Tag: International Supply Chain

To avoid the financial risks associated with planning errors, supply chain leaders and manufacturers should consider building an “insight-based” demand planning process, which brings together analytical tools and data with key human inputs across various functions. This “next generation” demand management approach will allow supply chain operations to evolve and scale with the ever growing volatility and uncertainty of today’s markets.

http://blog.kinaxis.com/2015/02/what-if-you-could-take-the-guesswork-out-of-forecast-planning/

The trouble is bad reputations aren’t lost that easily. A generation of cynical middle-class customers have already decided that McDonald’s is a tarnished brand. Supply-chain transparency is that kind of challenge: It’s rarely the top thing on consumers’ minds, but it is an issue that sticks in the imagination. And when newer, less tarnished players like Chipotle arrive, consumers can tacitly exercise the prejudices and cross the street. The lesson for other firms: If you have problems in your supply chain, don’t let the critics get there first.

https://hbr.org/2015/02/mcdonalds-and-the-challenges-of-a-modern-supply-chain

Van Beurden said the company was taking a prudent approach and would be careful not to overreact to the recent fall in oil prices. “There are cost reduction programmes in place across Shell, looking not only at our own costs, but also in the supply chain,” he said. “These programmes are balanced against the different strategic activities in the company, we’re not chasing costs for costs’ sake, and we are careful to make sure none of this compromises safety.

http://www.supplymanagement.com/news/2015/shell-drills-into-supply-chain-to-slash-costs

Collaboration in the cloud will enable logistics companies to work seamlessly together.  In particular, smaller players will feel the benefit. Soon, the barriers to entry will get even lower. “Fourth party logistics providers (4PLs) as overall organizers are able to orchestrate the total supply chain,” said Farrell. “When you combine what you can do in the cloud with 4PL, you get to the point where you can combine multiple supply chain networks to get overall better service.”

http://www.ebnonline.com/author.asp?section_id=3219&doc_id=276526&itc=ebnonline_gnews

For example, one of the greatest challenges in supply chain management is to get beyond a focus on cost reduction as opposed to revenue generation. If you are a supply chain executive, you struggle to have that discussion with the rest of the executive team. One retailer I know took a different approach to describing their metrics to get their point across.

http://logisticsviewpoints.com/2015/02/03/the-problem-is-not-the-problem-the-problem-is-your-attitude-about-the-problem/

For procurement to better contribute to institutional effectiveness, then, it needs to innovate. Promoting innovation in procurement means processes that are transparent and efficient, and that facilitate equal access and open competition. Innovative solutions to public service needs are instrumental to delivering better services with long-term value for money.

http://blogs.worldbank.org/governance/innovation-procurement-why-and-how/?cid=EXT_TWBN_D_EXT&hootPostID=4dc8c253a29b9262da353be71ba78b06

Many of the core benefits of increased transparency become apparent when its absence is considered. How can you address problems with your goods if you don’t know who is supplying you? How can you prioritise your activities if you aren’t collecting data on how you interact with your customers and suppliers? How can you mitigate risk if you don’t understand what your risks actually are? And how can you encourage trust and transparency within your own supply chain if it transpires that your own processes don’t support your suppliers.

http://www.theguardian.com/sustainable-business/2015/feb/02/2015-hyper-transparency-global-business