Supply Chain Fundamental Rethinking

An article based on shop floor observation... http://www.bloomberg.com/news/2011-08-18/secret-to-productivity-found-at-busy-auto-plant-syverson-levitt-list.html

Finally GM has sold more cars than Toyota! Will it sustain? http://www.bloomberg.com/news/2011-08-05/gm-tops-toyota-as-largest-automaker-on-japan-quake.html

A rare example of organisational diversified interests. Goldman Sachs holds the inventory of aluminium in its warehouses located in Detroit. It's as profitable an investment as much as the banking operations... http://in.reuters.com/article/2011/07/28/idINIndia-58499020110728 Quite an article & an eye opener for those who have something to say on 'core competence' of an organisation!

Most of the supply chain managers always think - Inventory - when they think - Supply Chain.  The compilation of cross industry inventory statistics is a good study to have knowledge of. The link below is a snapshot of key numbers. http://www.scdigest.com/assets/FirstThoughts/11-07-22.php?cid=4759&ctype=content

One of the latest surveys in Supply Chain. It offers insights into how Supply Chain is perceived to help organisations in creating sustainable value. http://www.scmworld.com/?page=CSCOReport2011 One can either watch the video or download the report.

A good read for appreciating the nuances of 3PL & how the world leaders in the domain are shaping up their strategies. http://events.eft.com/3pl/CEO-QA2010-11.pdf

I like the new concept. http://www.scmr.com/article/image-based_barcode_readers_transforming_the_logistics_industry/ You need to fill in the details to download the paper

Much has been always discussed on the importance of supply chain visibility & collaboration. One more in the pool of such discussions although with a technology bias http://www.scdigest.com/ASSETS/NEWSVIEWS/11-03-21-1.php?cid=4332&ctype=content

The impact of the Japan natural disaster on supply chains of large organisations. http://www.nytimes.com/2011/03/20/business/20supply.html?pagewanted=1&_r=1

Supply Chains evolve. Practices, Processes & Infrastructure have to adapt to new world realities. It was HLL a couple of decades back who made a shift from bottles to sachets which made a new supply chain evolve. Heart of the supply chain is the goal to meet the customer need. Meet it efficiently & effectively. The recent visit to Big Bazaar initially made me feel that the Nano is a free gift on some purchases...a typical retailers strategy to attract customers. Little did i realize that a new supply chain is laid down where a retailer is a channel partner of an auto company. Perfectly discontinuous thoughts leading into a radical action. The link below from economic times is a confirmation that "Indigenous Management Practices" are needed to be local with a global perspective..  http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/big-bazaar-helps-tata-nano-drive-sales/articleshow/7714901.cms Ever heard of a retail outlet selling a car? Gue

A country for long gained reputation for management principles & practices which changed the global landscape for Supply Chain. It produces worlds 19% of all technology solutions, 20% of all semi-conductors that the globe consumes (my gut feel is apart from food items, we need chips in every single product!). Maruti in India is carrying 300 - 350 units of the newly launched Kizashi & rest all is in Japan...  The global supply chains will take time to appreciate the impact & post the analysis devise strategies for absorbing future shocks. The Reuters article offers initial analysis of the impact of the Earthquake &  Tsunami in Japan  on Global Supply Chains. http://www.reuters.com/article/2011/03/14/us-japan-quake-supplychain-idUSTRE72D1FQ20110314

Organisations exist because there is an unmet customer demand. The value chain of an organisation is viable only if it meets the customer needs. An ill organised  & fragmented supply chain leads to dissatisfied customer experience of the organisation. The alignment of supply chain to meet the customer needs of time, cost, quality & service is the basis of competition. The article offers a good insight into the alignment parameters for Supply Chain to meet the real customer needs. http://www.scdigest.com/ASSETS/FIRSTTHOUGHTS/11-03-03.php?cid=4272

Supply chain managers face ongoing pressure from their customers and from regulators to reduce carbon emissions and run "greener" operations. With WalMart, the world's largest purchasing organisation, making it mandatory for suppliers to go green, the impetus towards sustainability has gained momentum. Impression persists in many organizations that implementing more sustainable processes and technologies will be costly. Is that the ground reality?  Accenture in its research report indicates that going green is not costly. The study identifies the performance characteristics of supply chain organizations that are achieving high performance in both cost effectiveness and customer service along-with their performance against key sustainability measures. Follow the link to read the synopsis of the report http://www.accenture.com/us-en/Pages/insight-sustainable-supply-chain-summary.aspx

The global marketplace today has no equivalent in the history of organisation. Like economies and financial markets, supply chains have become global and interconnected. The "buffers" in the system have been reduced so much that  have increased exposure to shocks and disruptions. Time, Cost, Speed & Quality attributes further increase the vulnerability of the supply chain. How are supply chain executives coping? We may learn something about it in the IBM research report of 400 supply chain executives. Follow the link below; ftp://public.dhe.ibm.com/common/ssi/ecm/en/gbe03163usen/GBE03163USEN.PDF

Organisation today face significantly increased complexity in their value chains. The challenges of rising customer service requirements, rising logistics costs and increased supply chain risk exposure are growing with every passing day. In this situation, lack of visibility and need for collaboration becomes increased in significance.  In that context the below is a good  research paper by Aberdeen.  Aberdeen recently benchmarked over 150 companies with respect to their supply chain application deployment strategies including on-premise, SaaS, Managed services etc. This benchmark report explores the critical role that Cloud based solutions play in enabling visibility and collaboration for the extended Demand-Supply Networks. Please use to the below link to download the paper. http://www.kinaxis.com/campaign/scdigest-email-enabling-supply-chain-visibility/

A good video-cast to attend in March 2011.  Follow the link to register http://www.supplychainvideocasts.com/videocasts/dell_videocast.php#

Pharmaceuticals industry remains as one of the most complex supply chains. Although the Supply Chain cost as a percentage to COGS is lower than many other industries, the impact that supply chain has on the customer is the highest in comparison with any other industry. Gartner research has published their list of Top 25 Healthcare supply chains. The link below offers the synopsis http://www.gartner.com/resources/209100/209188/the_healthcare_supply_chain__209188.pdf

One more recall by Toyota...adds to the importance of risk management processes in organisations http://www.bloomberg.com/news/2011-01-26/toyota-to-recall-1-28-million-vehicles-in-japan-245-000-u-s-lexus-models.html