Based on the conversations we’ve had with prospects, analysts and others in the field, we believe that most, if not all, are seeing SAP’s plans to discontinue standard support for their APO suite as the equivalent of an end-of-life plan without a directly replaceable product from SAP. That kind of uncertainty can be unnerving to say the least and only builds on existing frustrations in the market as it relates to supply chain planning solutions. As a result, many are reevaluating their solution strategy. We’ve witnessed that directly on a number of occasions, as enterprises have already replaced APO modules with RapidResponse. Given our success in this regard, we’ve established a formal upgrade program, which not only provides a proven technology alternative, but offers it in a way that allows companies to confirm the value before paying any software subscription fees.
This offer demonstrates our confidence that RapidResponse can provide the technology capabilities, SaaS delivery, and innovation cycles that are consistent with the needs of today’s businesses and that are in question with APO’s unsupported future.
In part one of this series I talked about how businesses trading in data as a commodity could be classified as using non-traditional supply chain. It was the most obvious case to prove non-traditional supply chain is actually a valid concept. After giving it some careful consideration, I can come up with an additional area that falls into the non-traditional supply chain category – people.
Take my sister for example. Her job requires her to travel to multiple hospitals in the region to provide a service, and she often has to visit more than one location in a single day. As her employer it would be nice to know exactly where she is, how much she has left to do at each location, and what her ETA is for arriving at the next one. Short of installing a tracking device and camera to monitor her every move (I’m sure she’d love that!), the only option is to put in place a standardized procedure where she checks in with her supervisor at regularly scheduled intervals to give a status update. Great in theory, but full of potential pitfalls in practice.
In honor of Earth Day I thought I’d take the opportunity to outline in my humble opinion why having a green supply chain is no longer a nice-to-have – it’s a necessity. Gone are the days when consumers would look the other way while companies rode roughshod over the environment in pursuit of a more profitable supply chain. Nowadays even governments (the good ones at least), are actively involved in making sure Mother Nature is protected, at least to some extent. Are you doing your part?
There is a growing need for sustainability integration into supply chain management and if you haven’t already started down the path to greener pastures you’re falling dangerously behind the trend, and it could be costing you more than you know.
According to a recent World Economic Forum report written in collaboration with Accenture, companies like UPS, SABMiller, DHL, Unilever and Nestle are among 25 multinational companies that have increased their revenue by up to 20% while cutting supply chain costs as much as 16% thanks to a focus on sustainability. Beyond Supply Chains: Empowering Value Chains outlines 31 best practices for businesses to follow in order to see similar results, in what they’ve termed “the triple supply chai
The following guest blog commentary is contributed by Bob Ferrari, Founder and Executive Editor of the Supply Chain Matters blog and Managing Director of the Ferrari Consulting and Research Group LLC.
We often context and plan supply chain transformation initiatives under the three-pronged perspectives of People, Process and Technology enablers. I would urge transformation teams to seriously consider a fourth component, that being Information, including the velocity, context and clarity of information. While some may be of the mistaken belief that the element of Information is solely the perspective of IT, it is rather a jointly-owned, cross-functional element of transformation.
Across various industry supply chains, a lot of executive level visionary thought and leadership energy is becoming focused on supply chain transformation efforts, namely moving the needle towards more agile or resilient supply chain response capabilities. The reasons are many and varied. Today’s clock speed of rapid and continuous business change requires that industry supply chains be more agile and able to anticipate changes in customer, product, or fulfillment segment needs, quicker than competitors. The complexity and sheer speed of events occurring across the global supply chain implies an exceptions-based focus, allowing advanced technology to monitor and oversee day-to-day customer focused fulfillment. Having a bold vision to the end-state capabilities required across the value-chain is essential. With the increasing demands of online and omni-channel customer fulfillment, the end-state is often defined as the supply chain being more predictive and exceptions-driven in terms of response.
Many of today’s industry supply chain and sales and operations planning (S&OP) teams however, find themselves drowning in too much data while lacking in important insights. Hence transformation efforts can start on the wrong footing.
SupplyChainBrain attended our annual Kinexions user conference, and while there, they completed a number of video interviews with customers, analysts, and Kinaxis executives. And, we’d like to share them!
We know that companies are desperate for new talent to help them achieve supply-chain excellence, as they grapple with ever-larger volumes of data and increasing unpredictability in consumer markets. Companies have been investing in supply-chain technology for 20 years or more – yet many are still far from the goal of creating global, demand-driven networks. “Getting there takes more than a great tool,” says Green.
Check out this recorded roundtable discussion with Benji Green, director of global supply chain operations with Avaya; Trevor Miles, executive vice president of thought leadership with Kinaxis, and Roddy Martin, managing director of Accenture Supply Chain Strategies.
When things happen in supply chain, knowing sooner and acting faster can mean the difference between a major catastrophe and a minor hiccup in your supply chain performance. It can mean the difference between late orders and angry customers and the ability to win additional market share. It can mean the difference between getting fired and getting a promotion.
Imagine this scenario; you are a supply chain executive for a major U.S.-based electronics manufacturer. It’s a Sunday morning in May 2008. You’ve woken up and are reading the Sunday news. Suddenly you read something that makes you spill your coffee. There has been a major earthquake in Chengdu, China… where several of your key items are manufactured. This is bad…. very bad, but you know you have the tools to respond. By end of day Monday, you have identified the key items that are manufactured in that region, identified the customers and revenue impacted by the loss of those items, identified alternative sources, and were able to shift to new suppliers and reschedule orders. All with minimal impact to your customers.
Is this kind of performance too good to believe? Can you imagine your supply chain planning team being able to pull this off? Supply chain performance like this is not out of your grasp. It takes two things:
End-to-end visibility is key to the success of any supply chain today, and especially to Schneider Electric. Huillet says the company needs to be able to monitor product and data from the customer all the way back to the supplier.
Rejano asks ‘So why does technology even matter when supply chain principles haven’t really changed in decades?” We explore the answer.
You can start the show… whenever you’re ready
Using an interesting analogy centered on the rapidly changing television industry, Rejano suggests push strategies are akin to old analog rabbit ears – you can watch the programs you’re interested in, but only when the network decides to air them. Pull strategies are more like today’s on-demand options. Think digital video recording (DVR) and online streaming. They allow you to choose what you want to watch, and when you want to watch it.