Even though the last few years have witnessed decrease in world trade volume, Better Supply chain is a need that will only grow with time. An open world of fast-moving markets and technological change is scary. One answer is to close it down. Populists would like us to believe we Read more…
Supply chain management is great, if the Supply chain strategy is clear! Supply Chain Management Vs. Supply Chain Strategy While supply chain management is used to describe internal improvements to existing processes within the context of current, actual situations and constraints, the supply chain strategy realises the intent to create Read more…
Should supply chains be built for Efficiency or for Responsiveness? Leanness / Efficiency is currently the leading approach to supply chain management. The main principle of lean supply chains is elimination of any part of the system that does not bring value (it is wasting)– costly inventory, excessive capacities, duplicate Read more…
Different industries and companies will emphasize different supply chain attributes, depending on market demands and how the company competes.A high-tech manufacturer providing aftermarket parts and services to business customers may prioritize speed and reliability over cost and asset efficiency, so it will structure its supply chain such that parts are Read more…
Supply chain management (SCM) is much more than a materials movement or transportation initiative. It is also a new way of thinking about business relationships. Some organizations, however, are trying to adopt supply chain management practices (such as just-in-time replenishment or strategic sourcing) without also implementing an organization-wide supply chain Read more…
1. Resiliency is a philosophy (like LEAN) and not a tactic (like JIT). In the current disruptive world resilient supply chains wins business and growth.2. Balance cost, performance and resiliency. It’s not choosing one over another but to engage right type of action to mitigate the risk with cost benefit analysis.3. Plan for Read more…
There are four basic types of supply chain drivers: constraints, variability, velocity, and life cycle. The best teams design their supply chains based on these factors. There are five basic types of constraints: material, manufacturing, transportation, financially imposed, or regulatory constraints. The bottlenecks shift depending on volume and mix. Skilled Read more…
Companies are not aligned on the strategy cross-functionally. It is impossible to drive great tactical outcomes if you are unclear on the goal. If the goal is to meet the budget objectives, the organization will never maximize the opportunity within the value chain. While companies almost unanimously state the supply chains Read more…
Conventional wisdom leads many managers to focus primarily on operating their business as efficiently as possible. They believe they can be most successful if they strive for high product volume, top product standardisation and a continuous process. However, turbulent and misunderstood demand left them with excess inventory.1. Downstream demand is Read more…
It is popular these days to talk about assurance of supply. More often than not, manufacturers rely on components and services from all around the world for the continuing smooth supply of their products and services. A company’s reputation hangs on its reliable delivery to customers, but assuring this ongoing Read more…