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In 2012, when I started Supply Chain Insights , I believed that I could revolutionize the purchase of supply chain planning solutions by initiating a rating and review process across trading partners. Buying supply chain planning software is hard. How are people buying software? Here I share how to challenge the status quo.
Today, supply chain excellence matters more than ever. Until there are clear answers, business leaders should avoid buying software from companies with deep investments by venture capitalists. Kinaxis Purchase of Rubikloud. The purchase of Rubikloud by Kinaxis shows just how little the Kinaxis team knows about demand management.
Several customers addressed those questions in excellent case study presentations: Dr. Bernhard Herzog, Oxea GmbH – “Business Impact of a Supply Chain Operating Network”. Herman Woltjes, Shell Chemicals – “Logistics Execution”. Ralf Kahre and Patrick Gött, BASF – “End-to-End Business Process Management”. Fast and effective roll out.
Concurrent macro forces–material shortages, war, shifts in consumer buying patterns, logistics constraints, inflation/recession, and climate change– are reshaping today’s reality necessitating the need for a supply chain reset button. I am the most worried about the chemical sector.
In the height of the e-commerce craze, the marketplace offerings started with a focus on e-procurement. The widely-held view was that the e-procurement market would fuel the next generation of marketplace applications. The rebirth of marketplace offerings is not on the back of e-procurement or ERP. The debates were heated.
Bundled offers (if you buy X, Y, and Z from me, I can offer a 10% discount or in case of transportation, grouping of backhaul lanes at a discount along with inbound lanes). Trying to evaluate bids with such complexity is well beyond the realm of manual methods and Excel spreadsheets. These criteria become constraints on the bid.
They excel in the four Ps of marketing. In contrast, a market-driven organization connects bidirectionally market-to-market to orchestrate the signals to shape demand and mitigate risk (buy-side to sell-side and back). The ends of the supply chain–both in customer and procurement– are fragile. Absolutely! Absolutely!
In September of 2020, the company hired Jeff Baker to be their Vice President of Procurement and Integrated Supply Chain. Mr. Baker spent over 34 years leading procurement teams at The Dow Chemical Company. At Dow, Mr. Baker had Purchasing experience in raw materials, and logistics for their plastics supply chain.
He is responsible for manufacturing, procurement, supply chain planning, logistics, quality, social responsibility and final product engineering. Prior to joining Starbucks, he worked at the executive leadership level in Europe, Latin America and North America at ICI, a global chemical company. Here is an excerpt from the interview.
They each lag in their understanding of supply chain excellence, and are now struggling to build effective supply chain teams. On the webinar, when the participants were polled on the reason for rising inventories, over 50% of respondents indicated that it was the lack of an executive understanding of supply chain excellence.
Bonuses and incentives align with functions and are often counter productive to driving supply chain excellence. PFEP optimizes the policies that define how to procure each part. PFEP enables supply chain leaders to glean a 360-degree view of their inventory and procurement policies to maximize the value of each inventory dollar.
Note the elongation of the cash-to-cash cycle in the chemical industry of 38 additional days when comparing the 2014-2019 averages to the pre-recession period of 2004-2006. While touted as a digital procurement provider, it took the Company nine days to onboard me as a vendor, and two weeks to process a Purchase Order.
Refractories are products that have been chemically engineered to resist high temperatures. They have tens of thousands of items they produce but there are a small number of products they purchase through a global sourcing program. This closed loop procurement in turn helps ensure products are made on schedule.
Research from APQC’s Open Standards Benchmarking in procurement shows that organizations without formal SRM programs report 121 percent longer supplier lead times. Reducing lead times from suppliers can help turn inventory faster, freeing up cash and ultimately satisfying customers.
RS Integrated Supply’s Costanza Campi to speak at World ProcurementExcellence Summit WARRINGTON, UK / RADNOR, PA 8 AUGUST 2023 – Costanza Campi, Senior Vice President of Global Procurement for RS Integrated Supply, has been selected to present at the upcoming World ProcurementExcellence Summit in Cologne, Germany.
And its technology assets too, like the Kiva robots Amazon purchased [in 2012] and the data centers that power its cloud computing services. At an MIT conference last year, Tom Linton, Chief Procurement and Supply Chain Officer at Flextronics, presented his top 10 list of supply chain trends. Further “consumerization” of business IT.
Concurrent macro forces–material shortages, war, shifts in consumer buying patterns, logistics constraints, inflation/recession, and climate change– are reshaping today’s reality necessitating the need for a supply chain reset button. I am the most worried about the chemical sector.
Now in our sixth year supporting the SPLC, it did not disappoint: This was the strongest and the most diverse gathering of committed and capable practitioners we’ve ever seen in North America — it felt like a real groundswell of action on sustainable purchasing! Strong Focus on Supplier Practices, and Private Sector.
Established chemical company and leading sustainability ratings provider address critical risks and establish high supplier performance standards. The global chemical company will leverage the EcoVadis platform to reduce risk, encourage innovation and drive sustainable procurement performance across its supply base.
This includes companies like BASF, Clorox, Eastman Chemical, J&J, Kimberly-Clark, Mondelez, Nestle, P&G, and Unilever. Few implementations of planning connect to procurement and transportation. Buying From the Same Vendor Improves Integration. Process Integration Across Functions. Large companies perpetuate this myth.
Claritum Article - Procurement Blog. I took on the challenge of writing a condensed version of all the current Procurement challenges. I rapidly came to the conclusion that these articles were excellent at the helicopter view of the challenges, however seemed unable to apply categorisation to the challenges. Introduction.
“Currently, the biggest challenge for supply chain managers is…” Keeping up with consumers and their buying behaviors. In the meantime, companies need to make sure they have the most talented negotiators and leaders heading up their procurement and supply chain functions. Have backups to your backups.
They do not relate to any overall company procurement goals and objectives. Figure 1: SPM Project Stages (Gordon Sherry R, 2008) This organization has created a Procurement Steering Committee with management participation to leverage procurement as a tool to improve business performance.
After all, a clear picture of the company's procurement process is necessary to develop a sustainable future strategy and to avoid pitfalls that hold your business back. Spend analysis involves spend visibility , spending review , and procurement process improvement. The answer is simple: spend analysis.
We achieved recognition both internally and externally for our sourcing and procurement accomplishments in the spend management area. Our team was recognized for our unique configure-to-order process for our microprocessors as a finalist in the Supply Chain Council’s Operational Excellence award in 2011. My tenure at AMD was amazing.
Listening to him reminded me of the fun we had starting up the first ever company to produce supply market intelligence focused on the procurement space. Today, Beroe is the most successful procurement intelligence company, and continues to lead the pack in this space. We were astounded to discover that the ratio was 1 to 105.
Efficient management of catalog items is one factor that distinguishes chaotic purchasing from organized procurement. Procurement teams that want to speed up the purchasing process and reduce errors while adhering to quality standards and budget limitations must have quick access to pre-approved items from vetted suppliers.
This was an excellent opportunity to be able to bring together regional buyers and suppliers, share our expertise in CSR and discuss how we can improve and above all work together to promote sustainability in the supply chain”, explained Richard Bourne, Director of Supplier Engagement department at EcoVadis.
Sourcing & Procurement. Sourcing & Procurement. ProcureEdge – Sourcing & Procurement. There are heaps of operational data in the raw format and in some cases even well processed data such as vibration analysis, chemical analysis etc. Supply Excellence. Procurement Blog. Customer Service.
These credits can then be purchased directly by manufacturers. Making it possible for manufacturers to buy credits –– and thus valorise and support the certified practice –– without physically holding the certified assets. Buys certificates in the ‘Certificates Market’. Actors: The Government: Sets the sustainability standard.
Every step of the way, the fabrics and wearables undergo countless mechanical and chemical tests before landing in our favorite stores. Fabienne Bouffé, Digital Project Manager at TESTEX In this study, you’ll find out how and why Fabienne’s team has chosen Precoro as a solution for procurement process automation.
Steve Hainey is an international speaker who has had over 20 years’ experience in global multi-site supply chain planning for Fortune 100 & 500 manufacturing companies of retail consumable goods, chemical materials, and medical device products. I have purchased the E-Book myself and truly enjoyed it. . Just keep moving forward.
Our look at the Top 25 (plus 4) Supply Chains of 2018 examines how the best companies in the world excel at managing their global supply chains. The company uses various digital tools throughout its supply chain in such areas as planning, purchasing analytics, smart factory and digital customer logistics. DataTable subpages.
Sourcing & Procurement. Sourcing & Procurement. ProcureEdge – Sourcing & Procurement. A growing core of what the Financial Times recently described as " belief system " companies have concurred that sustainability practices add to positive customer buying perceptions as well as bottom-line results.
When Gartner purchased AMR Research in December 2009, the methodology became the Gartner Supply Chain Top 25. The methodology did not include a peer group analysis, and I strongly felt that chemical, retail, and telecommunications companies should not be compared in the same analysis. The reason?
While there is much hype on DDMRP and the use of orders as a proxy for demand, companies need to remember that orders carry latency: they are out-of-step with market purchase behavior. The transformational wave is slowly transforming the automotive industry from a focus on selling “rides” versus the purchase of an automobile.
I define supply chain excellence as year-over-year performance better than the peer group on this balanced scorecard. Orbit Chart for Ecolab at the Intersection of Inventory Turns and Operating Margin Versus the Chemical Industry for the Period of 2010-2019. 06/2020 Kinaxis buys Rubikloud for 60M$. They did it.
As Allyson presented her story of working for multiple consumer products companies, with very advanced technologies (demand sensing, advanced automation of forecasting, data lakes and descriptive analytics), she spoke of why at the end of the day, the most important technology that she uses is Excel. The question is, “Why?
Indirect Procurement – It’s Time to Rise and Shine! High spend and highly visible Procurement categories like raw materials, I/T, capital equipment, travel, facilities, large services contracts and more often merit dedicated Commodity Management resource. Subscribe Here! Email Address. Need I say more?
This blog is part of a three-part series on how cloud ERP enables manufacturers to achieve operational excellence. These topics and more are covered in our Achieve Manufacturing Excellence with Cloud ERP: A Practical Guide for Small and Midsize Manufacturers. Manufacturers and distributors live or die by real-time data.
Some, like Disney and Nike, have announced that they simply won’t buy any apparel produced in Bangladesh. Viewed from the stoic perspective of supply chain excellence, the idea of getting orders completed on time in full is of course familiar to all students of the profession. But is that really the right solution?
The US Geological Survey has conducted extensive chemical analysis of 23 sedimentary phosphate deposits (phosphorites) in the United States with the results demonstrating significantly enriched REEs in these ores. With those alternatives as a backdrop, here are a few of our recommendations for solving the rare earth problem: Rags to Riches.
The chemical industry is the first to feel a recession, and the early travel freezes is a definite caution flag. At the end of the day, customers buy based on value not on the cool factor of the technology. For the CFO, end-to-end is a focus on transactional flows like order-to-cash and procure-to-pay. My forecast? What to Do?
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