The webinar discusses constructing a stable manufacturing supply chain. It begins with an introduction by Jay Black of his background in supply chain and current role at GreyOrange. The webinar then covers how pre-COVID disruptions and the pandemic exposed vulnerabilities in inflexible supply chains. It emphasizes how better data visibility through technologies like AI, IoT, automation and data centralization can create more flexibility. Specific applications discussed include machine management, forecasting, supply chain optimization, and addressing labor shortages through automation of tasks like quality inspection, materials movement and order fulfillment. The webinar aims to provide strategies for building resilience into manufacturing supply chains.

1. Future Focus:
Constructing Unshakeable
Stability in Your
Manufacturing
Supply Chain
July 11th, 2023
9:30am PDT, 12:30pm EDT, 5:30pm BST
Tara Dwyer
Webinar Coordinator,
Supply Chain Brief
featuring Jay Black,
Senior Account Executive
moderated by

2. Avetta connects leading global organizations with more
than 150,000 qualified suppliers, contractors, and vendors
across 125+ countries. We support the sustainable growth
of supply chains through trusted contractor
prequalification, safety audits, monitoring, and more.
With real results in helping companies reduce incidents,
our highly configurable solutions elevate safety and
sustainability in workplaces around the world—helping
workers get home to their families each night.
Learn more at www.avetta.com.

3. TO USE YOUR TELEPHONE:
You must select "Use Telephone" after joining
and call in using the numbers below.
United States: +1 (562) 247-8422
Access Code: 689-861-784
Audio PIN: Shown after joining the webinar
TO USE YOUR COMPUTER'S AUDIO:
When the webinar begins, you will be connected to audio using your
computer's microphone and speakers (VoIP). A headset is recommended.
Click on the Questions panel to
engage with the speaker!

4. Jay Black
Senior Account Executive
Future Focus:
Constructing Unshakeable Stability in Your
Manufacturing Supply Chain

5. My
Background
• Started in Order management and WMS implementations
• Worked in retail, distribution, 3PL, Consumer Product Goods
• Solution Engineer (Sales side) providing solution footprints
to fortune 500 companies
• Associate Partner/Director for a specialized Supply Chain
consulting firm.
• Worked in Retail, Distribution, 3PL, Consumer Product Goods
• While at IBM, WW Sales Leader where I helped build out
the Manufacturing story for the supply chain offerings.
• Automotive, Mining, Food, Electronics
• Today I work at GreyOrange, warehouse automation, AI
based execution software and Store fulfillment

6. Pre-Covid - Verticals of Manufacturing &
Distribution were Already Seeing Different
Disruptions
IBM Sterling Supply Chain / © 2020 IBM Corporation 6
More DTC Manufacturers
Thank Retail for lifting the bar
• Improving technologies
• More customer focused
• Better visibility
• Self Service
• Customer oriented

7. And then…
• Supply Chain Disruption
• Factories closed
• Stores were closed
• Early retirement
• Government checks given out to
support
• Predictability was no more
7

8. Chaos….
8

9. For Every
Action there
is an Equal
and Opposite
Reaction

10. How Does that
Apply to Supply
Chain??
IBM Sterling Supply Chain / © 2020 IBM Corporation 10
Retail overbought
…and regretted it

11. In Summary
the Supply
Chain Picture
the last 2
Years
IBM
Sterling
Supply
Chain
/
©
2020
IBM
Corporation
11

12. Top Supply
Chain
Concerns in
2023

13. What are Those “Supply
Chain Challenges”? One
word
Inflexibility
• Single Source Sourcing
• Geographically spread-out supply chain
• Antiquated technology
• Inflexible technology
• No clear visibility of data
• Decentralized/Siloed
• Nonexistent
• Tough to access
• Even with the data, what to do with it

14. Retail
Realized this
Years Ago
IBM
Sterling
Supply
Chain
/
©
2020
IBM
Corporation
14
Omnichannel Fulfillment

15. How can Manufacturing Create a Resilient
Supply Chain?
Better Visibility of
Inventory/Data
Artificial Intelligence and
IOT
Automation

16. Statistics
from the
Supply Chain
Disruptions
16

17. Data: The More
Visibility, the More
Flexibility
• Siloed
• Inflexible
• Single Pont of Failure
17

18. Example: Central View
of Inventory (Raw and
Finished)
• Centralized view of Demand and
Orders as well (Possibly)
• More Flexibility to have multiple
sourcing options
• Better Forecasting
18

19. How to
Centralize
Without
Intervening
with ERPs
19
ERP Role:
• Finance
• Planning/Forecasting
• Production

20. How to
Centralize
Without
Intervening
with ERPs
20
ERP Role:
• Finance
• Planning/Forecasting
• Production
Data Cloud
• Analytics
• Analysis
• Control Towers
• AI/IOT/Machine
Learning

21. Eliminate the “Black Holes” with Data
Warehouse/
Fulfillment Center
On-Order/In-Transit
The typical promise to a
customer starts at the
warehouse In Transit
Retail Store
Customer
The new normal starts
with In-Transit
Warehouse/
Fulfillment Center
In Transit
Retail Store
Customer
Factory In Transit on container In Port
Warehouse/
Fulfillment Center In Transit
Retail Store
Customer
On-Order/In-Transit
The New Goal
Better Visibility of all data creates more flexibility and more sales

22. Broader Visibility to Inventory Mitigates
Supply Chain issues
Source: If applicable, describe source origin
22
Fulfillment network
is being expanded
to an extended
network which
includes suppliers
• Reduced
inventory costs
• More Flexibility
on Ordering
• Reduced
Downtime
• Reduced SLA
infractions

23. How can Manufacturing Create a Resilient
Supply Chain?
Better Visibility of
Inventory/Data
Artificial Intelligence and
IOT
Automation

24. IBM Sterling Supply Chain / © 2020 IBM Corporation 24

25. 25
Source: Gartner Cool Vendors in Enterprise AI Operationalization and Engineering, 11
October 2021
By 2025, 50% of large enterprises will have deployed artificial intelligence orchestration platforms to operationalize AI, up from fewer
than 10% in 202 (Gartner).
75% of companies felt negative or strongly negative impacts on their business due to supply chain disruption (Accenture)
58% of consumers would stop buying from a brand entirely after one to three supply chain delays or disruptions. (AdAge)
It is estimated supply chain disruptions and inventory shortages affect 4% of inventory for some large companies, and 40% of inventory
for smaller companies. (AdAge)

26. AI vs Software Software
• Business Rule Driven
• Looks at the attributes of the
inputted data to determine
the outcome
• Factors used are based on
the business rule set.
Artificial Intelligence
• Takes the input of data and
looks at a broad and
historical view of data to
determine the outcome.
• Discovers patterns and learns
from its decisions to make
more precise decisions
• Can take in a tremendous
amount of factors and to
factor into the decision
process
26

27. AI
Architecture
Flow Simple
27
Source: Survey of Machine Learning: Albert
Reuther, Peter Michaleas, Michael Jones,
Jeremy Kepner

28. Use Cases in Manufacturing Supply Chain
Machine Management
• Machine Setting Accuracy – Reduce scraps
• Predictive Machine Failure – Sensing productivity Issues within the machine
• Predictive Maintenance – Staying ahead of maintenance schedules
• QA Inspection – Using visual technology to look at products for issues
Forecasting
• AI can consume much more data to better predict a product forecast:
• Historical data, Weather, events, political climate
Supply Chain
• Anomaly detection – Detecting potential supply/demand spikes
• Exception Management – recommend how to alleviate a shortage in a raw material efficiently
• Sourcing/Allocation – Look at a variety of parameters real time to determine a more efficient allocation plan
• Warehouse – Inventory rotation/positioning, picking/putaway/replenishment optimization
• Transportation – “Smart” Trucks
Customer
• Buying patterns, predictive purchases, upsells/cross sells
28

29. How can Manufacturing Create a Resilient
Supply Chain?
Better Visibility of
Inventory/Data
Artificial Intelligence and
IOT
Automation

30. Statistics in the
Supply Chain
Labor
IBM
Sterling
Supply
Chain
/
©
2020
IBM
Corporation
• Unfilled jobs and a manufacturing skills gap are
expected to cost the United States as much as $1
trillion by 2030. (Datex)
• 2.1 million jobs critical to the supply chain and
manufacturing industry will remain unfilled by
2030. (Forbes)
• On the last day of December 2021, the number of job
openings in the US was 10.9 million. The job openings
rate was 6.8%. (Brookings)
• Even if every unemployed person with experience in
the durable goods manufacturing industry were
employed, only 65% of vacant jobs would be filled. (US
Chamber)
• As of 2023, According to the US chamber of
Commerce, there are 693K open manufacturing jobs.
• 70% of jobs are filled
30

31. Areas of Opportunity
IBM
Sterling
Supply
Chain
/
©
2020
IBM
Corporation
31
QA Material Movement Picking and Packing

32. QA with AI
• Visual inspection takes human error out and
reduces cognitive load
• Can be implemented quickly providing a short
time to value.
• Can detect errors quicker and faster
• With the AI, visual inspection learns about
defects and understands relationships with other
defects.
• Examples – welding, circuit board assembly,
fabric inspection, scratches/blemishes, paint job
• Reduces reliance on labor and tribal knowledge
IBM Sterling Supply Chain / © 2020 IBM Corporation 32

33. Automating “Non-Value”
Movement
• Examples:
• Movement to/from manufacturing floor
• Dock to stock moves
• Returns
• Typically pallet level moves requiring a forklift
• Reduces the need for labor for non-value moves
• These moves are typically static and simple
moves
• The robots are intertwined with human
operators – designed to detect and stop
• Quick to implement, minimal infrastructure
change
IBM Sterling Supply Chain / © 2020 IBM Corporation 33

34. Automating Outbound
Movement
• Example:
• Loose picking
• Pallet picking
• Assisted picking
• Sorting (more for parcel shipping)
• Higher upfront cost, higher impact
• Most robots required to work in enclosed areas
• Combined with AI, can learn order patterns to
improve picking efficiency
• Reduces the headcount need in an area short
on labor (especially 2nd/3rd shifts)
IBM Sterling Supply Chain / © 2020 IBM Corporation 34

35. Q&A
TARA DWYER
/in/taradwyer/
Webinar Coordinator, Supply Chain Brief
supplychainbrief.com
JAY BLACK
/in/jhblack/
greyorange.com
Senior Account Executive