at hand) or by treating that supplier business as a subservient partner (in name only) even when the rhetoric espoused is we partner with our supply base. It is no longer sustainable for companies to delay the enhancement of their procurement and supply chain organizations.

Podcast: Marcia Williams on Supply Chain Optimization and Digital Transformation

Requis

Today, as the founder and managing partner of USM Supply Chain Consultants she has put her expertise in supply chain, procurement, finance and project management to work to help her clients achieve greater profitability. I started doing procurement; that was my area at Alcoa and at Cummins.

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. Source In logistics, transporting goods from one place to another has been a major cause of carbon footprint and environmental pollution, even though other activates of logistics also have a considerable impact on environment.

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.

Study Shows Two-Thirds of Companies Yet to Execute Digital Transformation in Supply Chain Planning

ToolsGroup

Digital transformation is not seen as a singular activity but a set of interrelated activities that span across people, process, technology, policy, and metrics,” said George Fowler, group vice president in Spinnaker’s Supply Chain business unit. PRESS RELEASE. New survey finds that most companies are still formulating and gaining support for a digital strategy, with fear of change and data challenges as leading roadblocks. . BOSTON, Mass. and HOUSTON, Tex.

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Boost Employee Engagement in Supply Chain!

Supply Chain Game Changer

While you can’t bring beanbag chairs into a warehouse or production facility, you can create a friendly environment where workers feel at home and comfortable in their workspace. Subscribe Here! Email Address. Subscribe to Supply Chain Game Changer.

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10 Ways Effective Transportation Management Drives Competitive Advantage

Cerasis

As we head towards what many experts are citing as a 2017 carrier capacity crisis and growing demands from consumers to keep them happy call for shorter delivery cycles, the traditional strategy of procurement cost saving and shipment consolidation opportunities have to be supplemented through innovative solutions, to deliver the best bang for the buck. Controlling Inventory Flow & Driving Warehouse Efficiency. It’s also important to have flexibility in generating metrics.

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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50 expert tips on supply chain management

6 River Systems

Warehouse managers face numerous challenges, as well, such as the need to keep goods flowing in and out of the facility while enabling associates to practice social distancing measures. “Some companies are starting to invest in creating data-backed profiles of their supplier base so they know where and when to look for second sources. Develop alternative sources and diversify value chains. Consider a dual-supplier sourcing strategy. Warehouse Management

2020 Requires Big Wings and Feet

Supply Chain Shaman

The design of the conference includes tours of several modern warehouses and centers of excellence. 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. It has been awhile.

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.

5 ways TMS transforms Logistics Managers' jobs

Abivin

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? You are also equipped with a way to manage costs and handle internal metrics.

Managing Logistics for The World’s Largest Company with Gary Sostack

The Logistics of Logistics

We found equipment and materials that can’t be sourced locally. I was involved with the procurement of equipment and materials. As globalization has taken place, more things can be sourced locally. One of the bidders had a very unorganized warehouse. The five-year contract was going to deliver millions of dollars of cost saving and initiatives, such as no longer needing to pay for one of our warehouses and some employees. [24:44]

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

Cerasis

The are the 8 Rights of Lean Transportation thinking: Right Materials, Right Quantity, Right time, Right Place, Right Source, Right Price, Right Quantity, and. The need to transport parts also drives inventory up, creates a need for space to store those parts, and uses energy for more forklift time and warehouse heating. Metrics and Key Performance Indicators (KPIs) measure how well the shipper-transportation provider does in daily continuous improvement.

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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: Machine Learning & AI in Transport and Logistics, Frank Salliau & Sven Verstrepen Logistics Meets Innovation Vlerick Brussels – Nov.

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.

Collaboration and Visibility in the Supply Chain

Oracle SCM

Often this data is rolled up organizationally, geographically or in distribution through performance metrics or key performance indicators (targets change with these roll ups). Optimal inventory management using data from point of sale systems, in store inventory updates, in transit inventory and VMI on hand at supplier warehouses. Gather global commodity prices and planned global procurement to drive procurement to best prices. Tom McDonough , Sr.

Sustainable Logistics: Quantifying Sustainability Measures of Your Logistics

Cerasis

This sustainability effort has carried innovation and implementation costs which have been gradually offset with procurement and operational savings. With the production of quality products creating less waste, the ‘scorecards’ for source reduction targets are met, provided to mass retailers and promoted, but no metrics are dealing with in-transit shipping damage. Calculating the carbon footprint of a company’s comprehensive logistics framework is tremendously complex.

Top 25 Supply Chains of 2018

Material Handling and Logistics

The rankings are based on a composite score based on the opinions of Gartner’s analysts; a group of peer voters (mostly supply chain practitioners, professionals and experts; in the interests of full disclosure, I myself am part of the peer panel); some metrics, including return on assets, inventory growth and revenue growth; and a corporate social responsibility (CSR) component score. So the CSR score too is more of a popularity contest than a consistent metric. Source ID.

The Coming Age of Cognitive Supply Chains

Enterra Insights

4] They include: Cost reduction (savings in staff, in reduced warehouse space, in fuel, in retained customers, and in lower costs-to-serve); insights (timely analytics tied with a singular version of internal data truth and third-party data means Sales and Operations Planning (S&OP) is an inherently more efficient process as forecasts reflect reality); and risk analysis (knowing the areas where your supply chain is vulnerable).

The Beginner's Guide to Inventory Control and Management

Supply Chain Opz

Combine multiple methods: Sometime you have multiple sources of forecast data (your own forecast from historical data, forecast adjusted by sales team, forecast from customer) what you should do in this case? It's sometimes called Setup Cost - Inventory Carrying Cost or cost associated with holding stock items such as cost of capital, interest rate, warehouse cost, insurance cost, damage cost and obsolescence cost. What is Inventory Control?