Convenience products Convenience products for consumers are ‘the products they need, but are not willing to spend much time or effort when shopping’. The purchase can be an impulse buy, so retail shelves can be quickly depleted, requiring constant replenishment. These convenience products are handled through supply chains as Consumer Packaged Goods (CPG) and Fast Moving Consumer Goods (FMCG). The … Read More
Sales markets, forecasts and bias affect Supply Chains
Assumptions about a sales market Over the years, much has been written and spoken about the importance of an ‘accurate’ forecasts of sales. But what if the underlying assumptions about a market are wrong, in which case, forecast accuracy has little meaning. And its the Supply Chains group that must clear the debris left behind when reality strikes. This situation … Read More
Markets change so industries change their supply chains
Change in CPG companies Are disruptions to supply chains just caused by geopolitical, climate and natural events, because these can influence supply chains relatively quickly? What about changes to supply chains that are caused by changes within industries, that can take longer to be felt? An example is the Consumer Packaged Goods (CPG) industry, where products often carry a ‘use … Read More
Political promises and decisions about Supply Chains
Forecasts are always wrong For any forecast, always attach probabilities of them occurring. A current forecast is the threat to increase tariffs on all goods entering the US and for very high tariffs on goods from China. This was mentioned many times in the recent US election campaign speeches and has received much coverage in the media. As a repeated … Read More
Decisions for Supply Chains require Analytical Approach
Are decisions better? Has decision making become more complex? Although the impact of decisions about supply chains can extend across enterprises, are suppliers and customers involved? And is there clarity about which are strategic, tactical and operational decisions for supply chains and who is responsible? Most important, are decisions considered to be ‘better’ than those made in previous times? Survey … Read More