• Like
Voice of the Supply Chain leader - 2014 - SUMMARY CHARTS
 

Voice of the Supply Chain leader - 2014 - SUMMARY CHARTS

on

  • 1,663 views

Executive Overview ...

Executive Overview
Supply chain is an important enabler of corporate performance. Growth is slowing. Success in global operations is an organizational imperative. With the rise in complexity (products, markets and rate of change), supply chain excellence is more important for companies to effectively compete. As a result, 55% of supply chain leaders report that they will be increasing spending on software deployments this year.
The goal is to balance growth with customer service, operating cost and inventory levels. It is easier said than done. The accomplishment of this goal requires supply chain software, but the selection is not easy. Today the market is more confusing that it was five years ago.
The supply chain software market is not an easy market to navigate. It was conceived in the mid-1980s, and redesigned for client-server software in the 1990s. Due to the number of technology provider consolidations, it has been slow to adapt to cloud and mobile computing.
The gap between the importance of the software and the current level of performance is high, and has remained so over the course of the three years of this study. The reasons are many. They include leadership, organizational, and technology barriers. Some of these barriers are outlined in figure 2.

Here, based on phone interviews and strategy days with supply chain leaders, we add some color to three of the top gaps:
• Executive Understanding of Supply Chain Management. A major gap in the implementation of supply chain software is the executive level understanding of supply chain as a complex system. Functional metrics lack alignment, complexity is rising and the pressure is on to drive improvement. Unfortunately, all too many companies reward the urgent, not the important; and as a result, companies are not able to fully take advantage of planning software. The gap between importance and satisfaction is lower for functional planning—examples include product life cycle management, transportation management and warehouse management—than with demand planning where companies have to make trade-offs to improve corporate performance across functions.
• Ability to Get to the Right Data. As companies implemented supply chain software, they learned the hard way that they needed both systems of record and systems of differentiation. Supply chain planning requires “what-if” analysis and multiple optimization runs through systems of differentiation. Visibility systems require a robust system of record to enable the consolidation of data from multiple systems to be used by both casual users and supply chain planners. Supply chains need both. Line-of-business leaders drive discussions on the depth of optimization and the depth of functionality in systems of differentiation while Information Technology (IT) teams focus on integration and systems of record. The larger the company, the more diverse the architectures and the tougher the problem to build scalable systems of record to ...

Statistics

Views

Total Views
1,663
Views on SlideShare
1,095
Embed Views
568

Actions

Likes
0
Downloads
47
Comments
0

5 Embeds 568

http://supplychaininsights.com 519
https://twitter.com 43
http://www.linkedin.com 4
https://www.linkedin.com 1
http://www.google.com 1

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Voice of the Supply Chain leader - 2014 - SUMMARY CHARTS Voice of the Supply Chain leader - 2014 - SUMMARY CHARTS Presentation Transcript

    • Voice of the Supply Chain Study Summary Charts 2013-14
    • Agenda Supply Chain Insights LLC Copyright © 2014, p. 2
    • Study Overview Supply Chain Insights LLC Copyright © 2014, p. 3
    • Nearly 3/4 of Respondents Work for a Manufacturer Supply Chain Insights LLC Copyright © 2014, p. 4
    • Respondent Companies Have an Average of $4B in Revenue and 28,000 Employees Supply Chain Insights LLC Copyright © 2014, p. 5
    • Nearly ½ of Respondents Work in a “Discrete” Industry Supply Chain Insights LLC Copyright © 2014, p. 6
    • 60% of Respondents are Director-Level or Higher Supply Chain Insights LLC Copyright © 2014, p. 7
    • Agenda Supply Chain Insights LLC Copyright © 2014, p. 8
    • Nine-in-Ten Have a Supply Chain Organization Supply Chain Insights LLC Copyright © 2014, p. 9
    • On Average, Supply Chain Organization Has Five Functions Reporting into it; Leader Typically Reports to CEO,COO or President Supply Chain Insights LLC Copyright © 2014, p. 10
    • Top Supply Chain Descriptive Challenges Two Years Ago: Room for Improvement, Reactive, Traditional, Silos and Cautious Supply Chain Insights LLC Copyright © 2014, p. 11
    • Many More Supply Chain Descriptive Strengths Today: Global, Many, Controlled, Pull, and Aligned Supply Chain Insights LLC Copyright © 2014, p. 12
    • Greatest Improvements in POSITIVE Descriptors: Global and Modern Supply Chain Insights LLC Copyright © 2014, p. 13
    • Greatest Improvements in NEGATIVE Descriptors: Functional Silos and Reactive Supply Chain Insights LLC Copyright © 2014, p. 14
    • Descriptors to Work on – Then & Now: Working Well, Risk-Taking, Fast, Agile, Modern, Outside-in, and Proactive Supply Chain Insights LLC Copyright © 2014, p. 15
    • Descriptors to Work on – Then & Now: Room for Improvement, Cautious, Traditional and Reactive Supply Chain Insights LLC Copyright © 2014, p. 16
    • Top Supply Chain Descriptor Two Years Ago vs. Today: Room for Improvement vs. Global Supply Chain Insights LLC Copyright © 2014, p. 17
    • Top Areas of Supply Chain Pain: Executive Team Understanding and Data Access Supply Chain Insights LLC Copyright © 2014, p. 18
    • Shortening Lead-Times Is Top Pain for Discrete Industries Vs. Actionable Analytics for Process Industries Supply Chain Insights LLC Copyright © 2014, p. 19
    • Top Areas of Supply Chain Focus: Saving, Demand Planning and Lean Processes Supply Chain Insights LLC Copyright © 2014, p. 20
    • Top Focus for Discrete: Improving Demand Planning Top Focus for Process: Saving Costs Supply Chain Insights LLC Copyright © 2014, p. 21
    • Top Supply Chain Trends: Data Visualization, Supply Chain Visibility and Demand Sensing Supply Chain Insights LLC Copyright © 2014, p. 22
    • Top Trend for Discrete: Big Data Top Focus for Process: Supply Chain Visibility Supply Chain Insights LLC Copyright © 2014, p. 23
    • Additional Supply Chain Challenges: Speed, Agility, Alignment, Visibility Supply Chain Insights LLC Copyright © 2014, p. 24
    • Agenda Supply Chain Insights LLC Copyright © 2014, p. 25
    • Nearly Half Reporting Having a Supply Chain Center of Excellence Supply Chain Insights LLC Copyright © 2014, p. 26
    • Primary Functions of Center of Excellence: Best Practices, Metrics and Strategy Supply Chain Insights LLC Copyright © 2014, p. 27
    • Largest Gap in Center of Excellence Performance vs. Importance: Definition of Supply Chain Metrics Supply Chain Insights LLC Copyright © 2014, p. 28
    • Agenda Supply Chain Insights LLC Copyright © 2014, p. 29
    • 13 or More Operational IT Systems on Average; 45% Have More Than 10 Systems Supply Chain Insights LLC Copyright © 2014, p. 30
    • Most Common IT Systems: Order Management and ERP Supply Chain Insights LLC Copyright © 2014, p. 31
    • Among Most Important and Most Satisfactory: Order Management and Demand Planning Supply Chain Insights LLC Copyright © 2014, p. 32
    • Greatest Gaps in IT System Importance vs. Satisfaction: ERP, Order Management, Demand Planning and Production Planning Supply Chain Insights LLC Copyright © 2014, p. 33
    • 7% Use Cloud-Based Delivery for 1+ IT Systems, 17% Use Business Process Outsourcing for 1+ Systems Supply Chain Insights LLC Copyright © 2014, p. 34
    • Cloud-Based Delivery Most Common for Tactical Supply Planning; Business Process Outsourcing Most Common for Warehouse Management Supply Chain Insights LLC Copyright © 2014, p. 35
    • Top Current/Planned Areas for Using Cloud-Based Delivery: Tactical Supply Planning and Demand Planning Supply Chain Insights LLC Copyright © 2014, p. 36
    • Top Current/Planned Areas for Using Business Process Outsourcing: Warehouse Management and Transportation Planning Supply Chain Insights LLC Copyright © 2014, p. 37
    • Over Half Expect Company to Spend More on Supply Chain Technology in 2014 Supply Chain Insights LLC Copyright © 2014, p. 38
    • Discrete Industries Are More Likely to Expect a Decrease in Supply Chain Technology Spending This Year Supply Chain Insights LLC Copyright © 2014, p. 39
    • Technology Spending Focus in 2014: Demand & Supply Planning, ERP, SAP, SC Visibility Supply Chain Insights LLC Copyright © 2014, p. 40
    • Most Common Areas for Increased Spending: Supply Chain Planning & Execution, and BI Analytics & Reporting Supply Chain Insights LLC Copyright © 2014, p. 41
    • For Half, IT and Supply Chain Jointly Decide on Supply Chain Technology Funding Supply Chain Insights LLC Copyright © 2014, p. 42