The document discusses the challenges faced by the supply chain of Hi-Fi Corporation, a South African electronics retailer. It grew rapidly from 1 to 17 stores over 10 years but its supply chain could not keep up, resulting in poor customer experience. The congested stores functioned like warehouses. There were long queues, stockouts, and delays. To address this, the company conducted an in-depth "as-is" analysis of its supply chain using tools like process mapping. It identified gaps between its current performance and best practices. This provided a foundation to develop conceptual solutions and transform the supply chain to improve customer experience and support further growth.
The document summarizes a presentation on revamping the supply chain of a leading supermarket. It discusses opportunities to improve efficiency at the warehouse level through automation, barcode scanning, and warehouse management systems. It also addresses distribution optimization using GPS and hub-and-spoke models, inventory management with vendor-managed inventory and just-in-time approaches. Finally, it proposes solutions at the store level like mobile payment, product availability checks, and improved customer experience through in-store technologies and a stronger online presence. The overall goal is to enhance responsiveness, minimize costs and improve customer satisfaction across the retail organization's supply chain.
This document summarizes the findings of a benchmarking survey of retail store operations in India. Key insights include:
- Customer service and store profitability were top priorities for retailers in fiscal year 2014. However, metrics to measure customer experience were lacking.
- Inventory availability levels improved across retailers over the past three years, though shrinkage remains an area of concern.
- Process maturity scores were in the 70-80% range on average, indicating room for improvement, especially in areas like promotions execution and customer data analytics.
The document discusses supply chain management. It defines a supply chain as including suppliers, manufacturers, warehouses, distribution centers, and retail outlets that facilitate the flow of raw materials, work-in-progress inventory, and finished products. It also discusses the challenges of managing supply chains due to uncertainty, and techniques for improving demand forecasting and reducing variability through collaboration and information sharing.
Achieving Excellence in End-to-End Supply Managementmubarak2009
The document discusses challenges in supply chain management for service organizations. It notes a lack of integrated processes, tools, and information across supply chains. Common issues include no single contract repository, manual contract development, and an inability to match invoices to contracts. The presentation argues that effective contract management, using standardized templates and automation, can help address these issues and drive efficiencies across sourcing, procurement, and supplier management.
The document discusses strategic sourcing and ADMA-OPCO's plans to implement it. The goals of strategic sourcing are to increase customer satisfaction, improve internal service levels and product quality, and significantly reduce total costs through coordinated purchasing across the organization. ADMA-OPCO aims to leverage its buying power to obtain goods and services efficiently for end users. The document outlines the strategic sourcing process and opportunities for ADMA-OPCO to analyze spending, the supply base, develop a sourcing strategy, manage negotiations, award contracts, and implement the strategy.
Direct Materials Sourcing and Procurement Strategies – Accelerating Savings a...SAP Ariba
As Procurement organizations optimize and automate sourcing and procurement processes to handle Indirect Spend, there is a renewed focus to extend the same automation to Direct Material Spend. With increased globalization, outsourcing and raw material cost inflation, controlling Direct Material spend is key to driving sustainable savings and improve risk mitigation.
Join this session to hear from IDC Manufacturing and key Ariba customers who leverage extensive collaboration and automation to capture more direct & indirect spend and drive sustainable savings and risk mitigation in their supply chains.
The development of COVID-19 and its impact on global business has highlighted the vulnerability of supply chains to rapid disruptions. Many companies are struggling with both changed demand patterns and disrupted supply situations, as the effects of the virus outbreak extend further than anticipated.
We don’t know the full impact of COVID-19 on our businesses, and we can’t predict what is in store for the future. But we can reflect on previous supply chain disruptions and apply past learnings to the current situation.
Leading companies are exploiting their supply chains to outperform competitors. Collinson Grant assesses the value they create and makes recommendations for improvement. This presentation gives an outline of our approach to redefining processes and structures to eliminate costs, harmonising systems and technologies to exploit synergies, and generating transformational change.
The document summarizes a presentation on revamping the supply chain of a leading supermarket. It discusses opportunities to improve efficiency at the warehouse level through automation, barcode scanning, and warehouse management systems. It also addresses distribution optimization using GPS and hub-and-spoke models, inventory management with vendor-managed inventory and just-in-time approaches. Finally, it proposes solutions at the store level like mobile payment, product availability checks, and improved customer experience through in-store technologies and a stronger online presence. The overall goal is to enhance responsiveness, minimize costs and improve customer satisfaction across the retail organization's supply chain.
This document summarizes the findings of a benchmarking survey of retail store operations in India. Key insights include:
- Customer service and store profitability were top priorities for retailers in fiscal year 2014. However, metrics to measure customer experience were lacking.
- Inventory availability levels improved across retailers over the past three years, though shrinkage remains an area of concern.
- Process maturity scores were in the 70-80% range on average, indicating room for improvement, especially in areas like promotions execution and customer data analytics.
The document discusses supply chain management. It defines a supply chain as including suppliers, manufacturers, warehouses, distribution centers, and retail outlets that facilitate the flow of raw materials, work-in-progress inventory, and finished products. It also discusses the challenges of managing supply chains due to uncertainty, and techniques for improving demand forecasting and reducing variability through collaboration and information sharing.
Achieving Excellence in End-to-End Supply Managementmubarak2009
The document discusses challenges in supply chain management for service organizations. It notes a lack of integrated processes, tools, and information across supply chains. Common issues include no single contract repository, manual contract development, and an inability to match invoices to contracts. The presentation argues that effective contract management, using standardized templates and automation, can help address these issues and drive efficiencies across sourcing, procurement, and supplier management.
The document discusses strategic sourcing and ADMA-OPCO's plans to implement it. The goals of strategic sourcing are to increase customer satisfaction, improve internal service levels and product quality, and significantly reduce total costs through coordinated purchasing across the organization. ADMA-OPCO aims to leverage its buying power to obtain goods and services efficiently for end users. The document outlines the strategic sourcing process and opportunities for ADMA-OPCO to analyze spending, the supply base, develop a sourcing strategy, manage negotiations, award contracts, and implement the strategy.
Direct Materials Sourcing and Procurement Strategies – Accelerating Savings a...SAP Ariba
As Procurement organizations optimize and automate sourcing and procurement processes to handle Indirect Spend, there is a renewed focus to extend the same automation to Direct Material Spend. With increased globalization, outsourcing and raw material cost inflation, controlling Direct Material spend is key to driving sustainable savings and improve risk mitigation.
Join this session to hear from IDC Manufacturing and key Ariba customers who leverage extensive collaboration and automation to capture more direct & indirect spend and drive sustainable savings and risk mitigation in their supply chains.
The development of COVID-19 and its impact on global business has highlighted the vulnerability of supply chains to rapid disruptions. Many companies are struggling with both changed demand patterns and disrupted supply situations, as the effects of the virus outbreak extend further than anticipated.
We don’t know the full impact of COVID-19 on our businesses, and we can’t predict what is in store for the future. But we can reflect on previous supply chain disruptions and apply past learnings to the current situation.
Leading companies are exploiting their supply chains to outperform competitors. Collinson Grant assesses the value they create and makes recommendations for improvement. This presentation gives an outline of our approach to redefining processes and structures to eliminate costs, harmonising systems and technologies to exploit synergies, and generating transformational change.
The world is changing – how about your Operations Strategy?
The world is changing rapidly – same goes for your customers and suppliers. You are required to constantly improve your operations. Is optimising your current operating model sufficient or do you need to rethink?
A great Operations Strategy is what makes the sum of all operational capabilities of your business a competitive advantage.
Does your Operations Strategy fit in relation to environmental changes or changes in future customer demand?
The document summarizes a seminar on supply chain planning theory and best practices. It includes an agenda for the event covering topics like demand planning, replenishment planning, production planning, buffer stocks, and industry trends. Recent trends discussed include increased collaboration across supply chain partners and a movement toward centralized planning over decentralized approaches. The presentation aims to explain key supply chain planning concepts and challenges through case studies and examples.
This document provides an outline on the topic of supply chain management. It discusses key concepts like global supply chain issues, outsourcing, ethics in the supply chain, and strategies like many suppliers, few suppliers, and vertical integration. It also covers managing the supply chain, issues and opportunities in an integrated supply chain, and internet purchasing. The learning objectives are to identify and describe concepts like supply chain management, negotiations, and approaches to vendor selection and evaluation.
To identify the segment of customers, who have a higher tendency to default, if they are offered a Personal Loan
To leverage the existing Two-Wheeler Loan (TW) customer base to cross-sell the Personal Loan product
This document discusses strategic sourcing, which involves analyzing an organization's spending to make more effective business decisions about acquiring commodities and services. It outlines the mission, goals, and critical success factors of strategic sourcing, including executive sponsorship, end user involvement, data integrity, appropriate technology use, and continuous process improvement. A roadmap is provided that shows how strategic sourcing can increase customer satisfaction and significantly reduce costs through implementing best practices, identifying opportunities, and technology.
The document discusses innovation in business and defines it as the implementation of new ideas to create value through problem resolution or opportunity creation. It then outlines several emerging disruptive technologies in supply chain management like IoT, driverless vehicles, drones, 3D printing, and artificial intelligence. Finally, it discusses trends in smart manufacturing and supply chains that are being driven by these new technologies.
The document discusses several key accounting issues in hotels that impact profitability. It summarizes several studies that examined why some similarly situated hotels are more profitable than others. The studies found that the more profitable hotels generated 46% higher profits through a combination of 5% higher revenues and 7.3% lower costs. Superior performance was attributed to factors like better operating efficiency, marketing, product specifications, and service delivery. Understanding cost behavior and using techniques like customer profitability analysis can help hotel managers make more informed decisions to improve profits.
By reducing your net working capital, you release funds for investments and new growth opportunities. Beyond these effects, by reducing net working capital you also improve logistics processes, profitability and increase your stakeholders’ enterprise value.
Managing Demand in Supply Chain: The Business Process Modeling ApproachSotiris Gayialis
Gayialis S.P., Ponis S.T., Panayiotou N.A., Tatsiopoulos I.P. (2015) Managing Demand in Supply Chain: The Business Process Modeling Approach, in Proceedings of the 4th International Symposium and 26th National Conference on Operational Research, June 4-6, 2015, Chania, ISBN: 978-618-80361-4-7, pp. 73-79.
Agility is critical to overcome the challenges of a traditional S&OP process. Learn more from our recommendations to manage, anticipate and synchronize supply and demands
This document discusses inventory optimization strategies for companies. It begins by stating that optimal inventory levels balance inventory costs, service levels, and sales. It then explores key drivers of inventory optimization, including sales and operations planning, inventory management, demand planning, vendor management, and key performance indicators. The document emphasizes that inventory optimization requires balancing inventory reduction with maintaining adequate service levels.
Strategic Sourcing - A High level overviewRam Raghuraman
'Strategic Sourcing - An Introduction' delivered by Ram Raghuraman (Founder - BCube Global Solutions, Chennai) as part of ISM India's webinar series on Strategic Sourcing.
Future of Procurement – Goodbye to Business as Usual: Transforming Operations...SAP Ariba
An interactive panel discussion on how procurement is changing and why old ways of working and measuring performance may not get the job done. Featuring Edward Cone, Oxford Economics’ Deputy Director of Thought Leadership and Jennifer Roberts, Senior Manager, Center of Excellence for Sonoco – a $5B global consumer packaging company. Gain insight into:
• Sonoco’s real-world perspectives, including a look at their supplier measurement program
• Your peer’s views on operations and KPIs from the Oxford global study of more than 1,000 procurement executives and practitioners
• Proven strategies and tactics to measure your success
Supplier Management 101: Drive Spend Toward Preferred Suppliers and Reduce Risk SAP Ariba
Attend this session for an introduction to the new SAP Ariba Supplier Management portfolio, which includes the SAP Ariba Supplier Lifecycle and Performance and SAP Ariba Supplier Risk solutions. Fully integrated with your ERP system and procurement processes, these comprehensive tools can help you onboard, qualify, segment, and manage supplier performance while reducing supplier risk.
The document provides 10 lessons learned from the recession for strategic sourcing organizations:
1. Bring more spend under management by identifying new categories beyond low-hanging fruit.
2. Reconsider spend analysis to provide supplier attributes, market insights, and savings prioritization.
3. Align the sourcing organization goals and structure to effectively achieve goals like increasing spend under management.
4. Expand category coverage to include previously untouched areas like legal services and benefits.
This is my presentation of Supply Chain Design for Master in Business Administration Class 2018-2019 Cavite State University
CTTO Coca-Cola for the presentation
https://youtu.be/Qo6AINGFoHM
P manifold customer_audit_feedback_monitoring_servicespManifold
This document discusses customer audit, feedback, and satisfaction monitoring services to help improve customer service delivery. It provides an overview of the COPS (Customer Opinion, Preferences and Satisfaction) program which collects customer feedback across multiple touchpoints to understand customer experiences and insights. The COPS data is then used to drive improvements in customer experience, quality, retention, and business performance. The document also outlines the benefits of the COPS program for businesses in gaining deeper customer understanding, continuously improving products/services, improving brand loyalty, and ensuring compliance and transparency.
Active Innovation In The Manufacturing Supply ChainRichmond Hess
Active innovation in the supply chain can provide several advantages: it allows companies to get products to market faster and improve success rates, uncover expertise from suppliers to help evaluate ideas, and diversify risk. Encouraging suppliers to innovate involves informing them of goals and benefits, and two case studies show benefits in action - a cable clamp design that reduced inventory needs, and bike pedals where manufacturing expertise streamlined processes.
This document discusses security concerns for warehouses and provides solutions from G4S including manned guarding, risk management, secure cargo handling, and technology. It notes the need for risk management of warehouses and global issues of cargo theft, offering G4S services to improve security for warehousing and logistics through guards, managing risks, safely handling cargo, and utilizing technology.
Actionly is a social media monitoring tool that tracks searches across various social networks like Twitter and Facebook. It retrieves data and displays it on dashboards where you can view metrics, top tweets, influencers, and more. It also provides sentiment analysis, tag clouds, reporting capabilities, and alerts. Multiple accounts and searches can be added for monitoring.
The world is changing – how about your Operations Strategy?
The world is changing rapidly – same goes for your customers and suppliers. You are required to constantly improve your operations. Is optimising your current operating model sufficient or do you need to rethink?
A great Operations Strategy is what makes the sum of all operational capabilities of your business a competitive advantage.
Does your Operations Strategy fit in relation to environmental changes or changes in future customer demand?
The document summarizes a seminar on supply chain planning theory and best practices. It includes an agenda for the event covering topics like demand planning, replenishment planning, production planning, buffer stocks, and industry trends. Recent trends discussed include increased collaboration across supply chain partners and a movement toward centralized planning over decentralized approaches. The presentation aims to explain key supply chain planning concepts and challenges through case studies and examples.
This document provides an outline on the topic of supply chain management. It discusses key concepts like global supply chain issues, outsourcing, ethics in the supply chain, and strategies like many suppliers, few suppliers, and vertical integration. It also covers managing the supply chain, issues and opportunities in an integrated supply chain, and internet purchasing. The learning objectives are to identify and describe concepts like supply chain management, negotiations, and approaches to vendor selection and evaluation.
To identify the segment of customers, who have a higher tendency to default, if they are offered a Personal Loan
To leverage the existing Two-Wheeler Loan (TW) customer base to cross-sell the Personal Loan product
This document discusses strategic sourcing, which involves analyzing an organization's spending to make more effective business decisions about acquiring commodities and services. It outlines the mission, goals, and critical success factors of strategic sourcing, including executive sponsorship, end user involvement, data integrity, appropriate technology use, and continuous process improvement. A roadmap is provided that shows how strategic sourcing can increase customer satisfaction and significantly reduce costs through implementing best practices, identifying opportunities, and technology.
The document discusses innovation in business and defines it as the implementation of new ideas to create value through problem resolution or opportunity creation. It then outlines several emerging disruptive technologies in supply chain management like IoT, driverless vehicles, drones, 3D printing, and artificial intelligence. Finally, it discusses trends in smart manufacturing and supply chains that are being driven by these new technologies.
The document discusses several key accounting issues in hotels that impact profitability. It summarizes several studies that examined why some similarly situated hotels are more profitable than others. The studies found that the more profitable hotels generated 46% higher profits through a combination of 5% higher revenues and 7.3% lower costs. Superior performance was attributed to factors like better operating efficiency, marketing, product specifications, and service delivery. Understanding cost behavior and using techniques like customer profitability analysis can help hotel managers make more informed decisions to improve profits.
By reducing your net working capital, you release funds for investments and new growth opportunities. Beyond these effects, by reducing net working capital you also improve logistics processes, profitability and increase your stakeholders’ enterprise value.
Managing Demand in Supply Chain: The Business Process Modeling ApproachSotiris Gayialis
Gayialis S.P., Ponis S.T., Panayiotou N.A., Tatsiopoulos I.P. (2015) Managing Demand in Supply Chain: The Business Process Modeling Approach, in Proceedings of the 4th International Symposium and 26th National Conference on Operational Research, June 4-6, 2015, Chania, ISBN: 978-618-80361-4-7, pp. 73-79.
Agility is critical to overcome the challenges of a traditional S&OP process. Learn more from our recommendations to manage, anticipate and synchronize supply and demands
This document discusses inventory optimization strategies for companies. It begins by stating that optimal inventory levels balance inventory costs, service levels, and sales. It then explores key drivers of inventory optimization, including sales and operations planning, inventory management, demand planning, vendor management, and key performance indicators. The document emphasizes that inventory optimization requires balancing inventory reduction with maintaining adequate service levels.
Strategic Sourcing - A High level overviewRam Raghuraman
'Strategic Sourcing - An Introduction' delivered by Ram Raghuraman (Founder - BCube Global Solutions, Chennai) as part of ISM India's webinar series on Strategic Sourcing.
Future of Procurement – Goodbye to Business as Usual: Transforming Operations...SAP Ariba
An interactive panel discussion on how procurement is changing and why old ways of working and measuring performance may not get the job done. Featuring Edward Cone, Oxford Economics’ Deputy Director of Thought Leadership and Jennifer Roberts, Senior Manager, Center of Excellence for Sonoco – a $5B global consumer packaging company. Gain insight into:
• Sonoco’s real-world perspectives, including a look at their supplier measurement program
• Your peer’s views on operations and KPIs from the Oxford global study of more than 1,000 procurement executives and practitioners
• Proven strategies and tactics to measure your success
Supplier Management 101: Drive Spend Toward Preferred Suppliers and Reduce Risk SAP Ariba
Attend this session for an introduction to the new SAP Ariba Supplier Management portfolio, which includes the SAP Ariba Supplier Lifecycle and Performance and SAP Ariba Supplier Risk solutions. Fully integrated with your ERP system and procurement processes, these comprehensive tools can help you onboard, qualify, segment, and manage supplier performance while reducing supplier risk.
The document provides 10 lessons learned from the recession for strategic sourcing organizations:
1. Bring more spend under management by identifying new categories beyond low-hanging fruit.
2. Reconsider spend analysis to provide supplier attributes, market insights, and savings prioritization.
3. Align the sourcing organization goals and structure to effectively achieve goals like increasing spend under management.
4. Expand category coverage to include previously untouched areas like legal services and benefits.
This is my presentation of Supply Chain Design for Master in Business Administration Class 2018-2019 Cavite State University
CTTO Coca-Cola for the presentation
https://youtu.be/Qo6AINGFoHM
P manifold customer_audit_feedback_monitoring_servicespManifold
This document discusses customer audit, feedback, and satisfaction monitoring services to help improve customer service delivery. It provides an overview of the COPS (Customer Opinion, Preferences and Satisfaction) program which collects customer feedback across multiple touchpoints to understand customer experiences and insights. The COPS data is then used to drive improvements in customer experience, quality, retention, and business performance. The document also outlines the benefits of the COPS program for businesses in gaining deeper customer understanding, continuously improving products/services, improving brand loyalty, and ensuring compliance and transparency.
Active Innovation In The Manufacturing Supply ChainRichmond Hess
Active innovation in the supply chain can provide several advantages: it allows companies to get products to market faster and improve success rates, uncover expertise from suppliers to help evaluate ideas, and diversify risk. Encouraging suppliers to innovate involves informing them of goals and benefits, and two case studies show benefits in action - a cable clamp design that reduced inventory needs, and bike pedals where manufacturing expertise streamlined processes.
This document discusses security concerns for warehouses and provides solutions from G4S including manned guarding, risk management, secure cargo handling, and technology. It notes the need for risk management of warehouses and global issues of cargo theft, offering G4S services to improve security for warehousing and logistics through guards, managing risks, safely handling cargo, and utilizing technology.
Actionly is a social media monitoring tool that tracks searches across various social networks like Twitter and Facebook. It retrieves data and displays it on dashboards where you can view metrics, top tweets, influencers, and more. It also provides sentiment analysis, tag clouds, reporting capabilities, and alerts. Multiple accounts and searches can be added for monitoring.
This document provides an overview of IPv6 router configuration and support by various vendors, including Cisco, Juniper, and FreeBSD. It discusses Cisco's three-phase IPv6 support roadmap, detailing features supported in each phase such as routing protocols, hardware acceleration, and tunnels. Platform support for Cisco routers like the 7600, 12000, and Catalyst 3750 series is also outlined. The document concludes with discussions of Juniper's current IPv6 support and future plans, as well as example Cisco configuration commands.
The document discusses marketing tactics used by top performing companies compared to bottom performers. It finds that top performers invest more heavily in marketing, are more aggressive users of technology like marketing automation, and use different tactics at each stage of the lead generation and sales process. Specifically, top performers practice lead nurturing to guide prospects through the buying process, carefully manage handoffs to sales, and aim to be more revenue relevant by contributing more leads to the sales pipeline. The key takeaways are to actively engage customers, focus on social marketing, leverage both new and old tactics, market to existing customers, and automate marketing processes.
This document discusses the components and configuration basics of a Cisco router. It describes the various components that make up a router including ROM, RAM, flash memory, and NVRAM. It also explains the boot up process and how the configuration register controls this process. The document outlines how to configure interfaces, global settings, routing protocols and access the router through various modes and prompts. It provides guidance on interactive configuration, storing configurations remotely, restoring configurations and using the online help.
Router configuration involves configuring the components of a router like RAM, NVRAM, flash memory, interfaces, and ROM. RAM stores routing tables and caches. NVRAM stores the startup configuration. Flash memory stores the IOS image. Interfaces connect routers to networks. Dynamic routing protocols like RIP, IGRP, OSPF, and EIGRP can be configured to exchange routing information. Static routes can also be configured using the ip route command. Troubleshooting commands help monitor router operation and troubleshoot issues.
The document provides configuration examples for IPv6 routing on Cisco, Juniper, FreeBSD, and RedHat routers and hosts. It includes configurations for interfaces, routing protocols like BGP and RIPng, router advertisements, and show commands.
The document discusses lean supply chain management and its benefits for companies. It outlines key elements of a lean supply chain including procurement, manufacturing, logistics, demand management, and information technology. Implementing a lean supply chain can help companies reduce costs, become more responsive to customers, and improve overall profitability. Critical to success is understanding customer needs, having the right systems and expertise in place, and removing inconsistencies across the supply chain.
Lecture iii (september 2014)the information system and procurementbosp1
This document provides an overview of supply chain management and procurement concepts. It discusses information exchange in SCM and enterprise resource planning systems. ERP systems integrate business functions like accounting, sales, and operations. The role of purchasing is described as coordinating suppliers to get the right materials at the right time and price. Outsourcing can provide benefits like reducing costs but risks include losing competitive knowledge. Supply chain collaboration where members work towards shared goals is also covered.
Lecture iii (september 2014)the information system and procurementbosp1
This document provides an overview of supply chain management and procurement. It discusses key topics like information exchange in SCM, enterprise resource planning systems, the role of purchasing, and make-or-buy decisions. ERP systems are described as integrated software that coordinates business functions from procurement to invoicing. The benefits of supply chain collaboration are outlined, including reduced costs and inventory through shared information and planning. Outsourcing can provide benefits like economies of scale but also risks if critical knowledge is lost.
The document discusses innovation in supply chain management. It outlines principles of SCM, the need for innovation to address challenges like global competition and changing customer needs. It describes trends driving SCM innovation, including advanced technologies and emerging skills. The document also provides a detailed overview of the SCM innovation process, from idea generation to implementation and review. Key areas of SCM that can be innovated are products, services, competencies, and global strategies.
2011 ISPE Presentation-Supply Chain Improvements w Case Study ExamplesCharles Trammell
This document discusses supply chain improvements and case studies. It begins with an overview of UPS's industry segmentation approach and focus on supply chains for high tech and manufacturing. It then discusses three case studies showing how improved demand planning, supply chain visibility, and international trade management helped companies address challenges and achieve results like avoiding fines and increased inventory turns. The document concludes that optimization in areas like reducing costs, improving processes, and forecast accuracy are foundations for business growth.
- Purchasing organizations must become both strategic and tactical by understanding customer needs, improving response times, having an educated workforce, and focusing on continuous supply chain improvements.
- To succeed in the 21st century, purchasing departments must forge supplier alliances, develop best-in-class global suppliers, and improve processes to support business goals.
- Purchasing is undergoing changes like department name changes to reflect an increased focus on strategic sourcing, global procurement, and supply chain management.
The document discusses various supply chain management strategies and concepts:
- It outlines key aspects of supply chain management including supplier selection, materials management, and benchmarking.
- Different supply chain strategies are described such as using many suppliers, a few key suppliers, vertical integration, keiretsu networks, and virtual companies.
- Factors in make-or-buy decisions, outsourcing, and developing close relationships with suppliers are also covered.
The document discusses supply chain management, defining it as the flow of materials, work-in-process inventory, and finished goods from suppliers to manufacturers to distributors and finally to customers. It notes the challenges of uncertainty in supply chains and techniques used to manage them, including forecasting, collaboration with partners, and reducing variability and lead times. Key benefits of effective supply chain management include improved delivery, lower inventory levels, and reduced costs.
The document provides an overview of supply chain management concepts including definitions, key components of the supply chain, challenges, and best practices. It describes the supply chain as involving suppliers, manufacturers, warehouses, distribution centers, and customers. Supply chain management aims to efficiently integrate these entities to minimize costs and satisfy demand. The document discusses challenges like uncertainty and the bullwhip effect. It also outlines the SCOR model as a framework for supply chain collaboration and performance improvement.
The document discusses the basics of supply chain management. It defines the supply chain as including suppliers, manufacturers, warehouses, distribution centers, and retail outlets, as well as the flow of raw materials, work-in-progress inventory, and finished products between these facilities. It also discusses supply chain management as a set of approaches to efficiently integrate these entities to minimize costs and satisfy demand requirements. Key challenges in supply chain management include uncertainty, complexity, and the bullwhip effect where demand variability increases as you move up the supply chain.
This document discusses logistics management strategies and their formulation and implementation. It covers linking a firm's strategy to its logistics strategy, setting logistics goals and making decisions, analyzing logistics networks, formulating logistics strategies including different channel strategies, and implementing and measuring performance of logistics strategies. Key aspects covered include aligning business and logistics strategies, common logistics challenges, and key performance indicators for evaluating service and inventory management.
This document provides an overview of logistics and supply chain management from a presentation given by Thomas L. Tanel. It defines logistics and describes key aspects of logistics like supplier selection, transportation, global distribution, and third party logistics. It also discusses supply chain information systems, data collection, tracking shipments, and performance measurement. The document emphasizes the importance of logistics in reducing costs, improving customer fulfillment and satisfaction, and providing shareholder value.
Exertis SCS Presentation - UL Supply Chain Workshop Jun 22nd 2018Stephen Davis, MBA
This document summarizes a presentation given by Vincent McGrath on supply chain management. It discusses:
- Exertis Group, which provides distribution and supply chain services, managing over $4 billion annually for more than 10,000 employees globally.
- Exertis Supply Chain Services designs and operates materials supply chains to optimize costs, capital, and complexity for clients.
- Trends impacting supply chain management, like offshoring, globalization, cost management, and the use of technology and data analytics.
- How supply chain management can reduce costs through activities like procurement, inventory management, and vendor consolidation while improving information flow and reducing complexity.
The document discusses digitalization and automation of the supply chain. It introduces key enabling technologies like the internet of things, cloud platforms, mobility, and advanced analytics. It then summarizes examples of how companies like Amazon, PostNord, Adidas, and others have increased speed, flexibility, individualization, visibility, and cost efficiency through digitalizing parts of their supply chain. The document also presents Acando's capabilities in supply chain consulting and their approach to helping clients improve processes, organization, and digitalization/IT to create lasting business value.
This document discusses supply chain management (SCM) best practices. It provides an overview of SCM, including key objectives and challenges. SCM integration can provide benefits like increased visibility, cost reductions, and improved service levels. The document also outlines next generation SCM solutions, how to measure SCM success, and how small and medium enterprises can adopt SCM practices. It concludes with an explanation of the Supply Chain Operations Reference model (SCOR) framework.
Achieving operational excellence and customer intimacy. enterprise applicationsSanmugam Marimuthu
This document contains a list of 5 student names and their matriculation numbers. It also contains information about different types of enterprise systems like ERP, CRM, SCM systems and how they help businesses. Finally, it discusses challenges of implementing and maintaining enterprise applications and how organizations are trying to extend the value obtained from these systems.
The document discusses various technologies that can be used to improve supply chain management processes, including e-procurement, electronic reverse auctions, procurement cards, inventory management systems, transportation management technologies, warehouse management systems, and the system development life cycle. It warns against simply automating existing inefficient "cow path" processes and provides tips for successful implementation of new technologies to streamline operations. Key technologies are described along with typical benefits observed, such as cost reductions from implementing e-procurement systems.
This document discusses supply chain risks and disruptions that chief supply officers need to develop countermeasures for. It notes numerous risks around the world that have impacted supply chains, from extreme weather to political instability to labor issues. Globalization has increased supply chain complexity while improving cost efficiency, but with greater fragility. Risk visibility is often lacking in sub-tiers of the supply chain. Disruptions can have significant economic impacts on companies.
The document discusses how evolving consumer behaviors driven by digital technologies are impacting demand planning and forecasting. Key points discussed include:
1) Global e-commerce sales are growing significantly each year and more purchases are being made online.
2) Consumers now have more touchpoints than ever to research and shop across different devices, and digital factors influence over half of purchase decisions.
3) This creates challenges for retailers around supply chain visibility, omni-channel order fulfillment, and meeting direct-to-consumer demand and return volumes.
4) In response, retailers are expanding SKU selections, improving inventory accuracy, building direct-to-customer fulfillment capabilities, and partnering with 3PL
Fruit Logistica 2016 Logistics Hub Session 10 linDanie Schoeman
The document discusses the challenges of meeting consumer demands for "anything, anywhere, anytime" in the fresh produce sector. It identifies key issues retailers face like lack of supply chain visibility, inability to optimize order fulfillment locations, and supply chains not being designed for direct-to-consumer shipping volumes. The document also examines consumers' and retailers' preferences around order fulfillment methods and finds that while consumers prefer in-store/locker pick-up, retailers are over-invested in delivery fleets and missing opportunities with locker systems.
Fruit Logistica 2016 Logistics Hub Session 4 linDanie Schoeman
This document discusses trends in e-commerce and the implications for perishable goods logistics. It notes that e-commerce is growing rapidly worldwide, especially in the US and China. Younger generations like Millennials and Gen Z are more likely to shop online for groceries. Social media influences purchase decisions more for these groups. The document advocates for innovative logistics concepts to meet the demands of emerging online produce markets and a seamless omni-channel customer experience.
Developing a contingency plan and avoiding disruptions from a security breach involves the following steps:
1. Conduct a threat assessment to identify potential risks to the supply chain from security breaches.
2. Identify core business functions and conduct a business impact analysis to understand how disruptions could affect the business.
3. Apply prevention and mitigation measures by researching best practices, utilizing standards for business continuity and supply chain security, implementing supplier oversight and cargo controls, and vetting the supplier base.
4. Implement tests of the contingency plan and maintain the plan to ensure it remains effective over time.
This document discusses the security challenges faced by hospitals and medical centers. It outlines several key issues including workplace violence, budget constraints, active shooters, behavioral health of patients, and theft. Ensuring the safety of patients, staff, and assets requires balancing privacy needs with security. Cyber attacks and insider threats are significant risks. Physical security systems and real-time locating technologies can help address challenges like patient elopement, infant protection, and locating medical equipment. Developing an integrated security management plan that leverages technology and outsourcing non-core functions can improve operations while reducing costs.
This document discusses developing contingency plans to avoid supply chain disruptions from security breaches. It identifies typical supply chain risks such as natural disasters, cyber attacks, cargo theft, and geopolitical instability. The document examines causes of past disruptions and outlines strategies to mitigate risks like conducting threat assessments, identifying core business functions, analyzing impacts, and implementing prevention measures. Developing contingency plans can help companies effectively protect their supply chains and realize benefits like decreased losses, improved continuity, and competitive advantages over rivals.
The document discusses security guarding support and labor relations in South Africa. It notes that crime is a major problem, costing businesses and the overall economy. The private security industry has grown significantly in recent years to address crime, but faces challenges like lack of compliance, casualization of the workforce, and low prices. The future of the industry involves utilizing new technologies like video analytics and CCTV in addition to physical security guards to provide better security solutions.
This document discusses ways to reduce cash transportation costs. It begins by looking at why cash needs transporting and factors that increase transportation costs such as attacks on vehicles transporting cash. It then examines how technology can be used to track cash shipments in real-time and monitor driver behavior to improve efficiency. Finally, it explores future methods for reducing transportation costs such as automated bank machines that deposit cash directly and shopping malls that recycle cash on-site to eliminate risky transportation.
This document discusses the considerations for choosing between centralized and decentralized distribution centers. Key factors that influence the decision include supply chain costs, customer service requirements, competition, technology capabilities, transportation and warehouse efficiency. The optimal number, type and location of distribution centers depends on balancing inventory, transportation, warehousing and lost sales costs. Modern networks typically use a small number of strategic central warehouses combined with regional warehouses and cross-docks to efficiently reach customers through centralized planning and decentralized execution.
This document discusses opportunities for increasing intra-African trade in perishable goods. It notes Africa's rising GDP and consumer spending, as well as the large percentage of arable land and growing urban population on the continent. Fresh produce supply chains are outlined, and case studies from South Africa examine costs at different points in citrus, apple, and grape export value chains to Europe. The benefits of information sharing across supply chains to reduce costs and increase responsiveness are also discussed. The document argues that investing in supply chain collaboration and differentiating capabilities can help unlock the potential of intra-African perishable trades.
1) Cost-cutting along fresh produce supply chains can undermine resilience if not approached strategically. Supply chains need flexibility through variable cost models, global networks, and responsiveness.
2) Leading supply chains focus on minimizing category 1 costs while protecting investments in talent (category 2) and strategic initiatives (category 3) that drive profitability.
3) Building flexibility through collaboration and agile practices allows supply chains to adapt to volatility without resorting to unsustainable cost-cutting. Leaders invest in capabilities like visibility, complexity management, and sustainability.
This document discusses collaboration in the fresh fruit supply chain. It begins by defining collaboration and providing examples. It then discusses why companies collaborate, considering both shared and conflicting goals. It examines the types of partners companies may collaborate with, such as customers, suppliers, competitors, or non-competitors. The document also explores different models of collaboration, such as one-to-one or many-to-many relationships. It provides a schematic of the fresh fruit supply chain and asks which role readers play within it. Finally, it discusses enablers and forms of both vertical and horizontal collaboration within supply chains.
Here are three things I hope to achieve:
1. Provide insightful analysis and recommendations to help address logistical constraints in Sub-Saharan African ports and their hinterlands.
2. Facilitate productive discussions on how to improve infrastructure like roads, railways, and cold storage to better connect ports and regional markets.
3. Offer a balanced perspective on opportunities and challenges with growing trade and investment from countries like China, considering both economic benefits as well as need for responsible partnerships.
This document discusses global supply chains and trade issues in Africa. It notes that the 2008 financial crisis revealed the interconnectedness of the global economy and reliance on global value chains. It also discusses challenges to enabling trade in Africa, including complex customs procedures, high trade costs, and unpredictable clearance times. The document analyzes differences in trade connectivity and enabling factors between country groupings in Africa, finding that diversified economies generally have stronger liner shipping connectivity and trade environments than other country classifications.
The document discusses using business drivers and economic indicators to help companies plan for and adapt to changing market conditions. It explains that leading indicators can help predict future economic trends, while coincident indicators show current conditions. The document advocates using a combination of leading indicators as a "proxy for aggregated demand" to help forecast business performance through changing economic cycles. It provides an example of using multiple regression analysis on leading indicators to successfully project demand and commercial share price trends.
This document provides an overview of developing resilient supply chains for the African consumer market. It discusses trends that will shape the African consumer market over the coming years, including the emergence of a middle class with discretionary income, a predominantly mobile digital consumer, a focus on value and saving money, a young and fast-growing population, urbanization and the rise of cities, and Africa's potential as a global food supplier. The size and growth of the African consumer market is significant and supply chains will need to adapt to its unique characteristics and trends to succeed.
The challenge of ensuring secure clinics and hospitals for patients and staffDanie Schoeman
This document discusses the key security challenges facing hospitals and medical centers. It identifies several top concerns, including workplace violence, budget constraints, active shooters, and patient behavioral health issues. The document also examines specific risks in areas like pharmacies, pediatric units, and patient safety. It evaluates data on common security threats such as theft, assaults, and cyber attacks. Finally, the document outlines several solutions that hospitals are implementing, such as integrated security systems, real-time locating technologies, and outsourcing of non-core services.
1) Cost-cutting measures alone are not an effective strategy for managing supply chain costs during volatile times. A holistic approach focusing on both cost reduction and strategic investments is needed.
2) Leading supply chains build in flexibility through variable cost models and agile practices to respond rapidly to changing market conditions.
3) These companies protect expenditures on talent and strategic initiatives that drive profitability and competitive advantage. Focusing solely on short-term cost-cutting can undermine long-term performance.
2. 2% 4% 6% 12% 14% 16%8% 10%
Integrate our logistics functions
Train and up-skill staff
Redefine our supply chain
Improve flexibility & agility of the supply chain
Improve information visibility
Improve collaboration in the supply chain
On-time deliveries
Ensure on-time outbound deliveries
Ensure on-time inbound deliveries
Decrease lead times
Improve asset utilisation
Improve service offered to customers
Reduce out-of-stocks / increase shelf avail.
Reduce investment in inventory
Lower outbound transportation costs
Lower warehousing and distribution costs
Lower inbound transportation costs
Lower sourcing and procurement costs
Other
0%
Supply chain objectives for the next year
1%
4%
8%
1%
3%
14%
2%
7%
3%
6%
6%
8%
5%
10%
3%
6%
1%
4%
6%
Retail:
CEOs, MDs and GMs
The response is at last strategic
3. 2% 4% 6% 8% 10% 12%
Aligning our skills to meet the sc strategy
Skills and capabilities of our supply chain staff
Integration of our IT systems
Information integrity and access
Capabilities of our existing IT systems
Redefining our supply chain
Creating sc collaboration opportunities
Achieving a common supply chain vision
Our planning and forecasting capabilities
Benchmarking & auditing our sc performance
Integration of our logistics functions
Finding suitable outsource partners
Our warehouse management capabilities
The diverse needs of our customers
The increased complexity of our supply chain
The increased volume in our supply chain
Our distribution network
Our sourcing and procurement practices
Other
0%
Challenges to meeting the supply chain objectives
8%
2%
3%
3%
1%
7%
11%
11%
3%
5%
8%
2%
6%
5%
3%
10%
6%
3%
4%
Retail:
CEOs, MDs and GMs
The response is at last strategic
4. 2% 4% 6% 12% 14% 16%8% 10%
Supply chain objectives for the next yearRetail:
SCLMs
Integrate our logistics functions
Train and up-skill staff
Redefine our supply chain
Improve flexibility & agility of the supply chain
Improve information visibility
Improve collaboration in the supply chain
On-time deliveries
Ensure on-time outbound deliveries
Ensure on-time inbound deliveries
Decrease lead times
Improve asset utilisation
Improve cash flow
Improve service offered to customers
Reduce out-of-stocks / increase shelf avail.
Reduce investment in inventory
Lower the costs of selling
Lower the costs of manufacturing
Lower the costs of direct purchases
Lower the costs of forwarding & clearing
Lower outbound transportation costs
Lower warehousing and distribution costs
Lower inbound transportation costs
Lower sourcing and procurement costs
Other
0%
4%
3%
8%
8%
4%
10%
4%
1%
2%
5%
3%
2%
12%
10%
5%
0%
2%
1%
0%
3%
6%
0%
4%
2%
The response is at last strategic
5. Availability of skills development programmes
Aligning our skills to meet the sc strategy
Skills and capabilities of our supply chain staff
Integration of our IT systems
Information integrity and access
Capabilities of our existing IT systems
Redefining our supply chain
Creating sc collaboration opportunities
Achieving a common supply chain vision
Our planning and forecasting capabilities
Benchmarking & auditing our sc performance
Integration of our logistics functions
Finding suitable outsource partners
Our warehouse management capabilities
The diverse needs of our customers
The increased complexity of our supply chain
The increased volume in our supply chain
Our distribution network
Our sourcing and procurement practices
2% 4% 6% 12% 14% 16%8% 10%
Retail:
SCLMs
0%
Challenges to meeting the supply chain objectives
4%
3%
2%
8%
4%
7%
13%
12%
1%
5%
1%
7%
11%
3%
1%
4%
2%
5%
5%
The response is at last strategic
6. Retail:
SCLMs
0% 5% 10% 15% 20% 25% 30% 35% 40%
How aligned is the supply chain strategy to the business strategy?
13%
27%
40%
3%
17%
There is no formal
supply chain strategy
Not aligned to the
business strategy
Partly aligned to the
business strategy
Mostly aligned to the
business strategy
Fully aligned to the
business strategy
Don’t know 0%
The response is at last strategic
7. The story begins …
The first Hi-Fi Corporation store opened its doors in
Wynberg, Sandton some 10 years ago and the entire stock
holding was sold out within a week.
The Hi-Fi Corporation success story had begun.
9. Background
• The importance of being Hi-Fi Corp
One of 11 chains in the group
Represented 29.3% of JD Group sale of merchandise
• Growth that Hi-Fi Corp experienced
216% growth in 1 year
• Network
South Africa – 15 stores
Namibia – 1 store
Botswana -1 store
• Prevailing retail culture
Can do
Work with what you have
11. Start where it matters
• The Customer
• Customer experience
Cluttered, unorganised, congested look and feel
Daunted by the queues (adds to congestion)
• To get in
• To get served in each department
• To pay
• To collect purchases
• To exit
• To hand in faulty product
• To fetch faulty product
The price is good though
Overall customer service experience not good – people don’t
want to come back
12. Why was this?
• Poor customer experience due to the following supply chain inefficiencies:
Poor space utilisation
• Congested, cluttered business unit (inventory up to ceiling) – the business unit is used
as a warehouse
• Inefficient picking at business unit storage area due to congestion (customer waits long)
• Frequency of replenishment & size of replenishment order
• Total push system vs. selective new product introduction
Lack of speed
• Ineffective network
• Ineffective inbound logistics (local)
• Inefficient information management/ lack of IT systems
• Frequency of replenishment
• Inefficient transportation management
Stock out
• Inefficient inventory management/deployment
• Poor supply chain visibility
13. The Supply Chain was stretched to
its limit and was going to fall over …
The plane was going to crash …
20. Scoping
& Visioning
Develop
Concept
ual
Design1.5 months 1.5 months
Gain buy-
in from
shareholders
Detail
design &
Implementati
on1 month detailed design
“As-is”
Analysis
Phase 1 Phase 2 Phase 3 Phase 4 Phase 5
1.5 weeks
Continuous
improvement
Phase 6
1st big
milestone
2nd big
milestone,
phased
approach
ongoing
Project management
Change management
7Mar‘05
EndSep‘05
20Jun‘05
The process followed
21. What did the team do?
• A detailed “as-is” assessment was conducted,
focusing on the following elements:
Company strategy
Supply chain strategy
Buying
Inbound transport
Warehousing
People (Supply chain)
SCOR best practices
Ishikawa diagrams
Detailed “as-is” process maps
Outbound transport
Stores
Returns
Technology
Inventory optimisation
Network mapping
• Detailed process maps, clearly indicating
gaps were drawn up to create the foundation
for conceptual new solutions.
• Information were gathered through site visits
& interviews
Time & motion studies
detailed“as-is”
S T O R E M A K E S T O R E S E L LM O V EM O V EB U Y
tools & methodologies
Strategy alignment
Cause-and-Effect Relationships between Strategic Initiatives of Hi-Fi Corporation
CustomerBusinessProcessLearning&GrowthFinancial
Sustainable revenue
growth
Customer value
proposition
Effective capital
management
Stable growth in
profits
Cost effective
electronic product
retail company
Maximise long-term
shareholders value
Efficient procurement
processes
Efficient warehousing
& distribution
Excellent business
unit execution
Effective category
management
Lowest price
Widest product range
Provide quality
products
Aggressive market
communication
Market research &
intelligence
Competitive products
Empowered &
competent staff
Employ and retain
competent people
Training in areas of
strategic importance
Best practice
performance
management
Dominant market
share
Great customer
buying experience
Product knowledge of
sales staff
Product research &
intelligence
Sales staff
competence
Buying strategies
Tracking currency
exchange rates
Knowledge of world
suppliers
Negotiating skills
Effective
merchandising &
display
Category specialist
Identify the quality
branded products
“Develop” house
branded products
Category
specialist strategic
stock management
Positioning of
products
Peace of mind
guarantees
Optimum product/
revenue mix vs space
Good supplier
relationships
Effective
communication lines
Establish Hi-Fi Corp
culture
Strategic store
positioning & location
Great customer
service repair
experience
Efficient service repair
infrastructure
Effective information
processes & systems
Efficient inventory
management
Buying power
(volumes?)
Responsiveness to
the market
Up-selling strategy
Store has warehouse
look and feel
Import capability
Efficient
replenishment
High brand image
Effective buying
structure
Expand international
supplier base
Service staff
competence
Efficient, low cost
administration
Cost effective,
demand driven
distribution system
Aligned organisational
structure
Efficient buying
business processes
Efficient inbound
logistics
Efficient
transportation
management
Effective S&OP
Efficient order
management
Effective financial
management
Build IT & S capability
& awareness
Information capturing
sharing & usage
E-commerce channel
Effective & Efficient
Supply Chain Strategy
Revenue Growth Strategy
Guarantee
Succession planning
Business Unit
Service
Receiving
Sales
Congestion
Queuing
First Impression
Amount of stock on floor
Movement of stock on trolleys
Current skill set
Sales persons personality
“Clubbing seals”
No focus on add-on sales
Queuing for purchases
in alternative departments
Excessively long queues
TV licenses
Assistant has to locate goods
Lack of staff
during peak periods
Position of Service desk
Lack of communication
Time consuming
Customer returns
to POSLocal suppliers collection frequency
Retail space to store repairs
Double handling
of unprotected stock
Duplication of administration
Space Constraints
Customers abandon items
Stores do not define requirements
No demand forecasting
Push distributed
Bulk received
Lack of delivery visibility
Non logistics people involved
in logistics activities
Salesmen offload and barcode
No shelving
No logical allocation of product to areas
Daily Stock Takes
Salesman conducting
logistics function
Product layout
hampers counting
People
Process
Inventory
Management
People
Layout
Process
Inventory
Management
People
Inventory
Control
Visibility
Inventory
Management
People
Ineffective
NetworkInventory
Management
Complex
scheduling tools,
warehouse
management,
customer service
performance
measures
Scheduling tools,
performance
management
Workflow
management, Fixed
vehicle scheduling
Basic route
scheduling
carrier
management
Limited /
Reactive
Delivery
Projected workflow
planning, work
standard setting
Solid core of flexible
staff with OT/Casuals
Multi-skilling with
house keeping to
balance time
Limited work
standards with
task allocation
FewOrder Picking /
Preparation
Comprehensive
warehouse
management
Warehouse
competence and
multi-location
environment
management
Location
management and
workflow Planning
Basic procedural
skills,
warehouse
management at
base level
FewReceive and
Store Products
at DC
Comprehensive
supply chain
engineering
expertise
Modeling, what if
skills, business
impact knowledge
Understanding of re-
order point, fixed
cycle and pareto and
inventory profiling
Cycle stock /
safety stock
basic statistics
LimitedMaintain /
Manage DC
Inventory
Strategic planning /
implementation
skills
Comprehensive
workflow analysis /
Prediction
Workflow analysis /
performance
measurement
Pareto analysis
– Basic
warehouse
planning
Basic
Warehouse
/ MHE
Warehousing
Management
ExcellenceCompetenceUnderstandingAwarenessInnocenceSkills Matrix
Complex
scheduling tools,
warehouse
management,
customer service
performance
measures
Scheduling tools,
performance
management
Workflow
management, Fixed
vehicle scheduling
Basic route
scheduling
carrier
management
Limited /
Reactive
Delivery
Projected workflow
planning, work
standard setting
Solid core of flexible
staff with OT/Casuals
Multi-skilling with
house keeping to
balance time
Limited work
standards with
task allocation
FewOrder Picking /
Preparation
Comprehensive
warehouse
management
Warehouse
competence and
multi-location
environment
management
Location
management and
workflow Planning
Basic procedural
skills,
warehouse
management at
base level
FewReceive and
Store Products
at DC
Comprehensive
supply chain
engineering
expertise
Modeling, what if
skills, business
impact knowledge
Understanding of re-
order point, fixed
cycle and pareto and
inventory profiling
Cycle stock /
safety stock
basic statistics
LimitedMaintain /
Manage DC
Inventory
Strategic planning /
implementation
skills
Comprehensive
workflow analysis /
Prediction
Workflow analysis /
performance
measurement
Pareto analysis
– Basic
warehouse
planning
Basic
Warehouse
/ MHE
Warehousing
Management
ExcellenceCompetenceUnderstandingAwarenessInnocenceSkills Matrix
Skills capability
assessment
13. Business Unit Sales Process
BusinessUnitMarketing
No
Yes
13.11
Delivery?
13.9
Customer
Interaction
13.14
Closing the Sale
13.4
Sales
Presentation
13.8
Queuing
13.17
Goods moved to
the customers
vehicle if
required
13.15
Customer
Receipt of
Goods
Purchased
13.17
Security check
13.16
Product moved
to conveyor belt
or to the exit
13.5
Add-on Sales
13.3
Greeting
Process
13.10
Processing of
Sale
13.7
Customer
moves to Pay
point
13.2
Walk In
Customer
13.6
Sale Closure
13.13
Delivery of
Customer
Goods
13.12
Delivery
documentation
sent to despatch
for delivery
13.1
Marketing
Ref Process Process description
Responsible
(designation)
Department System Issues
13.1 Marketing
Advertising through various
forms of media, including
Television and literature
Executive Marketing -
13.2 Walk In Customer
Through security and into
store departments
- Business Unit -
13.2.a First Impression - staff & security
greeting
13.2.b Amount of stock on floor
13.2.c Movement of floor stock on trolleys
13.3 Greeting Process
Salesman acknowledges the
customer and offers
assistance
Salesman Business Unit -
13.3.a Lack of customer acknowledgement.
13.3.b Lack of sales personnel.
13.4 Sales Presentation
Asking the right questions,
establishing the needs of the
customer and up-selling
Salesman Business Unit -
13.4.a Customer needs aren't clearly identified.
13.4.b This may be related to current skill set
and personality of sales persons.
13.4.c “Clubbing seals”
13.5 Add-on Sales Including guarantees Salesman Business Unit - 13.5.a Attention is not focused on this activity.
13.6 Sale Closure Includes writing the sales slip Salesman Business Unit Retailman
13.6.a Queuing for purchases in alternative
departments
13.7
Customer moves to pay
point
With or without additional
purchases
Customer Business Unit -
13.8 Queuing process Customer queues to pay - Business Unit -
13.8.a Excessively long waits when business
unit is busy
13.9 Customer Interaction Greeting POS Clerk Business Unit -
13.9.a Satisfactory greeting’s are neglected
when business unit is busy
13.10
Processing of Sale
Completion of the required
documentation, clearing
payments and processing
payments.
POS Clerk Business Unit Retailman
13.10.a Required to create copies of
documentation leads to time delays
13.10.b TV licenses delay the entire customer
queue
13.11 Option to deliver goods Decision by customer POS Clerk Business Unit Retailman 13.11.a Delivery is not utilized to full extent
13.12
Delivery documentation
sent to despatch for
delivery
POS Clerk Business Unit Manual
13.12.a Potential bottleneck if delivery
requirement increases
22. The Solution that was implemented
[ Provide details of the solution selected and detail requirements to address the problems or challenges to achieve the goal or
strategic objectives]
• Implementing the Barloworld Logistics
inventory optimisation methodology, using
the Just Enough software (JD group license)
• Reduction in inventory
• Changing the buyers’ behavior
• Visibility of stock
• Improve availability of stock in stores
• Performance indicators
• Optimised replenishment cycles
• Improved store layout & customer buying
experience
• Time & motion studies were conducted to
highlight the bottleneck areas, and built a
simulation model to measure flow of store
and simulate different experiences
• Applying warehousing principles in the store
• Solutions retained the “warehousing” look &
feel
• Through optimised inventory, no more
unnecessary stock at stores
inventory optimisation improving the customer experience
optimal CDC operation
• Detailed design & process flows of new facility
• Racking & material handling equipment
• Systems (WMS, scanning)
• Bin locations
• Safety & security
• Loading / off-loading area
• People
• Performance indicators
• Product classification (fast vs slow moving)
systems
• Inventory optimisation (Just Enough)
• ERP (Dolfin) – customer preferred option
• WMS & scanning technology (Range Gate)
Biggest challenge was the availability of key leadership to ensure buy-in as we develop the solution &
implement. Strong project management & leadership from JD Group assisted hugely in managing this
risk.
supply chain strategy
• Concise conceptual design (“to-be” vision) at the
end of the “as-is” analysis
• A journey map reflecting implementation
sequence
29. Results
• Inventory optimisation
In the initial period, distribution levels halved while excess
inventories within the stores were being consumed
Improvements
• Reduction in stock on hand by 12%
• Reduction in shortfall by 35%
• Reduction in potential stockouts by 41%
• Increase in availability by 3.7%
• The new logistical solution
Growth of the business is 3 years ahead of plan
The solution still holds firmly
Enables Hi-Fi Corp to rapidly open new stores
Provides Hi-Fi Corp with an competitive advantage
31. Key Learnings
• JD Group strategic insight and commitment from leadership to conduct a
comprehensive assessment of the “as-is”, and jointly develop a “to-be” solution that
will address the business need. It pays off to invest in detailed analysis and
design!
• Client’s commitment to implement solutions and reap the benefits before the next
peak trading period
• Strong project management disciplines. Apart from having a comprehensive
integrated project plan, project risks were closely monitored on a weekly basis and
resolved as a priority
• Contracting the Barloworld Logistics expertise to develop a supply chain that is
flexible, agile & create the foundation for growth
Provided focus throughout
New concepts and challenge old habits
• Success in the combination of Barloworld Logistics supply chain expertise and Hi Fi
Corporation operational reality
• Successful application of appropriate technology as an enabler vs a driver
• Entrenchment of the inventory solution through ongoing Barloworld Logistics support
through an extended period
• Thorough investment in setting up KPI’s ensured correct behavior and sustainability
of solution
• Win-win engagement from start to end