Building the Business Case for Supply Chain Risk Management

Cerasis

But there are some risks. Do you think that your supply chain management is good enough for this market? That’s when it all gets extremely complicated, but one thing remains crystal clear: supply chain risk management is profoundly important for businesses to grow and expand. 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.

Top 10 Metrics to Track and Manage Risk in the Supply Chain – Part 2

Cerasis

This is part two of the Top 10 Metrics to Track and Manage Risk in the Supply Chain article. The post Top 10 Metrics to Track and Manage Risk in the Supply Chain – Part 2 appeared first on Transportation Management Company | Cerasis. Risk Management Supply Chain manage riskCheck out part one here. Disruption is nothing new to supply chain professionals.

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Top 10 Metrics to Track and Manage Risk in the Supply Chain – Part 1

Cerasis

Under the current COVID-19 global pandemic, managing risk in the supply chain has taken on a renewed importance. The post Top 10 Metrics to Track and Manage Risk in the Supply Chain – Part 1 appeared first on Transportation Management Company | Cerasis. Risk Management Supply Chain risk in the supply chain

Automotive Supplier Risk Management Actions for Thriving During Recession

Industry Star

Act now to track the right metrics across your tiered supply base to enable proactive supplier risk management to thrive during times of economic volatility. The post Automotive Supplier Risk Management Actions for Thriving During Recession appeared first on IndustryStar Solutions. Supply Chain Risk Management Automotive Coronavirus COVID-19 Recession Risk Management Supplier Assessments Supplier Performance Supplier Risk

Time to Survive and Nexus Supplier Index: New Measures of Supply Chain Risk Management

Talking Logistics

Over the past two years, I’ve written extensively about the growing importance of supply chain risk management and supply chain mapping. See for example: Rethinking Supply Chain Risk Management. Doing Nothing on Supply Chain Risk Management. Many Companies Falling Short on Supply Chain Risk Management. For this purpose, we created a new metric that we call “time to survive” (TTS). And the first step is asking “What are the risks?”

R Score and its Impact on Supply Chain Risk Management

Resilinc

Musings on a Metric: Supply Chain Risk Management with R Score. supply chain risk management r-score

Supply Chain: The True Game of Risk

Supply Chain Shaman

One of my favorites was the board game Risk. ” The rules have changed, and the risk increased. Designing value networks and managing what-if conditions is fundamental to managing supply chain risks. The move from global to regional supply chains increased risks. This increases risk. Historically, the risk management focus was to reduce insurance costs. What is Risk Management? Not All Risks can Be Prevented.

Your supply chain is costing you money – Reason #9: Relentless pursuit of one metric at the expense of other metrics.

Kinaxis

Reason #5 Not having a supply chain risk management process. Reason #6 Not effectively managing inventory. Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. Yet, these are similar instructions as what is passed down to the supply chain from executives focused on a specific supply chain metric. Why do companies focus on reducing a specific metric? A company does not succeed based on a single metric.

6 Benefits of Effective a Reverse Logistics System & The 9 Core RevLog Metrics to Track

Cerasis

While conventional logistics optimizes the flow of goods from producer to consumer, reverse logistics manages the processes for inverting that flow to deal with returned parts, materials and products from the consumer back to the producer. Thus, reverse logistics management has developed into a discipline that produces cost reductions, adds efficiencies and improves the consumer experience. Importance of Metrics in Reverse Logistics Management. Financial Management.

Wanted: Supply Chain Architects!

Supply Chain Shaman

When I moved into industry, and the real world, I managed engineering teams. Each project would usually have a cool name, and management exposure. I relished the sound of a manufacturing line when I opened the door of the factory in the morning, and I liked managing inputs so that we could maximize outputs. Manufacturing is the foundation of my interest in supply chain management. I knew nothing about the world of logistics, inventory management and order optimization.

How Can You Seize Opportunity If You Cannot Manage Risk?

Supply Chain Shaman

Public markets reward growth; and as year-over-year revenues slow, companies attempt to grow using tactics like new product launch, price incentives and trade promotion management. When it comes to risk, this impact is not trivial. Companies with the lower score on the Index are driving faster rates of metrics improvement. Average Performance Metrics for Consumer Nondurable Industry for the Period of 2010-2017. What Is Risk? What Are the Risk Drivers?

Help Supply Chain Planners Be More Successful In These Uncertain Times

Supply Chain Shaman

I settled on a title on helping the supply chain planner to be more successful in completing work during this cycle of risk management, but the advice is designed to make organizations more successful with planning over the long-run. Supply chain management, as a cross-functional process, to align source, make and deliver processes, evolved in 1982. The first supply chain management academic programs began in the 1990s. As I flew to Dallas, I worked on this post.

Guest Post: Ignoring this Performance Metric is Risky

TMC

Globe-spanning supply chains are now exposed to a wider array of risks than ever before, elevating the importance of detection time as a measure of performance. As I explain in my book, The Power of Resilience: How the Best Companies Manage the Unexpected (MIT Press, October 2015), companies can improve their disruption detection capabilities in a number of ways. Managing adverse weather conditions is part and parcel of transportation planning.

Collaboration? When It Comes to Cash-to-Cash, We Don’t Know How to Walk the Talk

Supply Chain Shaman

However, organizations are not good at managing inventory. Yet, only 20% of companies actively manage supplier development programs to get cash to suppliers in need. Cash-to-Cash Metrics. Management of the cash-to-cash cycle is critical to maintaining working capital. Cash-to-cash is a compound metric: (Days of Receivables+Days of Inventory)-Days of Payables=Cash Conversion Cycle. Some firms like Dell manage a negative cash conversion cycle.

Elephant in the Room: Thoughts on Metrics That Matter in Semiconductor and Hard Disk Drives

Kinaxis

Supply Chain Insights recently published a Metrics That Matter report covering both the Semiconductor and Hard Disk Drive (HDD) industries. Semiconductor is poised to consolidate, which will have huge impact on the metrics. Of course, like any industry, Semiconductor and HDD manufactures are faced with a set of unique challenges in their space that puts their supply chain at risk. by CJ Wehlage.

CSR Is A Core Component of Supply Chain Risk Management In Procurement

EcoVadis

Now more than ever, risk management is a vital part of the procurement function, and hence the CPO’s responsibilities. What are the potential costs of failure for your company when it comes to supply chain risks? According to the 2013 Sustainable Procurement barometer developed by HEC/Ecovadis, risk management remains a critical driver with 80% of companies implementing a “Code of Conduct” and 58% focusing only on high risk suppliers.

Know sooner, act faster and accelerate your supply chain performance!

Kinaxis

Prioritized action lists based on impact to your customers or whatever key metrics drive your business can ensure that planners are working on what matters. Best practices Supply chain management Supply chain risk management Risk management Supply chain Supply chain analytics Supply Chain Response Management

My Supply Chain Resolutions

Logistics Viewpoints

One way to do this is to use a Perfect Order metric as a key way of measuring the supply chain organization. Learning & Leadership Supply Chain Risk Management What resolutions should you make in the New Year to improve your supply chain? Here are mine: To remember that supply chains should be built backward from the customer. But the question remains […].

How Do You Define Your Supply Chain Challenges?

Kinaxis

Many are filled with our favourite industry buzzwords: Visibility , Risk Management , Cost Pressure, The Internet of Things, Security Threats… and the list goes on. Resource management in a global organization. Resource Management –Do the people you employ have the training to make the right decisions and to understand the impact of their decisions on the rest of your organization? General News Supply chain management Supply chain risk management

Infor’s Acquistion of GT Nexus: If I Had a Magic Wand

Supply Chain Shaman

In the supply chain management technology market, historically, Infor is a market consolidator buying and integrating disparate software assets and assembling them into industry solutions. The Infor team presented the acquisition opportunity as an opportunity to extend ERP to the value chain, to automated inter-enterprise order management and to sell more Infor solutions.

Supply Chain Management Best Practices: Resilience

PLS Logistics

Supply chains are diverse and complex – so are the potential risks that could disrupt them. A good supply chain management strategy invests in resilience. Resilience refers to the time it takes supply chains to predict and avoid risk, as well as respond and recover from costly disruptions. Supply chains are vulnerable to risk which makes detection time an important metric. Supply Chain Risk Management

Performance Measurement Systems in the Era of Turbulence

SCM Research

Our new article, titled Accounting for External Turbulence of Logistics Organizations via Performance Measurement Systems (Supply Chain Management: An International Journal, Vol. It deals with the interface of supply chain risk management – a “hot topic” in SCM research – and performance measurement systems (PMS). Supply Chain Management: An International Journal, 21 (6), 694-708 DOI: 10.1108/SCM-02-2016-0040.

System 110

What About the Supply Chain Index?

Supply Chain Shaman

It is a quest and the subject of my next book, Metrics That Matter , that will publish in September, 2014. Overall, supply chain leaders deliver results that have strength (year-over-year performance improvements), balance (a set of balanced metrics within a portfolio) and resilience (predictable and reliable results with few swings). Risk management Supply Chain Supply chain excellence Supply Chain Index supply chain resiliency I have traveled 12,000 miles this week.

Throwback Thursday

Supply Chain Shaman

Today, managing a medical device supply chain is tougher. This is why I think that the industry needs to get serious about supply chain management. With the shift of inventory back in the supply chain, there is a lot of discussion on Vendor Managed Inventory (VMI). In this survey we find out some benchmark metrics on the number of demand planners per item, and the rate of adoption of demand and supply chain planning systems.

What if… you really could “what-if” in your supply chain?

Kinaxis

If I make this change, how does it impact my key metrics? What’s needed is a simple way to compare the what-if scenario to either annual plan numbers or baseline data against key metrics to see impact. General News Supply chain collaboration Supply chain risk management Collaboration Supply chain management What-If Scenarioby John Westerveld We’ve all asked ourselves the question… what-if ? What if I bought that new car? What if I took that job?

Will Arrogance Stunt your Growth?

Supply Chain Shaman

Which supply chain metrics correlate to market capitalization by Morningstar sector? This increase in payables has increased risk by decreasing resiliency. Only 1% of companies have a role focused on managing the end-to-end supply chain. The greatest synergies happen when the supply chain is managed end-to-end as opposed to management as a limited supply chain function focused on logistics and operations. It happened on Thursday morning last week.

Why Financial Reengineering Does Not Equal Supply Chain Improvement

Supply Chain Shaman

It is the basis for many recent developments in management. Snow fell last night as I worked on my last Supply Chain Metrics That Matter report. The concept of the Effective Frontier is that best in class companies align functional metrics to balance growth, cost, inventory and Return on Invested Capital (ROIC) performance while balancing customer service metrics. Cash-to-cash is a compound metric. Supplier Risk Management.

5 New Year’s Resolutions for Supply Chain & Logistics Executives

Talking Logistics

Ask “What are the risks?”more Supply chain management is risky business — and the risks are growing every day. Natural disasters like the Japan earthquake, product shortages due to quality issues, the impact of currency rates on product costs and demand, and disruptions caused by IT service failures or security breaches are just a few examples of the risks supply chain executives face every day. And the first step is asking “What are the risks?”

Evolution of B2B Networks

Supply Chain Shaman

Lora has written the books Supply Chain Metrics That Matter and Bricks Matter , and is writing her third book, Leadership Matters. Risk management Supply Chain ariba B2B e2open Elemica SAP supply chain operating networkToday Thoma Bravo, a private equity investment firm, announced a definitive agreement to purchase Elemica, a provider of Supply Chain Operating Networks for the chemical industry.

Made in “I Really Don’t Know”

Talking Logistics

Simply put, achieving true end-to-end supply chain visibility takes considerable more time, money, and resources than many companies are investing today — and it also takes a more enlightened approach to supplier selection and management. 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.

Confessions of a 50-Year-Old Hacker

Kinaxis

Our team put together some ideas around supply chain risk management. We addressed supply chain risk in two ways; the leading indicators that show when you are at risk, and a simulation to see how well your supply chain can respond to a major event. The leading indicators range from single sourcing risk to global supply risk, with a number of other factors included as well. Each of these metrics help you identify where you could potentially be at risk.

Where Should Supply Chain Time Be Spent After the Pandemic?

Supply Chain Game Changer

How did people manage through the situation? Digital Supply Chain ) Asset management and Cash cycle improvement. Leadership Strategy Supply Chain Management Risk ManagementSubscribe Here! Email Address. Subscribe to Supply Chain Game Changer. 10 Vital Supply Chain Lessons from the Coronavirus Pandemic! The Coronavirus pandemic has disrupted every aspect of our lives and the global economy.

Supply Chain Risks: Which Are Top of Mind Today?

Talking Logistics

If you were to add a subtitle to every supply chain professional’s job description it would be Risk Manager or Risk Mitigator. 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. What are some of the biggest supply chain risks companies face today?

How to Avoid Costly Errors in Supply Chain Management!

Supply Chain Game Changer

In supply chain management, it is essential to keep all unnecessary costs mitigated. It is vital in supply chain management to avoid these five costly errors. 1.Neglecting metrics and analytics your supply chain management collects. It is important to develop metrics and analytics that tell the story of your supply chain. In all aspects of managing a business, you need to plan for the future. This is no different for the supply chain management.

Using Modeling and Analytics to Design a Resilient Supply Chain

Talking Logistics

You can use modeling technology to accurately identify and quantify potential supply chain risks and their corresponding costs, and develop mitigation strategies through scenario optimization and advanced analytics to build resiliency into your operations. There are four steps businesses can apply to understand and improve the resiliency of their supply chain network: Assess: Use all modeling and analytics to identify areas of risk.