Supply Chain Shaman

APRIL 27, 2022

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.) Table of Performance. A potential value of a digital twin.).

Procurement Analytics 339

Procurement Analytics Manufacturing Procurement Supply Chain Planning Software Supply Chain Design Software 339

Supply Chain Shaman

DECEMBER 28, 2020

Strangely, in the last decade, while companies had the opportunity to use technology better, supply chain performance declined. Only four percent of companies compared to their peer groups improved balance sheet performance of growth, operating margin, and inventory turns. Days of Inventory Comparison.

Supply Chain Planning Software 418

Supply Chain Planning Software Forecasting Forecasting Software Modeling 418

Supply Chain Shaman

JUNE 29, 2021

Each year, we compile a list of top-performing Supply Chains, termed the Supply Chains to Admire. What is the best supply chain technology? There is no correlation between types of technology—company or brand—and supply chain performance.

Supply Chain Planning Software 370

Supply Chain Planning Software Supply Chain Design Software Supply Chain Planning Supply Chain Design 370

Kinaxis

JUNE 7, 2018

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 supply chain performance?

Supply Chain Design Software 135

Supply Chain Design Software Supply Chain Design Supply Chain Performance Supply Chain Planning Software 135

Supply Chain Shaman

APRIL 25, 2013

As I sat at my kitchen table, I reviewed spreadsheet after spreadsheet of corporate performance data on supply chain financial ratios. The relationship between corporate financial performance and supply chain metrics was complex; and in my first attempts, I was unable to derive a correlation.

Supply Chain Design Software 260

Supply Chain Design Software Supply Chain Planning Software Supply Chain Software Supply Chain Design 260

Supply Chain Shaman

MARCH 19, 2014

Instead, what I observed when I looked at the data, was that most companies that I had worked with (in my role as an industry analyst, I had worked with over 300) were going backwards on margin and inventory turns. The rise in complexity happened faster than supply chain leaders could improve supply chain performance.)

Gartner 315

Gartner Supply Chain Planning Software Supply Chain Strategy Supply Chain Software 315

Supply Chain Shaman

JUNE 19, 2013

It comes in many flavors–increase in inventory, changes in sales policies, new product lines– all add to the complexity. Supply chains have not morphed to manage the complexity at the same cost, quality and level of customer service. Cycle Management is Stalled.

Forecasting 270

Forecasting Supply Chain Planning Software Agile and Lean Supply Chain Forecasting Software 270

Logility

AUGUST 5, 2021

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. Inventory-based KPIs probably make sense for you, but how will you benchmark results? That’s a trap.

Metrics 130

Metrics Modeling Supply Chain Planning Software Supply Chain Design Software 130

Supply Chain Shaman

APRIL 16, 2014

I have taken myself off the road to write the book Metrics That Matter. On the 2nd of April, I sat before a board discussing how a company could exceed expectations in the delivery of Return on Invested Capital (ROIC) and superior operating margins and fail at the delivery of customer service and inventory. It is a slow week.

Supply Chain Design Software 279

Supply Chain Design Software Agile and Lean Supply Chain Modeling Supply Chain Planning Software 279

Supply Chain Shaman

NOVEMBER 21, 2024

Yawn and walk on if the answer is i mproving demand error or reducing inventory levels. On December 5th, Supply Chain Insights is hosting a small event at Georgia Tech to share the results of a two-year research effort to connect financial metrics by industry to supply chain performance to drive value.

Supply Chain Planning Software 367

Supply Chain Planning Software Modeling Software Modeling Supply Chain Network Software 367

Supply Chain Shaman

JANUARY 9, 2024

An average margin of 21% with inventory turns of 1.58 show a clear gap in performance. Yet, you will find the past executives from Sanofi speak openly on event stages about their journey on supply chain excellence as winning performance. 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

Silvon Software

JUNE 23, 2020

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 supply chain and other operational areas of the enterprise. Inventory Turns and Sales-to-Inventory Ratio.

Manufacturing Procurement 111

Manufacturing Procurement Metrics Gartner Supply Chain Planning Software 111

Logility

AUGUST 7, 2017

Often, it becomes necessary to reevaluate how supply chain performance is measured to ensure healthy operations. Ask yourself, “Are your supply chain metrics bogging you down?” Functionally isolated metrics lead to sub-optimized supply chain performance.

Procurement Analytics 121

Procurement Analytics Metrics Gartner Supply Chain Planning Software 121

Supply Chain Shaman

OCTOBER 22, 2015

The impact of complexity on inventory is not quick. To help, today I want to share some of the insights from our recent Inventory Optimization study. Inventory management is a hot issue. Companies invest in project after project, yet inventory levels remain the same. Supply chain processes are now over 30-years old.

Inventory Reduction 150

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

Supply Chain Shaman

JANUARY 8, 2014

” Supply Chain 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?

Procurement Analytics 260

Procurement Analytics Manufacturing Procurement Metrics Procurement Solutions 260

Demand Solutions

DECEMBER 30, 2014

Over my next few articles, I’ll share some tips on the kinds of resolutions you can put in place to get your supply chain performance back on track in 2015. Of course, if your supply chain is already humming, then these tips can help you achieve even greater levels of performance.

Forecasting 190

Forecasting Supply Chain Planning Supply and Demand Scenario Planning 190

Kinaxis

SEPTEMBER 16, 2014

There has been so much discussion on the “top” supply chain lists. While there was always passionate discussions on companies and metrics, the end goal was to raise awareness of supply chain as a practice. The panel discussed the Top 15 Supply Chains we Admire, as built off the Supply Chain Index.

Supply Chain Planning Software 279

Supply Chain Planning Software Gartner Supply Chain Design Software Agile and Lean Supply Chain 279

Supply Chain Shaman

AUGUST 12, 2020

The first step was to charter a research project with the Arizona State University statistics department to analyze which combination of metrics drives the highest market capitalization. The research project analyzed 1200 combinations of 180 metrics for four hundred companies for the period of 2010-2012. The result? The reason?

Gartner 243

Gartner Supply Chain Software Procurement Analytics Manufacturing Procurement 243

Silvon Software

JULY 22, 2022

Supply chain performance 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.

Metrics 81

Metrics Manufacturing Procurement Supply Chain Planning Software Supply Chain Strategy 81

Logistics Viewpoints

JULY 23, 2024

Collaborate across departments: Engage stakeholders from different departments within the organization – not just supply chain management including logistics and procurement but sales, marketing, and finance. Identify key touchpoints and decision points where data-driven insights can drive improvements and inform decision-making.

Optimal Sourcing 258

Optimal Sourcing Agile and Lean Supply Chain Supply Chain Software Modeling 258

Supply Chain Shaman

MAY 3, 2015

When it comes to the management of inventory in value chains, frustration abounds. Executive, after executive, lament, “They have purchased many technologies and sponsored many projects to reduce inventories, but they are not seeing results.” The supply chain is a complex system with increasing complexity.

Inventory Reduction 150

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

Logility

JANUARY 26, 2017

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 supply chain management, we have created an abundance of metrics and key performance indicators (KPIs).

Procurement Analytics 100

Procurement Analytics Metrics Supply Chain Planning Software Gartner 100

Supply Chain Shaman

DECEMBER 7, 2022

In this Forbes article, I write about my insights from the Supply Chains to Admire Work , an annual assessment of balance sheet performance, and a hard look at supply chain performance. Colgate outperformed P&G in Return on Invested Capital (ROIC), and P&G exceeded Colgate in inventory turns.

Inventory Reduction 55

Inventory Reduction Material Savings Supply Chain Strategy Price Mitigation Strategies 55

Supply Chain Shaman

SEPTEMBER 20, 2015

Instead, in the SanDisk journey , they adjusted the speed of response to their customer segments, and actively designing inventory postponement strategies. For many companies starting a demand-driven journey, adopting SanDisk’s customer-centric strategies would be a great starting point to improve supply chain performance.

Inventory Reduction 150

Inventory Reduction Cost Reduction Strategies Sourcing Strategies Supply Chain Strategy 150

Supply Chain Shaman

MARCH 18, 2018

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.

Optimal Sourcing 173

Optimal Sourcing Supply Chain Planning Software Supply Chain Design Software Supply Chain Optimization 173

Supply Chain Shaman

MARCH 28, 2016

Historically, the traditional supply chain focused on improving costs. Today, more mature supply chain teams focus on delivering value. While companies want to improve supply chain performance and drive value, it is easier said than done. Supply Chain Organizations By The Numbers.

Pharmaceutical 195

Pharmaceutical Metrics Manufacturing Procurement Supply Chain Planning Software 195

Logility

AUGUST 25, 2020

in inventory write-down and 20% drop in stock value. Would access to better supply chain and IT performance information have helped avert or mitigate these failures? Every company today runs on data – the key to using your data is choosing the right metrics for visibility into your supply chain.

Supply Chain Planning Software 173

Supply Chain Planning Software Supply Chain Design Software Agile and Lean Supply Chain Supply Chain Software 173

Logility

SEPTEMBER 5, 2013

He gave the supply chain 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. Inventory and costs go down increasing your asset turns and margins.

Supply Chain Performance 100

Supply Chain Performance Supply Chain Planning Software KPI Supply Chain Software 100

Logility

SEPTEMBER 5, 2013

He gave the supply chain 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. Inventory and costs go down increasing your asset turns and margins.

Supply Chain Performance 100

Supply Chain Performance Supply Chain Planning Software KPI Supply Chain Software 100

Supply Chain Shaman

JANUARY 19, 2014

Despite multimillion dollar technology projects, and tomes of strategy documents, they are stuck in their ability to overcome market factors and rising complexity to drive continuous improvement on a portfolio of metrics. As complexity shifts happen, the supply chain has to be redesigned to absorb the changes.

Supply Chain Planning Software 278

Supply Chain Planning Software Supply Chain Design Software Price Mitigation Strategies Inventory Reduction 278

Supply Chain Shaman

JANUARY 13, 2013

In the process, I discovered that the average process manufacturing company has reached a plateau in supply chain performance. However, the conditions were more complex; the average company, over the last ten years, experienced a decline of 1% in operating margin, and an increase in the days of inventory of 5%.

Supply Chain Planning Software 212

Supply Chain Planning Software Supply Chain Design Software Supply Chain Software Supply Chain Planning 212

Supply Chain Shaman

MAY 1, 2023

Certain supply chains like maintenance parts, designer/fashion items, new product launches, and food service items must be managed in an agile supply chain. As shown in Figure 2, in a recent survey, we find that only 23% of companies are clear on the role of the supply chain as it ties to the business strategy.

Inventory Reduction 246

Inventory Reduction Cost Reduction Strategies Waste Reduction Resource Reduction 246

Supply Chain Shaman

JULY 3, 2017

It is hard work to maintain the status quo in metrics performance. A balanced portfolio of metrics delivers the greatest value. The supply chain is a complex, non-linear system. The supply chain is a complex, non-linear system. Companies balance supply chain metrics better in good times than bad.

Inventory Reduction 157

Inventory Reduction Supply Chain Planning Software Supply Chain Design Software Cost Reduction Strategies 157

Logistics Bureau

APRIL 19, 2021

You will learn how you can significantly boost your supply chain performance—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.

Benchmarking 75

Benchmarking Supply Chain Performance Supply Chain Exercises 75

Supply Chain Shaman

JUNE 15, 2018

My caution is not so fast… 95% of companies are not making progress at the intersection of growth, operating margin, inventory turns and asset strategies. An avid student of supply chain performance, I have asked the question of What makes a “supply chain leader” for the last six years.

Sourcing Strategies 150

Sourcing Strategies Supply Chain Planning Software Inventory Reduction Modeling Software 150

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. Inventory Turns. Supply Chains to Admire Finalists.

Agile and Lean Supply Chain 154

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

Supply Chain Shaman

JULY 8, 2013

The current focus is on store-by-store productivity and the design of the supply chain from the outside-in. In the Supply Chain Metrics that Matter table, we can clearly see that “operating margin” and “inventory turns” matter to public financial performance. Why it Matters.

Supply and Demand 217

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