Supply Chain. Boom and Bust. Carlos Blandon Sergio Reveles. Tom Koplyay. Presentation: TOWARDS A MORE RESPONSIVE SUPPLY CHAIN: A STRATEGY DIMENSION
|
|
- Randolph Blair
- 8 years ago
- Views:
Transcription
1 Supply Chain Boom and Bust Carlos Blandon Sergio Reveles Tom Koplyay Presentation: TOWARDS A MORE RESPONSIVE SUPPLY CHAIN: A STRATEGY DIMENSION 1
2 Agenda Mandate & Scope Introduction Supply Chain in High Tech Problem Statement and Causes Recommendations and Action Plan Evaluation Conclusion This is our agenda base on a Mandate, Introduction, etc. We want to address with this agenda all the challenges, trends, current situation in the Supply Chain in the high tech and take a look at it from a Case Analysis perspective. 2
3 Mandate & Scope Objective: To study the strategic aspect of SCM To establish recommendations for SCM To provide final comments Our mandate is to come up with general and realistic recommendations for potential best practices in dealing with supply chain partners in the High Tech sector, given the current challenges and trends that industry confronts. We all know that effective supply chain management within an organization has proven it can drive cost reductions while increasing customer responsiveness, but organizations face a new challenge: How will companies achieve competitive advantage in a world where supply chains compete with other supply chains. 3
4 Introduction Great importance in general management studies Definition Evolution of the Chain Supply Chain Management overall objectives are enterprise wide decisions Supply Chain as competitive advantage Before we get to the good stuff of supply chain, we need to know what is it? Since its inception about 10 years ago, the field of supply chain management has become tremendously important to companies in an increasingly competitive global marketplace. The term supply chain refers to the entire network of companies that work together to design, produce, deliver, and service products. In the past, companies focused primarily on manufacturing and quality improvements within their four walls; now their efforts extend beyond those walls to encompass the entire supply chain. For this purpose we would like to make an introduction of supply chain by looking at the definition, evolution and the strategic part of it to gain competitive advantage. 4
5 WHAT IS SCM? The means by which firms engaged in creating, distributing, and selling products can join forces to establish a supply network with unbeatable competitive advantage. It s important to have a clear definition supply chain when a company is trying to set its strategic objectives. For this purpose we have come out with the most accurate defination the means by which firms engaged in creating, distributing, and selling products can join forces to establish a supply network with unbeatable competitive advange In the picture you can see the bigger picture of the supply chain. So Supply chain have to do with the following: Material flow from suppliers and their upstream suppliers at all levels Transformation of materials into semi-finished and finished products Distribution of products to customers and their downstream customers at all levels Depending on the situation, the supply chain may include major product elements, various suppliers, geographically dispersed activities, and both upstream and downstream activities. It is critical to go beyond your immediate suppliers and customers to encompass the entire chain, since hidden value often emerges once the entire chain is visualized. 5
6 EVOLUTION OF SCM LEVELS OF SUPPLY CHAIN OPTIMIZATION Internal External Driver Benefits Focus Tools Action Area Guidance Model Alliances Sourcing and Logistics Phase I VP Sourcing (under Pressure) Leveraged Internal Excellence Phase II CIO/Supply Chain Leader Prioritized Network Construction Phase III Business Unit Leader Best Partner Savings Improvements Performance Inventory, Process Forecasting, Logistics, Redesign, planning, System customer Freight, Order improvement services Teaming Benchmarks, Metrics Functional Database mining, Excellence best practices e-commerce Midlevel Expanded Total Organization levels Organization Cost Data, Process Advanced Cost Models, Differentiating success funding Mapping process None Supply Chain Interenterprise Intraenterprise Best Partner Supplier Consolidation Formal Alliances Training Team Leadership Partnering Industry Leadership Phase IV Management Team Networks Advantage, profitable revenue Consumer Network Intranet, Internet, Virtual Information Systems Full Enterprise Demand-Supply Linkage Global Market Joint Ventures Network Processing Source: Poirier, Charles Advanced Supply Chain Management Why do this? Most of the gains achievable from an internal focus have been realized, while the opportunities that exist through cooperation and collaboration are the new frontier. The evolution of supply chain includes Internal integration which occurs within the organization and represents the position of most business organizations seeking improvements in their supply chains. And External integration which occurs when the business joins forces with external firms to seek network savings. Both levels together describe the evolution of supply management and become the foundation to reach operational efficiencies along with a strong strategy. The internal level have to do with gaining sourcing and logistics efficiencies to reach internal excellence (see table). External optimization has also two phases which includes network construction and industry leadership. We believe that High Tech companies are on phase IV of this classification, however some of the problems we identify have to do with internal aspects of the optimization of supply chain. 6
7 Strategic View of Supply chain Source: Booz-Allen s SCM approach, July 2000 So for example, on this exhibit of the supply chain management hierarchy, as you can see we are concentrating on the what (from the strategy point of view of the chain) objectives, policies and operating footprint have to be establish to achieve effectiveness in the supply chain and prevent major problems during downturn. Strategy concentrates on the long term decisions of SCM; tactical is concentrating on the medium term decisions and operational on the day to day operations of supply chain with execution been how to implement all these. We are concentrating on the to part of the SCM hierarchy. 7
8 Profits Customer Satisfaction Cost Time to Market Product Quality Growth Rate Sales Volume Market Share STRATEGIC OBJECTIVES OF SCM The overall objectives of an efficient SCM are three: Enhanced SCM to drive corporate strategy and shareholder value Collaboration among partners to synchronize operations Technology play a key role innovative supply chain strategies The Internet is already having a major effect on supply chains and there is more come. One way to capture its effect is in the following framework: The Framework for Internet Impact Within an Enterprise Better Cost, Speed, Accuracy, Communication Across the Chain: Information Exchange Visibility, Collaboration on Inventories and Design Across the Chain: Restructuring Compressing the Chain, Changing Roles; Virtual Resources Across Multiple Chains or Nets Auctions, e-procurement, Exchanges, Communities New Business Opportunities New Channels/Markets, Mass Customization, Truly New Product 8
9 Key Areas of SCM Demand Forecasting Manufacturing Inventory Management Purchasing Transportation Warehousing Product Development Marketing Sales Once Companies set up their objectives, they concentrate on the above areas. Given careful consideration to all of then to reach an optimal and competitive supply chain 9
10 Supply Chain in the High Tech Sector History Overall Challenges to SCM External current situation in the SC Internal current situation in the SC Cisco, Compaq and Nortel Case So, what had happen in the supply chain in the High Tech Sector? To make sense of it, we will look at the evolution of it, the overall challenges, External (environment situation) and the Internal Situation in the Supply chain and not necessary a particular company. Please remember that in this industry, most of the supply chain has high level of optimization As an example we will take a careful look at Cisco, Compaq and Nortel 10
11 Supply Chain Control History Prior to the 1990 s OEM s operated SC Control through asset ownership Vertical integration (organized by product) In the eighties the big electronic equipment suppliers were vertically integrated. Big OEMs used to own the sheet metal shops, paint shops, printed circuit board shops, cable and wire plants, assembly plants and depending on management preferences on what was considered a priority, they used to own and run specific component manufacturing sites like specialty connectors and semiconductors. These were the days where management thought of controlling the supply chain via asset ownership. The companies were organized by commodity or by product with some kind of matrix reporting system to the executive team. Each component or sub-assembly division had it own financial goals driven by the internal business unit that was the recipient of the goods. The intent was to satisfy internal company demand and in some cases management allowed the component or sub-assembly division into the external market but this were not part of what was considered the core business of the division. 11
12 Systems contracts Integrated supply Outsourcing E-business Supply chain trends In the High Tech Sector Lower total cost Reduce redundancy Improve processes Outcomes: Bludgeoned channel Streamlined channel Better channel communication Better channel integration In the nineties, big OEMs started the process of divesting what they thought was available in the market, the reasons for this divestiture process was to concentrate in the core competencies and to free up cash to fund the rest of the activities of the corporation. More and more cases of divesting happened and then big OEMs started to formulate specific manufacturing strategies. The new trend was to pass from a vertically integrated organization to a virtual set of entities that would contribute with a portion of the whole product. The concept of supply chain meant all the activities from start to finish in order to finish a product. This initiative was to increase intregration among partners. OEMs would start to consider Supply Chain decisions as strategy decisions. They would start to outsource what ever was not considered part of the core competency. In the late nineties, the concept of outsourcing came as a widespread phenomenon in the electronic equipment industry transferring assets to the EMS from the OEMs. The OEMs are in the way of becoming brand managers that use the EMS to put together the product. The degree of outsourcing will depend on the management ideas about what the future of the company is The theory was that manufacturing specialist, companies like Solectron, Sanmina, Celestica, Flextronics, and Jabil Circuit could bring greater focus and expertise to projects, could develop procurement and risk efficiencies better than OEM (Outsourcing Equipment Manufacturing) and could lead in innovation if they were encouraged to do so. Finally, the Internet has open a new frontier to reach supply chain excellence, 12
13 IT IS ABOUT $$$$$ So the main purpose of these strategies is PROFITS..INCREASE SHAREHOLDER VALUE 13
14 Overall Challenges for Effective SCM Complex Supply Chain Network Complex product structure or building process Decentralized control/organizational silos Increasing pressure for customer service and asset utilization Multiple sources of uncertainties So, these are the overall challenges in the High tech sector Nonetheless, the payoff from successful supply chain management is high enough that most companies are finding innovative ways around these challenges. 14
15 Current Situation External Sources of variability Demand variability Example: Difficulty forecasting sale Process variability Example: Unexpected downtime and yield losses Supply variability Example: Supplier deliveries are late Variability and uncertainty are the most significant threats to a welloptimized supply chain network. There are three main external sources of variability in supply chains: DEMAND VARIABLILITY Bullwhip effect - It describes how small fluctuations in demand at the customer level are amplified as orders pass up the supply chain through distributors, manufacturers and suppliers. As an example Cisco Suppliers. Nevertheless, order fluctuations invariably become considerably larger as one moves upstream in this supply chain. (not been able to scale down) Common Causes of Bullwhip Demand Signal Processing each stage does its own forecasting Order Batching trying to achieve economies of scale Price Fluctuations inducements such as forward buys through price reductions Allocation Gaming when shortages loom, over-orders are placed through multiple channels. Once the causes of the bullwhip for your company s supply chain are recognized, you can begin exploring how to lessen the bullwhip. For example, if a major problem stems from demand signal processing, then one party in the chain can take responsibility for a single chainwide forecast of consumer demand, which is then routinely shared on a dynamic basis with all members. PROCESS VARIABILITY The push-pull point it relates to anticipated demand (forecasts) versus actual demand (firm orders). In 15
16 Current Situation Internal Issues Old Vertical Thinking Lack of Communication Lack of Trust and Fear Problem Solving Methodology Misalignment of Agendas Different set of goals Different methods of achieving goals Flexibility vs Predictibility Inventory Differences: Full vs Necessary Some internal factors includes the old vertical thinking and the misalignment of agendas among partners Old vertical thinking have to do with not been able to scale down during economic downturn resulting lack of communication, trust and problem solving methodology The misalignment of agendas where different goals are set by OEM and CEM (look at the slide) 16
17 Economic Slowdown (scale down) CISCO Not able to see the macro downturn (V, U, 7) $2.2 Billion Inventory write-off Steep decline of stock Lack of Supply Chain visibility Misread the market (demand forecasting) Lack of measures with its SC partners Lack of alignment with second & third suppliers Two of the things that gave Cisco its glow were its development of a virtual supply chain with limitless capacity and its ability to provide extraordinarily high reliability to its customers. Another apparent strength was its approach to manufacturing: It didn t build most of what it sold. By all outside appearances, Cisco was the picture of health and prosperity. But hidden problems were mounting. Early last year, shortages of memory and optical components began paralyzing one path of production. For the first time, Cisco s supply chain began to experience the kind of growing pains that affected its earnings. When the telecommunications infrastructure experiences a severe downturn, customer orders began to dry up and Cisco neglected to turn off its supply chain. Orders went out, parts began to pile up. Its raw parts inventory ballooned more than 300% from the third quarter of Cisco s problems culminated in a $2.25 billion write-down. In short, Cisco simply wasn t able to scale up or down as quickly as it though it could. Downturn: oil prices, currency fluctuations, inflation, and Federal reserve policies Over reliance on technology and self-confidance Technology vs Human Judgement Cheap Financing distorted real demand Profits falling vs looking at part profitability Outsourced manufacturing model did not encourage frank communication and trust 17
18 COMPAQ Supply Variability (scale up) Shortages of equipment Unfilled orders of 700,000 devices Compaq Mi$$ the boat of opportunities The pocket PC, introduced under a direct sales/inventory less strategy, quickly became the company s biggest hit. Demand for the device outpaced supply 25 times, and Compaq executives were enthusiastic about its market potential In late 1999, Compaq decided it needed to revive its lagging commercial PC sales. The company announced a hot new product line: the Ipaq series of handheld devices, with full color screens, multimedia capabilities and unmatched portability. After the 2000 second quarter, however, demand for handheld devices in general was outpacing supply and most companies, including Compaq, Palm, IBM and Ericsson, were losing customers and orders unfulfilled orders of 600,000 to 700,000 devices Because shortages of LCD capacitors, resistor and flash memory Suppliers who had their eye only on their own margins concentrat ed on producing only those components that gave them the greatest return on their manufacturing investment. Capacitor manufactures did respond to the shortages, running their plans three shifts a day, seven days a week. Although production capacity is starting to expand, the pace is hardly breakneck. At pennies a piece and with tiny commodity margins, capacitors and resistors need to be sold in major quantities to support the kind of growth nec essary to underwrite a fully responsive new factory. When the economic downturn hit, Compaq build up its capacity in inventory. When they tried to sell the product, none was buying, 18
19 NORTEL Like Cisco, victim of Demand Variability Econ downturn unable to scale down Lack of visibility, measures & alignment to gain market share no matter what Steep competition playing catch up Like Cisco, Nortel fell victim of demand variability for the same reasons Due to fast moving competitor s, exemplified by Cisco, who were outsourcing heavily, and rapidly acquiring companies and capabilities to fill out their product portfolios. Nortel decided it had to become more like its competitors. This meant swapping vertical integration for virtual integration and using acquisitions to maintain a technological edge over competitors. Falling behind - no competitive advantage play catch up with Cisco. 19
20 Analysis matrix of SC in the H-Tech Demand Uncertainty Low High Low Supply Uncertainty High CISCO, NORTEL. COMPAQ Supply chain are unique, but it is possible to classify them generally by their stability or uncertainty on both the supply side and the demand side. Consider the following table where would your company fit in? See Table On the supply side, low uncertainty refers to stable processes, while high uncertainty refers to processes which are rapidly changing or highly volatile. On the demand side, low uncertainty would relate to functional products in a mature phase of the product life cycle, while high uncertainty relates to innovative products. Once your chain has been categorized, you can select the most appropriate tools for improvement. For example, if your chain is in box 4, with a dynamic demand and highly uncertain supply, then creating a virtual supply chain like that of Cisco would make sense. On the other hand, if your chain was in box 1, with stable demand and stable supply, you would like to avoid the bullwhip and would use strategies to counter the bullwhip effect. 20
21 Problem Statement The misalignment of objectives among partners has created impediments in the supply chain that prevents them from achieving operational efficiency and from increasing shareholder value. Given the current economic slowdown supply chains in the high tech industry have revealed weaknesses due to the inability of the partners to scale down when needed. SR 21
22 Causes of Problem Causes of problem Design of supply chain Lack of practices Lack of focus in strategic relationship Organization Technology without strategic purpose SR 22
23 Recommendation Supply chain design must be cautiously configured. Fit between demand pattern and supply chain Define strategy for asset ownership Practices Benchmark for best in class SR 23
24 Recommendation Strategic relationships Alignment with supply chain partners Focus on the right customers Organization Consolidation of accountability and authority Technology application SR 24
25 Recommendation The Benefits of Collaboration 25
26 Action plan Crafting the project vision, developing the business case and ensuring executive commitment. Managing organizational change and redesigning business processes. Choosing the appropriate implementation approach and methodology. Managing technical challenge. SR 26
27 Start with the right goal. Developing a strategy Strategy must enable the organization to deliver a unique value proposition. Strategy must define how all elements of what organizations do fit together. Strategy involves continuity of direction. 27
28 Growth Evaluation Cost Minimization W. Capital Efficiency F. Asset Utilization SR 28
29 Conclusion Careful attention to the supply chain design and operation can give an organization the competitive advantage needed to succeed in the marketplace. Management should understand the consequences when making decisions affecting the supply chain configuration. It is not about asset ownership but having the accountability at the right place and the collaboration among partners. SR 29
30 Conclusion Break Organization Barriers Build Visibility into the Supply Chain Manage SC by metrics Reduce the decision Cycle Process (Demand and Supply alignment) Encourage Collaboration Reduce problem resolution latency 30
31 ANY QUESTIONS? 31
Supply Chain Management Think Global, Go Global. Hau L. Lee Stanford University
Supply Chain Management Think Global, Go Global Hau L. Lee Stanford University Global Supply Chain Management Diverse needs of customers Greater complexities & uncertainties Large geographical spread of
More informationTapping the benefits of business analytics and optimization
IBM Sales and Distribution Chemicals and Petroleum White Paper Tapping the benefits of business analytics and optimization A rich source of intelligence for the chemicals and petroleum industries 2 Tapping
More informationContent. Chapter 1 Supply Chain Management An Overview 3. Chapter 2 Supply Chain Integration 17. Chapter 3 Demand Forecasting in a Supply Chain 28
Content Part I: Principles of Supply Chain Management Chapter 1 Supply Chain Management An Overview 3 Part II: Supply Chain Planning & Design Chapter 2 Supply Chain Integration 17 Chapter 3 Demand Forecasting
More informationLearning Objectives. Supply Chains & SCM Defined. Learning Objectives con t. Components of a Supply Chain for a Manufacturer
Chapter 4 Global Supply Chain Management Operations Management by R. Dan Reid & Nada R. Sanders 4th Edition Wiley 2010 Learning Objectives Describe the structure of supply chains Describe the bullwhip
More informationMaking Strategic Decisions with Oracle Advanced Planning. An Oracle White Paper September 2006
Making Strategic Decisions with Oracle Advanced Planning An Oracle White Paper September 2006 Making Strategic Decisions with Oracle Advanced Planning SUMMARY Strategic decision making is more important
More informationEnterprise Systems: From Supply Chains to ERP to CRM
Enterprise Systems: From Supply Chains to ERP to CRM Management Information Code: 164292-02 Course: Management Information Period: Autumn 2013 Professor: Sync Sangwon Lee, Ph. D D. of Information & Electronic
More informationA Best-Practice Approach to Transforming Global Supply Chains
A Best-Practice Approach to Transforming Global Supply Chains Ralph G. Kauffman, Associate Professor University of Houston-Downtown, Houston, TX 77002, 713-221-8962 kauffmanr@uhd.edu Thomas A. Crimi, Category
More informationIntroduction to. David Simchi-Levi. Professor of Engineering Systems Massachusetts Institute of Technology. Regional warehouses: Stocking points
Introduction to Supply Chain Management David Simchi-Levi Professor of Engineering Systems Massachusetts Institute of Technology Sources: Plants vendors ports Regional warehouses: Stocking points Field
More informationSupply Chains: From Inside-Out to Outside-In
Supply Chains: From Inside-Out to Outside-In Table of Contents Big Data and the Supply Chains of the Process Industries The Inter-Enterprise System of Record Inside-Out vs. Outside-In Supply Chain How
More informationFour distribution strategies for extending ERP to boost business performance
Infor ERP Four distribution strategies for extending ERP to boost business performance How to evaluate your best options to fit today s market pressures Table of contents Executive summary... 3 Distribution
More informationCreating and Embedding a Customer Driven Supply Chain
To get there. Together. Creating and Embedding a Customer Driven Supply Chain Point of view Contents Creating and Embedding a Customer Driven Supply Chain 3 How to Embed a Customer Driven Supply Chain
More informationDean Gauthier General Manager KLB Group Canada
Productivity in the Supply Chain Application in a manufacturing environment Dean Gauthier General Manager KLB Group Canada About me DEAN GAUTHIER General Manager KLB Group Canada Over 25 years of experience
More informationSolutions to Optimize Your Supply Chain Operations
Solutions to Optimize Your Supply Chain Operations Executive Summary Strategic optimization of your end-to-end supply chain produces significant savings and improves your operational service levels. Effecting
More informationCASE-IN-POINT: AVAYA'S SUPPLY CHAIN TRANSFORMATION - ENABLED BY A VISION FOR PEOPLE, PROCESS, AND TECHNOLOGY
CASE-IN-POINT: AVAYA'S SUPPLY CHAIN TRANSFORMATION - ENABLED BY A VISION FOR PEOPLE, PROCESS, AND TECHNOLOGY April, 2015 Bryan Ball, Vice President and Group Director, Supply Chain, Retail and Operations
More informationSupply Chain Management
Supply Chain Management อาจารย ดร.อ ศว ณ ปส ธรรม Email: win@riped.utcc.ac.th 11-1 Supply Chain the sequence of organizations (their facilities, functions, and activities) that are involved in producing
More informationFinancial Information
Financial Information Solid results with in all key financial metrics of 23.6 bn, up 0.4% like-for like Adjusted EBITA margin up 0.3 pt on organic basis Net profit up +4% to 1.9 bn Record Free Cash Flow
More informationAbout ERP Software Whitepaper
About ERP Software Whitepaper Many people have heard the term ERP used in a conversation but don t fully understand what it means. This whitepaper will provide information about the processes and advantages
More informationSix Key Trends Changing Supply Chain Management Today. Choosing the optimal strategy for your business
A Knowledge-Driven Consulting White Paper 2009 Corporation Six Key Trends Changing Supply Chain Management Today Choosing the optimal strategy for your business Contents Demand Planning.........................................
More informationCopyright by Dr. Edmund Prater, University of Texas at Arlington. Sub-segment 1.5 Strategy and its impact on Supply Chains.
Sub-segment 1.5 Strategy and its impact on Supply Chains. Competitive strategy can be covered in a full class on its own. The goal of this section is not to reiterate the entire basis and insights of strategy.
More informationSupply Chain development - a cornerstone for business success
Supply Chain development - a cornerstone for business success Agenda 1. Supply chain considerations 2. Benefits of a developed SCM strategy 3. Competitive advantage by using a LSP 4. CRM/SCM key to business
More informationBusiness Challenges. Customer retention and new customer acquisition (customer relationship management)
Align and Optimize Workflows with Lean Dan Marino Marino Associates, LLC Strategic and tactical planning Information systems integration Customer retention and new customer acquisition (customer relationship
More informationLogistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D.
Logistics Management SC Performance, SC Drivers and Metrics Özgür Kabak, Ph.D. Outline Supply Chain Performance: Achieving Strategic Fit and Scope Competitive and supply chain strategies Achieving strategic
More informationCost-effective supply chains: Optimizing product development through integrated design and sourcing
Cost-effective supply chains: Optimizing product development through integrated design and sourcing White Paper Robert McCarthy, Jr., associate partner, Supply Chain Strategy Page 2 Page 3 Contents 3 Business
More informationSteel supply chain transformation challenges Key learnings
IBM Global Business Services White Paper Industrial Products Steel supply chain transformation challenges Key learnings 2 Steel supply chain transformation challenges Key learnings Introduction With rising
More informationSYNCHRONIZATION: MOVING BEYOND RE-ENGINEERING
SYNCHRONIZATION: MOVING BEYOND RE-ENGINEERING Ajit Kambil An edited version of this viewpoint appeared in the Journal of Business Strategy 2008, Volume 29, Issue 3. Please contact Emerald Insight Reprints
More informationMANAGING RISK IN OUTSOURCED MANUFACTURING. An E2open White Paper. Contents. White Paper
White Paper MANAGING RISK IN OUTSOURCED MANUFACTURING An E2open White Paper 2 2 3 5 Contents Executive Overview Issues and Challenges of Managing Outsourced Manufacturing Resolution Plan for Key Issues
More informationIntroduction to Management Information Systems
IntroductiontoManagementInformationSystems Summary 1. Explain why information systems are so essential in business today. Information systems are a foundation for conducting business today. In many industries,
More informationStrategic Framework to Analyze Supply Chains
Strategic Framework to Analyze Supply Chains 1 Andy Guo A Strategic Framework for Supply Chain Design, Planning, and Operation Part I: Understand the supply chain Part II: Supply chain performance Part
More informationSupplier Relationships Lecture 7. Briony Boydell Managing Business Relationships
Supplier Relationships Lecture 7 Briony Boydell Managing Business Relationships Objectives of lecture Identify the types of relationships within the supply chain Discuss the benefits of improved relations
More informationManagement Update: The Eight Building Blocks of CRM
IGG-06252003-01 S. Nelson Article 25 June 2003 Management Update: The Eight Building Blocks of CRM Customer relationship management (CRM) represents the key business strategy that will determine successful
More informationAdexa. The Electronics Supply Chain: Winning in a Virtual Environment
Adexa The Electronics Supply Chain: Winning in a Virtual Environment The Electronics Supply Chain Winning in a Virtual Environment 1 Executive Summary Constant innovation and changing market forces have
More informationNext-Generation Supply Management
Cisco Internet Business Solutions Group (IBSG) Cisco IBSG 2012 Cisco and/or its affiliates. All rights reserved. Next-Generation Supply Management Authors Ram Muthukrishnan Kevin Sullivan May 2012 Cisco
More informationNCOE whitepaper Master Data Deployment and Management in a Global ERP Implementation
NCOE whitepaper Master Data Deployment and Management in a Global ERP Implementation Market Offering: Package(s): Oracle Authors: Rick Olson, Luke Tay Date: January 13, 2012 Contents Executive summary
More informationThe 2013 Supply Chain Agenda
The 2013 Supply Chain Agenda Time to go beyond the traditional supply chain optimization projects 5 th Edition Prepared and edited by: Erik Koperdraat Kris Dieteren Capgemini Consulting The Netherlands
More informationWHITE PAPER: ANALYSIS OF SUCCESSFUL SUPPLY CHAIN ORGANIZATION MODELS
WHITE PAPER: ANALYSIS OF SUCCESSFUL SUPPLY CHAIN ORGANIZATION MODELS Enporion, Inc. March, 2009 www.enporion.com SUPPLY CHAIN ORGANIZATION MODELS THAT DRIVE SUCCESS To ensure success in your supply chain
More informationCHAPTER 9 SUPPLY CHAIN DESIGN DAVID A. COLLIER AND JAMES R. EVANS. OM, Ch. 9 Supply Chain Design 2009 South-Western, a part of Cengage Learning
OM CHAPTER 9 SUPPLY CHAIN DESIGN DAVID A. COLLIER AND JAMES R. EVANS 1 Chapter 9 Learning Outcomes l e a r n i n g o u t c o m e s LO1 LO2 LO3 LO4 Explain the concept of supply chain management. Describe
More informationValue Creation Through Supply Chain Network Optimization To Address Dynamic Supply Chain
Value Creation Through Supply Chain Network Optimization To Address Dynamic Supply Chain A Thought Paper on Supply Chain Network Design & Optimization Services from the Business Consulting Group Introduction
More informationDriving an Upswing in a Downturn at PolyOne. High Performance through Business Transformation
Driving an Upswing in a Downturn at PolyOne High Performance through Business Transformation PolyOne Corporation is a premier global provider of specialized polymer materials, tailored services and end-to-end
More informationAPICS INSIGHTS AND INNOVATIONS SUPPLY CHAIN RISK CHALLENGES AND PRACTICES
APICS INSIGHTS AND INNOVATIONS SUPPLY CHAIN RISK CHALLENGES AND PRACTICES APICS INSIGHTS AND INNOVATIONS ABOUT THIS REPORT This report examines the role that supply chain risk management plays in organizations
More informationCommodity Price Risk Management (CPRM) - Trends and Challenges for Corporates
Advisory Commodity Price Risk Management (CPRM) - Trends and Challenges for Corporates May 2014 Agenda Industry Challenges CPRM A Business Case CPRM Maturity Model CPRM Trends What Should Companies Do?
More informationLecture Series: Consumer Electronics Supply Chain Management
Lecture Series: Consumer Electronics Supply Chain Management Mohit Juneja i2 Technologies Divakar Rajamani, Ph.D. UTD Center for Intelligent Supply Networks () 2003 UTD Lecture 1: Introduction to Consumer
More informationIntel Reports Fourth-Quarter and Annual Results
Intel Corporation 2200 Mission College Blvd. P.O. Box 58119 Santa Clara, CA 95052-8119 CONTACTS: Reuben Gallegos Amy Kircos Investor Relations Media Relations 408-765-5374 480-552-8803 reuben.m.gallegos@intel.com
More informationCommunity Futures Management Consultant in a Box
Community Futures Management Consultant in a Box Strategic Business Planning Purpose of this Document The purpose of this document is to provide you with the process that a management consultant would
More informationConsiderations. Change your viewpoint. Understand and pursue The Primary Metrics
Considerations Change your viewpoint o After response time compression in your manufacturing/operating platform o You re no longer a manufacturing company that happens to manage inventory..you re an inventory
More information4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility
ebook 4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility 4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility S U P P L Y C H A I N Content Introduction Tool
More informationHISTORY AND INTRODUCTION
HISTORY AND INTRODUCTION I 1 Introduction The APICS dictionary defines the term supply chain as either the processes from the initial raw materials to the ultimate consumption of the finished product linking
More informationMeeting the Challenges of Supply Chain Management
Meeting the Challenges of Supply Chain Management Brand owners require innovative product configuration strategies to optimize supply chain effectiveness By John R. Kenney, Jr., ModusLink Corporation Price
More informationSUPPLY CHAIN & PROCUREMENT INSIGHTS REPORT CANADA, ARE WE FALLING BEHIND?
GRAND & TOY 2012 SUPPLY CHAIN & PROCUREMENT INSIGHTS REPORT CANADA, ARE WE FALLING BEHIND? Research conducted by TABLE OF CONTENTS Overview... 3 Procurement Tactically Focused but Evolving...4 Communication
More informationHow To Improve Forecast Accuracy
www.demandsolutions.com Guide to Improving Forecast Accuracy A 10-point plan for creating more accurate demand information A Management Series White Paper Presented by Demand Solutions No one doubts that
More informationSupply Chain Mapping. Customer Solutions
Supply Chain Mapping Customer Solutions Supply Chain Mapping On a mission to improve supply chain management within your organization? Mapping out your processes is an inexpensive way to make great strides
More informationHow To Get A Better At Writing An Invoice
Electronic Invoice Adoption Benchmark Report Based on the Results of PayStream s einvoice Survey Q1 2013 Featuring Insights on... Centralized vs. Decentralized AP Operations Underwritten in part by AP
More informationSAP BUSINESSOBJECTS SUPPLY CHAIN PERFORMANCE MANAGEMENT IMPROVING SUPPLY CHAIN EFFECTIVENESS
SAP Solution in Detail SAP BusinessObjects Enterprise Performance Management Solutions SAP BUSINESSOBJECTS SUPPLY CHAIN PERFORMANCE MANAGEMENT IMPROVING SUPPLY CHAIN EFFECTIVENESS The SAP BusinessObjects
More informationThe 1st CFO Summit in the Republic of Serbia Cash Flow Reducing Spending
The 1st CFO Summit in the Republic of Serbia Cash Flow Reducing Spending May 31, 2012 Financially constrained companies are responding to crisis conditions by taking action in the obvious areas Easy-to-Implement
More informationNet Sales. Cost of Sales, Selling, General & Administrative Expenses, and Operating Income
Net Sales In the fiscal year ending March 31, 2002 (fiscal 2001), the Fujitsu Group faced a difficult global economic environment, with the impact of the slowdown in the U.S. economy reverberating throughout
More informationE-Business Supply Chain Management. Michael J. Shaw
1 E-Business Supply Chain Management Michael J. Shaw A Process View of the Supply Chain 2 Supply Chain Planning Information Flows Supplier Product Flows Manufacturing Product Flows Distribution Product
More informationSupply Chain Performance: The Supplier s Role
Supply Chain Performance: The Supplier s Role March 2005 Industry Directions Inc. www.industrydirections.com Companies of all sizes are realizing that they no longer have complete control over their market
More informationThe business case for agile supply chains
The business case for agile supply chains Differentiate, Innovate, Perform From cost reduction to improved responsiveness, introducing agility into your supply chain can deliver measurable financial and
More informationSUPPLY CHAIN MODELING USING SIMULATION
SUPPLY CHAIN MODELING USING SIMULATION 1 YOON CHANG AND 2 HARRIS MAKATSORIS 1 Institute for Manufacturing, University of Cambridge, Cambridge, CB2 1RX, UK 1 To whom correspondence should be addressed.
More informationTHE MISSING LINKS IN INVESTMENT ANALYSIS A PORTFOLIO MANAGEMENT STRATEGY TO MAKE INVESTMENTS WORK
THE MISSING LINKS IN INVESTMENT ANALYSIS A PORTFOLIO MANAGEMENT STRATEGY TO MAKE INVESTMENTS WORK MICHAEL HEPINSTALL DANIEL LYONS MARK PELLERIN Confronted with tighter profit margins and greater risks,
More informationWebinar: Defining and Implementing Effective Sourcing Strategies
Webinar: Defining and Implementing Effective Sourcing Strategies Lew R. Roberts Adjunct Faculty, Gordon Institute of Business Science Lecturer and Consultant, Georgia Tech Supply Chain and Logistics Institute
More information1) A complete SCM solution includes customers, service providers and partners. Answer: TRUE Diff: 2 Page Ref: 304
Enterprise Systems for Management, 2e (Motiwalla/Thompson) Chapter 11 Supply Chain Management 1) A complete SCM solution includes customers, service providers and partners. Diff: 2 Page Ref: 304 2) SCM
More informationSupply Chain Management Build Connections
Build Connections Enabling a business in manufacturing Building High-Value Connections with Partners and Suppliers Build Connections Is your supply chain responsive, adaptive, agile, and efficient? How
More informationInventory Optimization for the Consumer Products Industry
Inventory Optimization for the Consumer Products Industry Highlights Helps improve service levels and reduce working capital costs by enabling improved inventory planning and optimization Dynamically adjusts
More informationCOORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO
www.sjm.tf.bor.ac.yu Serbian Journal of Management 1 (1) (2006) 41-47 Serbian Journal of Management COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO R. Piplani * Center for Supply
More informationThe 2011 Global Supply Chain Agenda Market and demand volatility drives the need for supply chain visibility
The 2011 Global Supply Chain Agenda Market and demand volatility drives the need for supply chain visibility Cover-Reference Number The Supply Chain agenda in 2011 2 The 2011 Global Supply Chain Agenda
More informationThe Future of Consumer Health Care
The Future of Consumer Health Care Coming Together To Lead The Consumer Health Care Industry 2 Creating a New Business Model in Consumer Health Care 3 Serve More Consumers In More Parts of the World, More
More informationWhite Paper. Increasing Revenue Through Direct Without Cannibalizing Retail. With a Special Case Study from USA800
White Paper Increasing Revenue Through Direct Without Cannibalizing Retail With a Special Case Study from USA800 Hopper Hewlett-Packard [Pick the date] INCREASING REVENUE THROUGH DIRECT WITHOUT CANNIBALIZING
More informationTitle here. Successful Business Model Transformation. in the Financial Services Industry. KPMG s Evolving World of Risk Management SECTORS AND THEMES
SECTORS AND THEMES Successful Business Model Transformation Title here in the Financial Services Industry Additional information in Univers 45 Light 12pt on 16pt leading KPMG s Evolving World of Risk Management
More informationSupply Chain Maturity and Business Performance: Assessment and Impact
Supply Chain Maturity and Business Performance: Assessment and Impact Abstract When evaluating your supply chain, no gap should exist between where your suppliers capabilities end and your capabilities
More informationRevisiting Roll-Ups Value Creation through ecommerce
Revisiting Roll-Ups Value Creation through ecommerce Situation The concept of consolidating an industry by acquiring many small companies and rolling them up into a larger firm remains an intriguing path
More informationSALES AND OPERATIONS PLANNING BLUEPRINT BUSINESS VALUE GUIDE
Business Value Guide SALES AND OPERATIONS PLANNING BLUEPRINT BUSINESS VALUE GUIDE INTRODUCTION What if it were possible to tightly link sales, marketing, supply chain, manufacturing and finance, so that
More informationBRAZIL. 2013 was a slow year in Brazil with just over 2% GDP growth.
BRAZIL 2013 was a slow year in Brazil with just over 2% GDP growth. Compared to 2012, however, Brazilian businesses were better able to anticipate market conditions and respond accordingly. As a result,
More informationRESEARCH NOTE NETSUITE S IMPACT ON MANUFACTURING COMPANY PERFORMANCE
Document K59 RESEARCH NOTE NETSUITE S IMPACT ON MANUFACTURING COMPANY PERFORMANCE THE BOTTOM LINE When Nucleus analysts investigated the use of NetSuite by manufacturers, they found these companies were
More informationW.W. Grainger, Inc. First Quarter 2015 Results Page 1 of 9
W.W. Grainger, Inc. First Quarter 2015 Results Page 1 of 9 News Release GRAINGER REPORTS RESULTS FOR THE 2015 FIRST QUARTER Revises 2015 Guidance Quarterly Summary Sales of $2.4 billion, up 2 percent Operating
More informationProcurement must be more than just cost cutting
Procurement must be more than just cost cutting In today s challenging environment, aggressive cost control has become a common theme in the pharmaceutical industry. It became fashionable later than in
More informationConsumer Products 2010: Insights for the Future in Asia
Consumer Products 2010: Insights for the Future in Asia Patrick Medley, Distribution Sector Leader, Asia Pacific IBM Business Consulting Services 2005 IBM Corporation Agenda for today s discussion 2010
More informationTCS Supply Chain Center of Excellence
TCS Supply Chain Center of Excellence Delivering Supply Chain Performance in Complex Dynamic Markets Supply Chain Management Supply Chain Management (SCM) has evolved and the focus has now shifted from
More informationTransformation. Fueling Supply Chain. Predictive analytics energizes dynamic networks. By Can A. Dogan, Frode Huse Gjendem, and Jade Rodysill
Fueling Supply Chain Transformation Predictive analytics energizes dynamic networks By Can A. Dogan, Frode Huse Gjendem, and Jade Rodysill 38 July/August 2011 APICS magazine As companies fight for competitive
More informationDynamic Simulation and Supply Chain Management
Dynamic Simulation and Supply Chain Management White Paper Abstract This paper briefly discusses how dynamic computer simulation can be applied within the field of supply chain management to diagnose problems
More informationBUSINESS PLAN TEMPLATE MANUFACTURING
BUSINESS PLAN TEMPLATE MANUFACTURING COVER SHEET (This highlights how you can be contacted. numbers and email addresses listed are operational.) Ensure that telephone 1. Identify the Business 2. Identify
More informationAberdeenGroup. Procurement in New Product Development: Ensuring Profit from Innovation. Business Value Research Series
AberdeenGroup Procurement in New Product Development: Ensuring Profit from Innovation Business Value Research Series March 2006 Executive Summary P roduct innovation is a team sport. Product strategists
More informationBIG DATA ANALYTICS: THE TRANSFORMATIVE POWERHOUSE FOR BIOTECH INDUSTRY ADVANCEMENT. David Wiggin October 8, 2013
BIG DATA ANALYTICS: THE TRANSFORMATIVE POWERHOUSE FOR BIOTECH INDUSTRY ADVANCEMENT David Wiggin October 8, 2013 AGENDA Big Data Analytics Four Examples Global Supply Chain Visibility Demand Signal Repository
More informationMulti-channel Retailing Goes Mainstream
Multi-channel Retailing Goes Mainstream Ashish Jandial, Patrick Ogawa and Preetha Sekharan Abstract Increasingly, retailers are turning towards multi-channel retailing to grow their market share and present
More informationStrategic Sourcing Implementation Andrew Gager, CPIM
Strategic Sourcing Implementation Andrew Gager, CPIM Purpose Life Cycle Engineering (LCE) firmly believes that every client whether a single site or multiple sites, has the ability to leverage their spending
More informationSUPPLY CHAIN (SC) DRIVERS AND OBSTACLES
SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES Drivers of SC performance Facilities Inventory Transportation Information Sourcing Pricing The discussion here is mainly concerned with how these drivers are used
More informationENTERPRISE BUSINESS SYSTEMS PROGRAM MANAGEMENT
ENTERPRISE BUSINESS SYSTEMS PROGRAM MANAGEMENT $8 Billion Global Hospitality Company in the Hotel, Resort and Timeshare Industry Company recognized its inability to satisfactorily deliver finance function
More informationNokia Mobile Phones - Market Environment and Strategy
Nokia Mobile Phones - Market Environment and Strategy Matti Alahuhta President Nokia Mobile Phones Outline of the Presentation Current State of the Industry Nokia Mobile Phones Strategy Summary 1 Current
More informationSTRENGTHS AND WEAKNESSES OF CURRENT SUPPLY CHAIN MANAGEMENT AND INITIATIVES FOR THE FUTURE. Diana-Maria DIACONU (NIDELEA) 1 Cristina ALPOPI 2
STRENGTHS AND WEAKNESSES OF CURRENT SUPPLY CHAIN MANAGEMENT AND INITIATIVES FOR THE FUTURE Diana-Maria DIACONU (NIDELEA) 1 Cristina ALPOPI 2 ABSTRACT Supply Chain Management is the potential way of securing
More informationPrinciples of IT Governance
Principles of IT Governance Governance of enterprise IT focuses on delivering services to support top line growth while moving operational savings to the bottom line. The management of IT services has
More informationSupporting the Perfect Order: Collaborative S&OP and VMI
Supporting the Perfect Order: Collaborative S&OP and VMI October 30, 2012 Frankfurt, Germany Gary Neights Director, Product Management The Multi-Echelon Supply Chain Plan Your Supplier s Suppliers Your
More informationManufacturing Flow Management
Manufacturing Flow Management Distribution D Distribution Authorized to Department of Defense and U.S. DoD Contractors Only Aim High Fly - Fight - Win Supply Chain Management Processes Information Flow
More informationTHE PROCESS OF STRATEGIC PLANNING
THE PROCESS OF STRATEGIC PLANNING ARTICLE #1 OF 10 INTRODUCTION TO STRATEGIC PLANNING Strategic planning is to a business what a map is to a road rally driver. It is a tool that defines the routes that
More informationDuPont Case Study. Supply Chain Management as a Transformation Strategy
DuPont Case Study Supply Chain Management as a Transformation Strategy DuPont is a $30.5 billion, multinational company with headquarters in Wilmington, Delaware. Its leaders believe in the miracles of
More informationInformation Systems in the Enterprise
Chapter 2 Information Systems in the Enterprise 2.1 2006 by Prentice Hall OBJECTIVES Evaluate the role played by the major types of systems in a business and their relationship to each other Describe the
More informationPerformance Food Group Company Reports First-Quarter Fiscal 2016 Earnings
NEWS RELEASE For Immediate Release November 4, 2015 Investors: Michael D. Neese VP, Investor Relations (804) 287-8126 michael.neese@pfgc.com Media: Joe Vagi Manager, Corporate Communications (804) 484-7737
More informationFive Strategies for Improving Inventory Management Across Complex Supply Chain Networks
Supply Chain Executive Brief Five Strategies for Improving Inventory Management Across Complex Supply Chain Networks How Companies Think about Growing Network Pressures - and Ways they can Effectively
More informationThe New Era of Customer Service Management. Edmund W. Schuster Massachusetts Institute of Technology
The New Era of Customer Service Management Edmund W. Schuster Massachusetts Institute of Technology The Value of Customer Service Flextronics Solectron Celestica Performance Measures Transportation cost
More informationSupply Chain Management
Supply Chain Management Contents A. Definition and Terminologies B. Evolution of SCM C. Supply Chain Management D. Integrated Logistics E. Fulfillment Process F. Specialized Supply Chains G. Supply Chain
More informationIBM S ON-DEMAND MODEL DRIVES FASTER, LEANER, MORE EFFICIENT SUPPLY CHAIN
IBM S ON-DEMAND MODEL DRIVES FASTER, LEANER, MORE EFFICIENT SUPPLY CHAIN Case Study: IBM Challenge Build a supply chain that can sense and respond to changes in customer demand and available supply and
More informationAccenture Enterprise Services for Metals. Delivering high performance in enterprise resource planning
Accenture Enterprise Services for Metals Delivering high performance in enterprise resource planning The metals industry faces unique levels of process complexity, which make the deployment of enterprise
More information