Customers in supply chains have their Cost to Serve

Roger OakdenLogistics Management, Operations Planning, Procurement, Supply Chains & Supply NetworksLeave a Comment

Cost to Serve for your customers If sales are made to customers without knowing the total cost of the business relationship, there are two major risks. The first is selling products to a customer that is thought to be profitable, but is not. The second is to negotiate increased sales or higher levels of service with customers that already incur an … Read More

Segment elements of supply chains for better management

Roger OakdenLogistics Management, Operations Planning, Procurement, Supply Chains & Supply NetworksLeave a Comment

International trade not moving

Effectiveness or efficiency The previous blogpost discussed the benefits from reducing the number of stock keeping units (SKUs) offered for businesses operating in the fast moving consumer goods (FMCG) or consumer product goods (CPG) sector. Alternatively, there can be the necessity of adapting operations to an increase in the number of SKUs. A recent report, published by the consulting firm … Read More

Product rationalisation or more SKUs in supply chains?

Roger OakdenLogistics Management, Operations Planning, Procurement, Supply Chains & Supply NetworksLeave a Comment

Business strategy to planning

Consumer facing businesses A consumer facing business is identified as either FMCG ‘fast moving consumer goods) or CPG (consumer packaged goods – governed by ‘use by’ dates). The previous blogpost identified that for these types of business, the Supply Chains group should have a product line elimination process as part of inventory management. Consumer facing businesses have the perceived need to … Read More

Inventory Policy in Supply Chains requires CoV for SKUs

Roger OakdenLogistics Management, Operations Planning, Supply Chains & Supply NetworksLeave a Comment

Markets and trends

Supply Chains market segments different from Marketing In the drive for cost reduction, businesses have emphasised the higher utilisation of machines. This has resulted in no spare capacity on internal equipment, and the outsourcing of manufacturing has also removed capacity buffers. This leaves inventory as the buffer against variability of demands from customers, consumers or internal sources and the supply … Read More

Segment elements in your Supply Chains to reduce Risk

Roger OakdenLogistics Management, Operations Planning, Procurement, Supply Chains & Supply Networks5 Comments

Segmentation in supply chains

Can the future be forecast? The amount of complexity within the planning and scheduling of supply chains has enabled software suppliers to promote ‘solutions’ that provide answers to planning questions to four decimal places. But is this required? Think of yourself; you know more about you than anyone else. How far into the future (by week) can you forecast your … Read More