Posts by Melissa Clow

[Video] Sanofi Genzyme trends in pharmaceutical supply chains

MelissaClow

This blog is part of a video interview series. Check out the video below as well as links to other supply chain practitioner and Kinaxis executive interviews.

Merging two companies is seldom easy, but it’s even more difficult when their supply chains are highly dissimilar, says Jim Calarese, director of supply chain systems at Sanofi Genzyme.

The pharmaceutical company is the result of a takeover by Sanofi in 2001. The parent company’s supply chain was “plant-centric,” Calarese says. By contrast, Genzyme’s was completely end-to-end in nature. “Theirs was easier than ours.”

No pharmaceutical supply chain is without its challenges. Typically, supply chains are extended, lead times are long and a thicket of government regulations combine to present some steep challenges. Genzyme had diligently worked to have a total view of its supply chain as it developed and marketed drugs for rare diseases, multiple sclerosis, and oncology and immunology markets.

Sanofi Genzyme: Trends in Pharmaceutical Supply Chains

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[Video] Long-term supply chain planning system vision and strategy

MelissaClow

This blog is part of a video interview series. Check out the video below as well as links to other supply chain practitioner and Kinaxis executive interviews.

It’s no exaggeration to say that supply chain planning is seeing a revolution, says Jack Noppe, chief technology officer at Kinaxis. Now, no function or department has to plan in the dark or without knowledge of how a plan affects others in the supply chain.

Traditional supply chains planned in isolation because plans took place independently within each function. RapidResponse, the planning platform from Kinaxis, enables what the company calls concurrent planning. In other words, all functions plan in concert now. “That allows them to get better outcomes for the business and make decisions faster,” says Noppe.

The software’s single platform enhances end-to end-supply chain management for a number of reasons, not least that data from every source is made available much more quickly than before, Noppe says. “At the end of the day, it comes down to how much information you have when you need to make decisions, and how fast you can understand the impact of decisions.”

Long-Term Product Vision & Strategy

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[Video] Ford Motor Company: Creating global data standards with SCM software

MelissaClow

This blog is part of a video interview series. Check out the video below as well as links to other supply chain practitioner and Kinaxis executive interviews.

To successfully work with cross-functional groups around the world, you must be able to share data of every description, says David G. Thomas, director of global capacity planning for Ford Motor Co.

In a general sense, customers worldwide want many of the same things in the cars and other vehicles they buy. The differences, however, are great enough that meeting their requirements is a highly complex undertaking, Thomas says. Customer centricity necessitates having factories in every part of the globe and a supply base that caters to individual needs and quantities. The downside is an inaccurate forecast. Getting the demand side wrong drives cost throughout the system.

“My role is to help make certain that we have the most efficient supply chain, and the lowest possible inventories to enable us to sell the maximum possible number of units. It’s minimizing holding costs and maximizing revenue. That is becoming more and more critical as a competitive differentiator. It’s simply too expensive to have vehicles sitting in inventories, whether at factories, at dealers, at ports, or anywhere in the supply chain, because that’s dead money. You have to eliminate as much of that as possible,” Thomas says.

Ford Motor Company: Creating Global Data Standards

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[Video] Kinaxis – Revolutionizing supply chain planning

MelissaClow

This blog is part of a video interview series. Check out the video below as well as links to other supply chain practitioner and Kinaxis executive interviews.

Company processes are disconnected because their supply chain planning has grown up in a siloed manner, says John Sicard, president and CEO of Kinaxis. Consequently, it’s futile to follow that model and think you can optimize the supply chain one link at a time.

Sicard explains how Kinaxis is revolutionizing supply chain planning because it is interconnecting all of the links simultaneously. He analogizes to the human brain what the Kinaxis RapidResponse tool can do. “You have the ability to understand language and math simultaneously. It’s two different parts of your brain, yet you can’t bifurcate those. If I ask you a math question in English, you immediately respond, with no idea how those parts of the brain connected.”

“In our world, if you make a change in capacity, you instantaneously feel the impact that has on demand. Therein lies the key — it’s what we call concurrent planning.”

Revolutionizing Your Supply Chain Planning

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[Video] Keysight Technologies: Improving production planning efficiency

MelissaClow

This blog is part of a video interview series. Check out the video below as well as links to other supply chain practitioner and Kinaxis executive interviews.

Speed and accuracy are everything to a company, says Jenny Balderrama, production planner at Keysight Technologies. All too often, however, speed is associated with orders arriving rather the ability to meet them. And accurate forecasting? Forget that.

The degree of a company’s responsiveness is incredibly important, she says, but a constant order flow can stress any company’s ability to keep up, especially last-minute drop-in orders. “Demand always changes, and it would be lovely if we could get a forecast to stay put, but it never does.”

Moreover, “big deals” often depend on meeting customers’ demands for fast deliveries and quick turnaround time. That mandates a company like Keysight, which makes electronic test and measurement equipment, to have impeccable communication, especially if it has multiple factories.

That disconnect was solved when Keysight Technologies employed Kinaxis RapidResponse.

“One of the things we appreciate about RapidResponse is that it sits on top of our database. We are able to use the power of the ERP, but the functionality of RapidResponse allows us to get at that data and arrange it in a meaningful and useful way. It allows us to make instant decisions instead of having to swim though the muck of data in our MRP.”

Keysight Technologies: Improving production planning efficiency

Keysight: Improving Production Planning Efficiency

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Women in supply chain: Where did this topic go?

MelissaClow

International Women's DayToday, Wednesday March 8th is international women’s day. To recognize this global celebration I decided to write on women in supply chain. Over the years we have discussed this topic at length on our blog. But to be honest, I haven’t heard much lately and I wonder what has changed. I used to see plenty of industry news articles, webcasts, conference sessions dedicated to the importance of diversity in supply chain, but today’s hot topics are IoT, machine learning, augmented reality and the like. Perhaps progress been made already and it’s no longer the pressing issue it once was? I’m not so sure.

In today’s current environment I believe that it is important to continue to keep women, and diversity, top of mind. Despite it being 2017, we know the gender split is not even in this field. We know the importance and focus of the supply chain function is intensifying in business so you would think that reexamining the current organizational make-up of today’s supply chain would be an important consideration. In the words of my former colleague Lori Smith, “Ironically, for an industry that is all about balancing supply and demand, there doesn’t appear to be much balance when it comes to its own human resources. It’s time for supply chain organizations to do a reality check and apply some basic planning and course correction initiatives within their own internal organizations.”

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Concurrency: Embracing the death of S&OP, SCOR and Other Supply Chain Paradigms.

MelissaClow

Recently Matt Davis of Gartner (formerly SCM World) published Concurrency: Embracing the death of S&OP, SCOR and Other Supply Chain Paradigms as a result of three years of Future of Supply Chain research. In this new research paper, SCM World describes the death of S&OP as we know it.

Proving to be both a disruption and a massive opportunity, digitisation, value chain collaboration and a greater need for real-time decision-making are coming together as a disruptive catalyst to end a roughly five-year stagnation in supply chain planning. Innovative approaches to solving today’s supply chain challenges that embrace these new realities are showing that the future of planning is concurrency.

What is concurrency?

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Passion for supply chain management given industry recognition

MelissaClow

Madhav Durbha, KinaxisFrequent Kinaxis blogger Madhav Durbha was recently honored as a Supply & Demand Chain Executive ‘Pro to know’. We are thrilled that his contributions to the industry were recognized.

Madhav’s experience and educational background show his passion and enthusiasm for supply chain and the role it plays in making the world a better place. He shares this passion with others through his speaking engagements and writings. Madhav brings deep knowledge across verticals and significant market intelligence to Kinaxis. He is also a strong asset and advocate to our customers as we enable their transformation by revolutionizing planning.

I asked Madhav to share some insight with our readers. Check out his responses.

What do you believe are the biggest supply chain challenges companies are faced with today and for years to come?

The key challenges facing today’s organizations are complexity and volatility. The root causes for these include growing channel complexity, SKU growth, demand variability due to more dynamic pricing and promotions, trading partner growth, increased outsourcing relations, geopolitical risks, and informed consumers. Not all of these factors apply to all industries but most industries are impacted by a subset of these.

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