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There will be little relief in 2022 unless the factors driving the increased import volumes—a strong economy and the fundamental shift in consumer behavior to purchase more goods and less services—change. Near or re-shoring sourcing strategies will be evaluated to “shorten” supplychains and gain greater control of supplychain performance.
Today, supplychainexcellence matters more than ever. During the pandemic, the supplychain discussions take new importance. While the supplychaintechnology market lost its allure at the start of the last decade, it is now cool again. The supplychain career is new.
This is because most classical planning solutions lack the modeling capability and computing power to accommodate different data sources, large SKU count, and detailed constraints and contingencies to build an immediately executable plan. The planning process should be automated, repeatable, and not dependent on Excel-based manipulation.
The basic frame of supplychain planning–functional taxonomies for optimization on a relational database–must be redesigned before supplychain leaders can reap the benefit of deep learning, neural networks, and evolving forms of Artificial Intelligence (AI). I term this our data jail. Market-Knowledge Graph.
In part one of this blog series, I started the saga of the supplychain fairy tale. It was a story where people believed that functional excellence leads to supplychain superiority. I strongly feel that a blind focus on functional excellence will cause the supplychain to become out of balance.
Source: Descartes Datamyne. Theme 2: Online buying will fuel home delivery growth, challenges and new strategies. In 2023, consumers will be less forgiving and poised to buy from retailers whose delivery performance is commensurate with the rest of the shopping experience. Figure 1: U.S. Somewhat nailed it.
Over his 30+ year career in the supplychain, Richard has worked with manufacturers around the world in operations, supplychain, and lean strategy roles to develop systems that can manage complex supplychains on a global scale. Richard previously founded and led Factory Logic, Inc. acquired by SAP).
iDev Partners provides growth and turnaround services to owners and executives of small and medium-sized automotive, industrial, and technology businesses. Areas of focus include new market entry, new product development, sales effectiveness, partnerships and alliances, operational excellence, and financial management.
Today, nine out of ten supplychains are stuck. Despite two decades of advancement in supplychaintechnologies, companies are struggling to gain balance at the intersection of operating margin, inventory turns and case fulfillment. These technologies are applicable to solve many problems.
” Source: SAP Website The Discussion Not Held on the Stage The main event at the Forum was not on the main stage. Source: AI Query What To Do? While the traditional wisdom is buying more and more SAP applications to have one throat to choke, this assumes that anyone can get their hands around a greedy throat.
Manufacturers can gather valuable granular data such as the time an item spent in storage, at what temperature, how long it took to sell, the length of time between purchase and fulfillment and how long it spent in transport. Supplychains are complex, and any effects on one point in the supplychain tend to have a domino effect.
Key Components of an Efficient SupplyChain An efficient supplychain is like a well-oiled machine, with several integrated elements working in harmony. An efficient procurement process optimizes vendor selection and purchasing decisions to maintain cost-effective inventory levels.
Supplychain management as a discipline—a set of flows combining the processes of source, make and deliver together to drive value– is relatively new. As supplychain professionals, we have never managed the supplychain through a pandemic. Navigating the World of Gray. The Many Shades of Gray.
What are the best applications of supplychaintechnology that should be driving B2B/B2C or omnichannel businesses? This creates fragmentation within their supplychains with several relationships to manage to ensure their product gets to their eventual destination. And what opportunities are being missed today?
Intra-company and intercompany, across the supplychain and across the globe, from the operator level to the management suite, information on all aspects of production, manufacturing, sourcing, and distribution is increasingly visible and accessible at all levels, so that appropriate decisions can be made and applied.
Having just listened to a very informative and comprehensive webinar by Dr Natacha Tréhan and Arnaud Malardé [ Moving Towards a Net Zero SupplyChain Webinar | Ivalua ] what struck me were the following key takeaways: 1. There are 15 defined Scope 3 categories : Purchased goods and services. Capital goods. Business travel.
Brent crude oil prices Dec 2009 – Dec 2014 (Source MoneyAM.com). I use this example to illustrate the challenges (or, perhaps, the futility) of making supplychain and logistics predictions. SupplyChain Operating Networks (SCONs) introduce enhanced network-based analytics and social networking capabilities.
While I blog more business-focused research on Forbes , and tell stories from my travels on LinkedIn , this is my blog for the technology leader attempting to stay current on supplychaintechnology trends. The source of the content is research. Every supplychain organization is slightly different.
Source: Dictionary.com. The discussion of customer-segmented supplychains happens often. How do they buy from you? How do they buy from you?” Most supplychain planning teams do not know their customers. Both improvement and performance define supplychainexcellence.
Historically, supplychain processes were functional focused on make, source and deliver. The digital supplychain is cross-functional and aligned market-to-market. Traditionally, supplychaintechnologies are batch processes. Digital sourcing? Digital path to purchase?
The most significant for the supplychain market are assets from Baan, Formation Systems, Fygir, Intentia, Lawson, MAPICS, Mercia, and SSA Global. On August 13th, Infor announced the intent to purchase GT Nexus for 675M$. The largest was the purchase of Lawson in 2011 for 2B$. I am not surprised.
iDev Partners provides growth and turnaround services to owners and executives of small and medium-sized automotive, industrial, and technology businesses. Areas of focus include new market entry, new product development, sales effectiveness, partnerships and alliances, operational excellence, and financial management.
Too often companies think it starts with buying a new ERP or other enterprise software solution. This idea that you have to begin with buying a big new ERP or enterprise system is where many companies get stymied because of the potential high cost and long implementation times. The big question, of course, is how to get started.
No Purchase Orders were used. Cutting the Right Costs with Technology by Sourcing Innovation. VMI is an excellent option for many dealers and distributors as it has the ability to increase inventory turns, reduce customer returns, reduce administrative costs and reduce lost sales.
I had the opportunity to work with several excellent organisations, most notably, nearly 20 years with Ceva (including EGL or Eagle Global Logistcis) and now TVS SCS. Emerging markets have matured and ongoing development in supplychain continues in order to serve those robust consumer markets. MORE FROM THIS EDITION.
The procurement department is an integral part of any organization, playing a crucial role in the purchasing process. To get the most out of any procurement team, all the associated key roles need to be filled with qualified individuals that understand both technology and the principles of supplychain management.
Inspired by McKinsey’s 2020 consultancy report, which emphasizes transforming supplychains rather than temporary fixes, we believe a comprehensive approach to reskilling supplychain professionals is essential to meet future demands.
As if the largest economic crisis since the Great Depression wasn’t enough of a challenge to the supplychain industry, the introduction of the smartphone and advanced analytics into the marketplace disrupted the industry further by providing an exponentially growing consumer base and easy access to goods and information.
Logistics Excellence: Now & in the eFuture. getting buy-in from drivers and other stakeholders) and implementing appropriate metrics to measure and drive performance.). If you’re a manufacturer or retailer, you can track market supply and demand and leverage the data to build supplychain resilience with diversified sources.
They expect to be able to make purchases and receive service in that same lightening quick timeframe. These growing customer-focused supply networks are slowly beginning to replace the traditional, linear supplychain which tends to focus on select links in the chain one at a time. Faster Results.
Especially since many retailers have already purchased and shipped their goods ahead of the looming tariff changes. Having a long-range view provides the sourcing teams with a bigger time margin so they can correct the impending disruption by communicating directly with the factory or taking other reactive measures.
Supplychaintechnology industry analyst and SupplyChain Matters Founder Bob Ferrari provides added perspectives and highlights to last week’s announced acquisition of Starboard Solutions by Logility. Starboard Founder and President , Steve Johanson will lead a newly formed Center of Excellence within Logility.
And to answer those questions, we asked Shaun Philips, Product Director at QAD DynaSys and Ariel Weil, QAD DynaSys’ CEO to give us their predictions of the future of supplychaintechnology. What is a Digital SupplyChain? As a Product Director, how will you define Digital SupplyChains?
Manufacturers can gather valuable granular data such as the time an item spent in storage, at what temperature, how long it took to sell, the length of time between purchase and fulfillment and how long it spent in transport. Supplychains are complex, and any effects on one point in the supplychain tend to have a domino effect.
Source: Gartner. I don’t for one second deny that the companies on the list have great supplychains, but there are so many advances in SupplyChaintechnology, talent, skills and capabilities that it is hard to believe that all of this excellence is restricted to the same group of 20 companies year after year after year.
Supplychain optimization is a key component of the manufacturing supplychain process, helping companies control their input costs to be able to provide effective goods or services to their customers. It goes beyond just maximizing the overall supplychain performance in terms of material delivery excellence.
Source: Gartner. I don’t for one second deny that the companies on the list have great supplychains, but there are so many advances in SupplyChaintechnology, talent, skills and capabilities that it is hard to believe that all of this excellence is restricted to the same group of 20 companies year after year after year.
Supplychain optimization is a key component of the manufacturing supplychain process, helping companies control their input costs to be able to provide effective goods or services to their customers. It goes beyond just maximizing the overall supplychain performance in terms of material delivery excellence.
End-to-end supplychain management involves all the steps in your supplychain, starting with sourcing ecommerce inventory to managing the post-purchase experience. . Here’s an overview of the critical stages throughout an end-to-end supplychain. How do you manage supplychain risk?
Founding member of NEXST, alias Centre of Excellence for Global Emerging SupplyChainTechnologies, initiated by Reefknot, Kuehne & Nagel and SGInnovate, in Singapore, and expert of SEA20, an international not-for-profit initiative and network of ports, academia, associations and companies supporting maritime transformation.
Retailers are highly vulnerable to legal and public pressure for pretty much everything that happens in that chain. Buying from suppliers accused of damaging the environment, cruelty to animals or poor pay and working conditions might not be a compliance issue, but it could easily become a brand management one.
The argument is one stated by this blog along with others, namely that the longer that higher global-wide ocean transportation cost increases exist at 2021 levels, the more compelling is the requirement for manufacturers and retailers to consider reshoring or nearshoring sourcing strategies. Bob Ferrari.
You’re going to need to buy more machinery, etc., So if tuning the supplychain can yield such ROI, why hasn’t this already been happening? No one’s going to deploy a supplychaintechnology because ‘gee whiz, that’s cool’. So what makes for a winning play in supplychain?
Which means, a retail logistics operation often requires both labor and supplychaintechnology — which can increase logistics costs significantly. In 2019, 48% of customers returned products they purchased online, resulting in billions in losses. COVID’s impact on retail logistics. Procuring inventory.
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