Supply Chain Shaman

JANUARY 9, 2024

Nvidia, Northrup Grumman, PACCAR Inc, PCA (Packaging Corporation of America), ResMed, Rockwell Automation, Ross Stores, Taiwan Semiconductor Manufacturing (TSMC) Company, Tempur-Pedic, TJX, Toro, Toyota, West Pharma, United Tractors, and Urban Outfitters. The group’s response is, “Are these supply chain metrics?”

Supply Chain Planning Software 299

Supply Chain Planning Software Pharmaceutical Supply Chain Planning Gartner 299

GlobalTranz

APRIL 25, 2016

3 Key Metrics for Measuring Supply Chain Performance Beyond Cost Reduction. In comparison, the poorest-performing companies in the lowest quartile had a range of working capital between 23% and 39% as a percentage of revenues. 10 Soft Metric Considerations in Measuring Supply Chain Performance. Isn’t time important? Read More.

Procurement Analytics 120

Procurement Analytics Supply Chain Performance Metrics Supply Chain Software 120

Supply Chain Shaman

JUNE 19, 2018

It is now our fifth year of analyzing balance sheets to understand which companies are outperforming their peer groups on the metrics of growth, operating margin, inventory turns and Return on Invested Capital (ROIC) while driving improvement. In Table 3, I share a comparison of the two methodologies. This is the fun part of my job.

Gartner 211

Gartner Supply Chain Design Software Supply Chain Design Supply Chain Strategy 211

Logistics Viewpoints

DECEMBER 17, 2024

However, as carbon taxes and emissions reporting requirements continue increasing, supply chain professionals face mounting pressures from inside and outside their organizations to measure and improve performance against new, nebulous sustainability metrics. Freight transportation makes up over 10% of total global carbon emissions.

Supply Chain Planning Software 161

Supply Chain Planning Software Procurement Solutions Supply Chain Software Cost Reduction Strategies 161

Supply Chain Shaman

MAY 29, 2014

Meaningless Comparison. I just don’t think the comparison of very different industries in a spreadsheet based on growth, inventory values, and Return on Assets (ROA) is meaningful. As a result, the metrics have to be viewed together as a pattern over time. I find value in looking at these metrics together.

Gartner 303

Gartner Inventory Reduction Supply Chain Planning Software Pharmaceutical 303

Supply Chain Shaman

SEPTEMBER 17, 2014

While the performance rankings were based on comparisons of inventory turns, operating margin and Return on Invested Capital (ROIC) for the periods of 2006-2013 and 2009-2013, the concept is that to be a supply chain leader you must outperform and drive improvement. Aligned Metrics. Can you help us with what you see in the data?”

Optimal Sourcing 302

Optimal Sourcing Supply Chain Design Software Supply Chain Planning Software Manufacturing Procurement 302

Supply Chain Shaman

OCTOBER 5, 2018

The award, based on beating the industry peer group on rate of improvement on the key metrics of growth, operating margin, inventory turns, and Return on Invested Capital (ROIC) while outperforming their peer group, is tough to achieve. Based in Paris, L’Oréal is a global personal care manufacturing company.

Case Study 261

Case Study Inventory Reduction Agile and Lean Supply Chain Study 261

Supply Chain Shaman

FEBRUARY 26, 2024

Based on the work with Georgia Tech, we are getting clear on which metrics matter by industry. As companies adopt a balanced scorecard, the functional metrics shift to a focus on reliability. For example, in manufacturing, the shift in focus is away from OEE to focus on first pass yield and schedule adherence.)

Modeling 207

Modeling Supply and Demand Optimal Sourcing Supply Chain Planning Software 207

Supply Chain Shaman

MARCH 27, 2023

Definitions: Oxymoron: The combination of contradictory or incongruous words (such as cruel kindness) Juxtaposition: The act of placing words or concepts close together or side by side, for comparison or contrast. ” Today only 7% of manufacturers are innovators. What makes the company believe that they are best practices?

Supply Chain Planning Software 315

Supply Chain Planning Software Supply Chain Planning Scenario Planning Supply Chain Design Software 315

ToolsGroup

AUGUST 20, 2019

Companies moving to BPO in these practice areas are experiencing supply chain improvements in metrics such as inventory turnover and customer service. By comparison, vendors have been investing in advanced technologies such as artificial intelligence (AI) and advanced analytics to enhance their offerings. versus $4.84 For example ….

Supply Chain Planning Software 214

Supply Chain Planning Software Supply Chain Planning Gartner Supply Chain Software 214

Supply Chain Shaman

JANUARY 14, 2013

Year after year, well intentioned people toiled against improving metrics that reduced, not improved, the effectiveness of the supply chain. The example that I give in the first post is the focus of manufacturing strategies to drive strong results to improve Return on Assets (ROA) that have actually caused a deterioration in operating margin.

Supply Chain Planning Software 260

Supply Chain Planning Software Supply Chain Design Software Optimal Sourcing Modeling 260

GlobalTranz

MAY 20, 2015

When you choose a company to transport your freight or to supply you with the materials you need to manufacture a product, you are putting your hard work and reputation in their hands. The next posts in the series will break down metrics and issues to consider in SQM by industry and conclude with a case study on the application of SQM.

Procurement Analytics 120

Procurement Analytics Metrics Quality Supply Chain Planning Software 120

Logistics Viewpoints

DECEMBER 15, 2022

Price index and price elasticity are useful metrics on their own, and a combination of these can help determine the right price point to maximize revenue and profit. Comparison of these profiles then gives us store clusters with similar demand, and based on these insights, assortment plans can be developed to address the difference.

Optimal Sourcing 220

Optimal Sourcing Analysis Procurement Analytics Purchasing Skills 220

Supply Chain Shaman

JUNE 7, 2021

A balance sheet analysis shows that 95% of publicly traded manufacturers are stuck (when compared to peer group) at the intersection of growth and margin, margin and inventory turns, and Return on Invested Capital (ROIC) and growth. When companies were growing, I also discovered that the cost and inventory metrics better aligned with peers.

Gartner 197

Gartner Supply Chain Design Software Supply Chain Planning Software Eliminating Excel in Purchasing 197

Supply Chain Shaman

APRIL 14, 2013

To understand supply chain excellence, Abby and I have been studying pattern recognition for industry peer groups at the intersection of the metrics in the Supply Chain Effective Frontier of growth, profitability, cycles and complexity. This analysis has been fun and insightful. Publication of our next book.

Gartner 268

Gartner S&OP Pharmaceutical Supply Chain Planning Software 268

Supply Chain Shaman

APRIL 26, 2013

As a follow-up to this article, I wanted to talk one-on-one with the leadership teams of the two companies and get their insights on the ten-year comparison. For example, we seldom outsource manufacturing. We take pride in our innovations in manufacturing. We manage supply chain metrics. This is a conscious choice.

Supply Chain Planning Software 260

Supply Chain Planning Software Supply Chain Planning Supply Chain Scenario Planning 260

Unleashed

DECEMBER 15, 2021

Here explain what DSI is, how to use it, and why it’s crucial to track this metric in your business – whether you’re a retailer, manufacturer, wholesaler or distributor. For manufacturers, it’s about understanding how long the process takes from receiving inventory to manufacturing a product and achieving a sale.

Procurement Analytics 98

Procurement Analytics Inventory Reduction Metrics Inventory 98

Supply Chain Shaman

OCTOBER 29, 2014

Here are the three questions that I would like people to ask: Table 1: Comparison of Results for Best of Breed Solution Providers to ERP Expansionists in Supply Chain Planning. Tomorrow, I get to deliver this message to a large manufacturing client. In addition, I am now done with the page proofs for my new book, Metrics that Matter.

Supply Chain Planning Software 312

Supply Chain Planning Software Modeling Demand Planning Software Optimization Software 312

Supply Chain Shaman

JULY 29, 2013

Which supply chain metrics correlate to market capitalization by Morningstar sector? Note that the ratios are better than absolute numbers because it helps in the comparison of large and small companies and performance across currencies.) Which companies have made year-over-year improvements? Results of the Supply Chain Index.

Supply Chain Planning Software 287

Supply Chain Planning Software Supply Chain Design Software Modeling Analytics Software 287

Supply Chain Shaman

OCTOBER 8, 2019

The number one question that I am asked today by manufacturers across all industries is “How can I improve customer service?” A common issue in financially-driven companies is the heavy utilization of manufacturing assets past reasonable limits throwing the supply chain out of balance. Background. 4 Maximize Buffers.

Supply Chain Design Software 189

Supply Chain Design Software Inventory Reduction Supply Chain Planning Software Forecasting 189

Supply Chain Shaman

OCTOBER 2, 2020

Many of my clients talk about a customer-centric supply chain but rely on useless metrics from an annual survey or a net promoter score. I called the customer service line for the manufacturer and was told that the only thing I could do was call a maintenance specialist. A Comparison Of Company Performance To Industry Average.

Customer Service 295

Customer Service Supply Chain Design Software Supply Chain Planning Software Supply Chain Design 295

Supply Chain Shaman

MAY 1, 2014

The operating margin for the medical device industry is 4X that of the automotive manufacturer and 2x the margin of the hospital. 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. There is no time for whining.

Supply Chain Planning Software 290

Supply Chain Planning Software San Diego Supply and Demand Pharmaceutical 290

Supply Chain Shaman

JULY 19, 2015

It is for this reason, that I discount the reporting by APQC, Institute of Business Forecasting (IBF) and Grocery Manufacturing Association (GMA) benchmarking data. While every company will agree that this data is VERY important, the lack of standard definition precludes comparison. A lag is the comparison against points in time.

Benchmarking 150

Benchmarking Supply Chain Planning Software Supply Chain Planning Scenario Planning 150

Logistics Viewpoints

JULY 19, 2023

In the survey, APQC used a series of performance metrics, including net promoter score, customer retention rate, perfect order performance, and on-time delivery among others, to identify the top performing companies. By comparison, 85 percent of orders are accomplished in one delivery for those at the 75th percentile.

Sustainability 215

Sustainability Optimal Sourcing Logistics Material Savings 215

Unleashed

JULY 23, 2023

Key Performance Indicators (KPIs) help manufacturers determine operational strengths and flaws. By tracking the right manufacturing KPIs in your production operations you can accurately monitor performance to ensure the consistent and timely delivery of quality products. In this manufacturing KPIs guide What are KPIs in manufacturing?

Manufacturing Procurement 52

Manufacturing Procurement Procurement Analytics Metrics Inventory Reduction 52

ToolsGroup

AUGUST 20, 2019

Companies moving to BPO in these practice areas are experiencing supply chain improvements in metrics such as inventory turnover and customer service. By comparison, vendors have been investing in advanced technologies such as artificial intelligence (AI) and advanced analytics to enhance their offerings. versus $4.84 For example ….

Supply Chain Planning Software 136

Supply Chain Planning Software Supply Chain Planning Gartner Supply Chain Software 136

Supply Chain Shaman

NOVEMBER 28, 2016

Shipping approximately 400 million selling units consisting of 700 million manufactured units per year, Carter’s employs about 4,000 employees at its peak. Over the period of 2009-2015, only 88% of companies made improvement on the Supply Chain Metrics That Matter. (As Performance on the Supply Chain Metrics That Matter.

Supply Chain Design Software 195

Supply Chain Design Software Supply Chain Planning Software Agile and Lean Supply Chain Supply Chain Software 195

GlobalTranz

JULY 5, 2016

We continue our series on the top 5 blogs in our 4 main categories ( Freight , Manufacturing , Logistics , and Supply Chain ). It was also evident that many folks wanted more information around KPIs and Metrics, as our top 5 included two posts from this sub-category. Our first post covered the Top 5 Freight Management blogs of 2016.

Logistics Network Optimization Software 132

Logistics Network Optimization Software Logistics Supply Chain Design Software Modeling Software 132

Supply Chain Shaman

AUGUST 7, 2019

In my work with manufacturing companies recently, I am thinking a lot about the need for diagnostic testing. In Figure 1, we show the aggregate trend of the chemical industry in an orbit chart format showing year-over-year results at the intersection of two metrics operating margin and inventory turns. Let’s take an example.

Supply Chain Design Software 253

Supply Chain Design Software Supply Chain Planning Software Supply Chain Software Supply Chain Design 253

Supply Chain Shaman

JULY 8, 2013

In the Supply Chain Metrics that Matter table, we can clearly see that “operating margin” and “inventory turns” matter to public financial performance. Each faces four years of deterioration on this important supply chain metric. Why it Matters.

Supply and Demand 217

Supply and Demand Demand Planning Software Modeling Supply Chain Planning Software 217

Supply Chain Shaman

FEBRUARY 23, 2017

Over the period of 2009-2015 only 88% of companies made improvement on the “Supply Chain Metrics That Matter.” (The The Supply Chain Metrics That Matter are a portfolio of metrics which correlate to higher market capitalization. Comparison of Performance and Improvement of Companies in the Chemical Industry for 2009-2015.

Agile and Lean Supply Chain 154

Agile and Lean Supply Chain Supply Chain Design Software Supply Chain Design Supply Chain Planning Software 154

GlobalTranz

OCTOBER 8, 2018

E-commerce has presented wholesale distributors and original equipment manufacturers (OEMs) with a crown opportunity for growth, but it comes at the cost of transitioning from single-channel shipping. Some of these, reports Channel Advisor , include: Multichannel fulfillment has an increased cost in comparison to traditional shipping.

Shipping 120

Shipping Cost Reduction Strategies Manufacturing Procurement Optimal Sourcing 120

Logility

JANUARY 15, 2014

Comparison of Owens Illinois Versus Sonoco Products for the Period of 2000-2012. Alignment on a Metrics Portfolio. OI) is a $7 billion manufacturer of glass bottles while Sonoco Products is a $5 billion manufacturer of paper packaging. Each of the supply chains had a different target in the metrics portfolios.

S&OP 101

S&OP Illinois Agile and Lean Supply Chain Inventory Reduction 101

Logility

JANUARY 15, 2014

Comparison of Owens Illinois Versus Sonoco Products for the Period of 2000-2012. Alignment on a Metrics Portfolio. OI) is a $7 billion manufacturer of glass bottles while Sonoco Products is a $5 billion manufacturer of paper packaging. Each of the supply chains had a different target in the metrics portfolios.

S&OP 100

S&OP Illinois Agile and Lean Supply Chain Inventory Reduction 100

Supply Chain Shaman

DECEMBER 10, 2018

As shown in Figure 1, the company now has sales of 6.1B$, manufacturers 40+ brands in 24 countries while selling products in 100 countries. Orbit Chart Comparison of Personal Products, Household Companies and Broadline Retailers (Period of 2006-2017). The problem was not contract manufacturing costs/efficiency. Reflections.

Inventory Reduction 170

Inventory Reduction Cost Reduction Strategies Waste Reduction Material Savings 170

Supply Chain Game Changer

SEPTEMBER 8, 2021

What is Procurement’s North Star Metric? The North Star Metric (NSM). As published by Forbes in a 2017 article, “The North Star metric concept originally emerged from Silicon Valley and is best utilized by companies that invest in long-term sustainable growth. These sub-metrics should be your own mini-North Star Metrics.

Procurement Analytics 86

Procurement Analytics Manufacturing Procurement Negotiating Skills Optimal Sourcing 86

Supply Chain Shaman

OCTOBER 22, 2015

I was moving from a position where I led a manufacturing operation to being a part of a team to design supply chain software to improve planning decisions. I was moving from the world of manufacturing to a new world of software. The technology world moves at a quicker pace than the world of manufacturing and distribution.

Inventory Reduction 150

Inventory Reduction Supply Chain Design Software Inventory Supply Chain Planning Software 150