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Open Sky Group, a global leader in supplychain execution solutions, has announced a strategic partnership with Easy Metrics , a premier provider of labor management and warehouse performance management solutions.
Companies across the globe have taken note of the value of big data analytics in logistics and how tracking key performance indicators (KPIs) and core metrics can dramatically affect supplychainperformance. As explained by Performance Magazine, improvement measurement.read More.
And how can consumer goods companies learn from their performance in this pandemic to prepare for the future? A study by E2open – the 2021 Forecasting and Inventory Benchmark Study: SupplyChainPerformance During the Covid-19 Pandemic – provides the answers. I look forward to this study every year.
Companies spend a lot of time and energy measuring operational metrics, the “what” of supplychainperformance, but they generally fail to measure the “how” aspects of performance –i.e., the interpersonal skills of employees that also play a critical role. Be Sociable, Share!
Is cost reduction all that there is in measuring SupplyChainperformance? Sure, supplychain cost reduction is important in reducing the cost of goods sold (COGS) and increasing profit, but there are other measurements which should not be forgotten. Isn’t time important? What kinds of "time" measurements exist?
According to Deloitte Insights , 83% of digitally maturing companies use cross-functional teams to improve supplychainperformance. Of course, the right training is key to the success of such initiatives, and can have a measurable impact on supplychainperformance.
Despite these challenges, integrating supplychain planning into your corporate strategy isn’t just an operational imperative — it’s a critical strategic move that can drive your supplychainperformance forward. These KPIs should encompass both operational and strategic metrics.
As I sat at my kitchen table, I reviewed spreadsheet after spreadsheet of corporate performance data on supplychain financial ratios. The relationship between corporate financial performance and supplychainmetrics was complex; and in my first attempts, I was unable to derive a correlation.
This post delves into the core drivers of supplychain efficiency. We’ll examine the key components of efficient supplychains, explore essential performancemetrics, and uncover the fundamental drivers that influence efficiency. Partner Ecosystem Management: No supplychain exists in isolation.
Learn how to combine very different metrics/KPIs towards a composite score, this is a question that comes up quite often in my conversations with customers. How to Combine Diverse SupplyChainMetrics was first posted on May 4, 2021 at 10:54 am.
They’d be able to identify the root cause of the discrepancy between the reality and expected performance “so that corrective action could help return the system to a more ideal state.” . Interested in learning more about improving your supplychainperformance?
At each company, there is a relationship between the metrics of growth, margin, inventory, customer service, and asset strategy. For the purpose of this article, I will use Return on Invested Capital (ROIC) as the proxy metric to discuss asset utilization.) I never calculated and accounted for the inter-dependencies between metrics.
The four key methods here will help you drive more success as you bring the metrics to life on your warehouse floor: 1. Understand “All Green” Does Not Mean “All Good”: Leadership is about solving problems, so it can feel counter-intuitive to seek out issues if you already are performing well.
Each year, we compile a list of top-performingSupplyChains, termed the SupplyChains to Admire. What is the best supplychain technology? There is no correlation between types of technology—company or brand—and supplychainperformance. Leaders put meaning into their strategies.
” SupplyChain Leader. Interview for Metrics That Matter. My kitchen table is piled high with interviews for the upcoming book, Metrics That Matter. I recently interviewed him for my upcoming book, Metrics that Matter, that publishes in August 2014. How do you define the metrics that matter?
But before you start measuring everything in sight – and a few things not in sight – start with a set of thoughtful intentions and questions that will guide you to the right set of metrics and the right set of expectations. Cash-Cash Cycle Time; Return on SC Fixed Assets; Return on Working Capital ASCM SCOR Metrics, SupplyChain Council.
Often, it becomes necessary to reevaluate how supplychainperformance is measured to ensure healthy operations. Ask yourself, “Are your supplychainmetrics bogging you down?” Functionally isolated metrics lead to sub-optimized supplychainperformance.
Data analytics helps you monitor key performance indicators (KPIs), like supplier performance, delivery times, and transportation efficiency — all in real-time. Analyzing performance trends helps you find areas to improve across your supplychain.
The rise in complexity happened faster than supplychain leaders could improve supplychainperformance.) I am hearing it again in my interviews for the book Metrics That Matter. My reasoning is that it takes many years to drive true supplychainperformance. We have stubbed our toes.
A Hard Look at Corporate Performance. Strangely, in the last decade, while companies had the opportunity to use technology better, supplychainperformance declined. Only four percent of companies compared to their peer groups improved balance sheet performance of growth, operating margin, and inventory turns.
As I mentioned in my previous post, Sales Dashboards – 16 Metrics for Manufacturers , a strategy for measuring business performance should also incorporate metrics that focus on the supplychain and other operational areas of the enterprise. You can refine as you go! DSO – Days Sales Outstanding.
It will be nice to be home and to have time to write on this second book, Metrics that Matter. If you have a story of supplychain excellence that you want to share for my book, please drop me a line. Market-Driven SupplyChainSupplychain excellence inventory market driven profitability supplychainperformance'
I have taken myself off the road to write the book Metrics That Matter. You just do not see the patterns of the interrelationships of metrics in an Excel spreadsheet. When I work with companies, the gap in supplychainperformance is larger than I expected. It is a slow week. Most of my friends are on vacation.
The group’s response is, “Are these supplychainmetrics?” The sad reality is that is a focus on functional metrics throws the supplychain out-of-balance reducing balance sheet performance. This focus aligns the organization and reduces political internal strife.
I am attempting to understand the choices companies make and the impact on supplychainperformance. One of my stark realizations this year is that smaller companies are beating larger and often more established companies on growth metrics, inventory turns, operating margin, and Return on Invested Capital (ROIC).
I love the sound as it rolls off my tongue; but yes, the Metrics that Matter book is finished. The book is a story of a supplychain leader named Joe. As a result, he is trying to figure out how to define supplychain excellence. Fini is the French word for finished. I finished the page proofs last week.
The second part of Drucker’s quote, “if you can't measure it, you can't improve it,” really brings home the importance of having the right set of metrics. In the field of supplychain management, we have created an abundance of metrics and key performance indicators (KPIs). Accessibility.
Daily performance visibility and collaboration to discuss performance related to supply network outcomes and enterprise operating metrics must become part of the fabric and rhythm of running a successful operation. The post What role should logistics providers play in supplychainperformance and benchmarking?
by John Westerveld When things happen in supplychain, knowing sooner and acting faster can mean the difference between a major catastrophe and a minor hiccup in your supplychainperformance. Is this kind of performance too good to believe? Supplychainperformance like this is not out of your grasp.
To monitor supplychainperformance, stakeholders of successful companies typically define supplychainmetrics that are relevant to the given business and track these KPIs regularly. By setting benchmarks for metrics, analysts can recognize unsettling trends and take preventive measures on time.
All companies need to employ a performance measurement system to organize and manage their supplychainmetrics. The appropriate metrics to manage and measure the success of a company’s operation vary significantly by industry, by individual company, and by the scale of the business.
Supplychainperformance KPIs are invaluable measurements that support the growth and success of a company’s supply, fulfillment and delivery efforts. Fortunately, applying metrics to multi-source operational information that’s stored and managed in a data hubs greatly minimizes these issues.
More important than the depth of your strategy is its clarity: clear objectives, measurable KPIs (key performance indicators) and achievable targets. When you get these three elements working together, that’s when you start seeing real, sustainable improvements in your supplychainperformance.
Over my next few articles, I’ll share some tips on the kinds of resolutions you can put in place to get your supplychainperformance back on track in 2015. Of course, if your supplychain is already humming, then these tips can help you achieve even greater levels of performance.
It is hard work to maintain the status quo in metricsperformance. A balanced portfolio of metrics delivers the greatest value. The supplychain is a complex, non-linear system. In the setting of strategy goals, executive teams often set unrealistic goals because they are not aligned with supplychain potential.
In recent webinars and presentations, I have been talking about Early Warning Systems within the context of supplychains. The news story above made me think of several examples where a supplychain would use similar concepts to develop early warning metrics.
Setting up a supplychainperformance measurement system? Here are 5 things to know 5 Things to Know About Setting Up a Better SupplyChainPerformance Measurement System was first posted on August 14, 2017 at 2:45 pm.
Collaborate across departments: Engage stakeholders from different departments within the organization – not just supplychain management including logistics and procurement but sales, marketing, and finance.
KPIs in SupplyChain The Basics As in any business activity, supplychain operations need to focus doggedly on improvement to compete in the marketplace, but how do you know if your supplychainperformance is satisfactory or getting better or, god forbid, worsening? Thats where KPIs come in.
You will learn how you can significantly boost your supplychainperformance—and in the process identify numerous cost-saving opportunities. What would be the key number, or metric that you would need to know? You might start to measure the same metrics and see which one is performing better.
He gave the supplychain team what they needed to do their jobs but also ended up creating the ‘one version of the truth’ the demand planning team, the supply side, and eventually management used to collaborate and run the business.
He gave the supplychain team what they needed to do their jobs but also ended up creating the ‘one version of the truth’ the demand planning team, the supply side, and eventually management used to collaborate and run the business.
Most supplychain leaders cannot get their groove on because they generalize–the use of the same metric targets and tactics for the supplychain without paying attention to the flows. Most companies have a high volume and predictable supplychain (COV of less than.5), Wrong Metrics.
How do supplychains fail even when they appear to succeed? Dan Gilmore, editor-in-chief of SupplyChain Digest, has an interesting take on this question. In an article entitled ‘ Metric Strategies and SupplyChainPerformance ’ Gilmore suggests that many companies have KPI targets that are too low.
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