Where are we? A challenge for many companies is a clear understanding about supply chains by the CEO and their executive group. This influences the approval of IT projects that can provide substantial improvements in understanding and planning the organisation’s Supply Chains. What does ‘integrated’ mean and ‘end to end’ and ‘visibility’? These and other terms are often used without … Read More
Three strategies to one Supply Chains Network strategy
Supply Chains Network strategy model Your organisation’s Supply Chains Network strategy is likely to be in place for between three and five years. However, it needs to be reviewed and possibly updated annually to reflect changes in user and supplier markets. An organisation’s Supply Chains Network strategy should be a consolidation of at least three strategies: Procurement, Operations Planning and … Read More
Implementing Supply Chains Tactical Planning software
Using planning software A speaker at a recent presentation stated that when the implementation of Supply Chains Tactical planning software began at their company, record accuracy was estimated at about 70 percent. Because there was not an implementation checklist and audit process, where the 30 percent of data that was incorrect remained unknown. Similar stories have been told since software … Read More
Improve Flows through your organisation’s Supply Chains
Flows in Supply Chains The critical perspective of your organisation’s supply chains’ success is not the efficiency of individual departments, but the effectiveness of Flows that provide customers with their orders ‘in full, on time, with accuracy’ (DIFOTA). A Flow in supply chains is a process, or ‘how things are done’. A business is likely to have between five and … Read More
DIFOTA model for Supply Chains to measure Availability
Optimize flows not the functions To better understand the performance of their supply chains, organisations should measure the performance of Flows – items (going out and reverse); money; information and data, rather than emphasising the ‘efficiency’ of individual departments. The core Flow of the Supply Chains group (Procurement, Operations Planning and Logistics) is to provide Availability that satisfies customers’ needs … Read More