In this article, I’d like to discuss my view of some common supply chain metrics, and their weaknesses. The important metrics should be about meeting tomorrow’s customer demands, not what happened yesterday and we can do nothing about it.
Continue to Article…
Economists and economic theory can, more or less, explain only about 20 percent of the worldwide growth in per-capita income over the last 200-plus years. After economists account for factors such as labor, capital, natural resources, they ascribe the remaining growth to something referred to as “residual” growth.
Continue to Article…
Are you caught in the situation of being forced to rely on traditional forecast-driven MRP or DRP methods?
1. We will create a system that senses demand and autonomously responds for delivering consistently high planned service levels. Sage Inventory Advisor (SIA) offers an autonomous response to changing conditions; however, its autonomous responses are limited to traditional, forecast-driven methods.
Recently I was working with a supply chain client where the company was seeking to implement manufacturing systems that included an advanced planning and scheduling system (APS). I asked them: “What are your chief business goals in seeking to implement and use [specific ERP]’s Advanced Manufacturing capabilities in your business?”
Two of the crucial factors they mentioned in their response were to “gain insight into [their] business in regard to capacity… [and] ship dates.” The mentioned, specifically, challenges they were currently facing in “capacity planning” and the “scheduling of work orders.”
In light of this request and their business goals, I proceeded to ask them some important questions, such as:
It seems that dangerous phishing emails has become a regular to many inboxes.
What: a business contact and friend of mine had his business email account “cleverly hacked” (his words, whatever that means). As a result, I received a dangerous phishing email.
27
Computers and software can make excellent allies in business and supply chain management. However, while certain progress is being made into the realm of artificial intelligence, for the present—at least—the computers we employ for most of our business functions (in ERP, MRP, MRP II, and similar) are not really thinking machines. They don’t think, at all. They compute, and that’s why they are called “computers.”
The following is a piece of correspondence I recently sent to a company who has engaged us to help them with automation around their manufacturing and supply chain. The focus of the letter was high-level information gathering. But, I want you to pay particular attention to the highlighted portions of the letter because end-to-end dependencies can be a stem weakness.
I would like to start with some high-level questions that, will help guide us toward the best possible outcomes for you—including a rapid return on your investments. If you are looking at multiple ERP solutions I suggest you do this for each solution, because they don’t all have the same features and functionality.
Nearly 20 years ago, someone wisely observed:
This comes to mind today in light of the current debate in the supply chain management world between the different schools of thought—much of the debate seeming focused on deriding the demand driven operating model (DDOM) or DDMRP (Demand Driven Material Requirements Planning).
Most of the companies with which we work would really like to “win ’em all.” They’d like to have the lowest costs, the best sales, lowest operating expenses and highest profits in their league.
The problem is that no matter how much they try; no matter how many metrics and incentives they put in place; they just can’t seem to achieve the results they are after.
So, a colleague of mine was asking some questions about how he might help his small-to-midsized business enterprise clients improve their supply chain and inventory management within Sage 100. Knowing that many of these small businesses have grown organically, and may lack a lot of formal training in inventory management theory, I offered the following in my response.
Let’s start with the basics: What does the client need to know about every SKU-Location (SKUL)?
Having your supply chain management team make decisions about questions like the following is HARD if they are looking at screens like the one you see here.
