What is the right S&OP Frequency?

Timpani Drum

In the plants I worked in, I started orchestrating S&OP processes in the late 80s/early 90s. I always considered that it should be a monthly process – without necessarily asking too many questions. In a factory, it’s natural to have reviews for each shift, daily, weekly, and monthly. A yearly budget, possibly a quarterly review. … Read more

Why use an averaged forecast?

Ball on top of hill

To make use of forecasts in a conventional MRP system, you generate supply orders, called planned orders, that align perfectly with the timing of these forecasts. The example below is a consumer item – a drink. Sales of this item are driven by seasonality and promotions. Understanding Seasonality and Promotions When analyzing the sales of … Read more

Supply Chain Transformation: Top-down or Bottom-up?

Choosing to go up or down?

The need to make manufacturing and distribution operations more agile and resilient is no longer in question. How to do it is another matter. In global companies, ambitious transformation projects are emerging, often with two opposing approaches. Or it is a group program, initiated by the general management, led by a central team, with a … Read more

Flow and quality batches: innocent, suspect, and guilty

Super villains being processed

In a factory, the relationship between Supply Chain and Quality teams can be tumultuous… Quality hold manufacturing batches – put on hold for inspection or rework – queues on key test equipment, release times, all this generates waiting, delays, when we are already in a hurry… Everyone agrees we must ensure that we deliver defect-free … Read more

Minimum Orders | The Hidden Side of Stocks

Minimum defined in the dictionary

Do you know how minimum orders, minimum production releases, and transfer batches affect your distribution network? As a supply chain professional, it’s essential to understand the impact of lot sizes on your inventory, lead times, and ability to deliver to your customers. In this article, we’ll explore how to visualize the impact and adapt to … Read more

Projecting Inventories in Times of Uncertainty: How to Optimize Your Strategy

Question mark in blocks

We know that the future is uncertain. Actual demand will differ from forecasts. Supplies and production will be subject to uncertainty. Therefore, projecting inventory carries significant uncertainty – as we described in this article, projected inventory is an illusion. In today’s uncertain business environment, projecting inventory is a challenging task. While Enterprise Resource Planning (ERP) … Read more

The Difference between Pull Flow and Just-in-Time Explained

Rope on the verge of breaking

There is sometimes confusion when we talk about pull flow. When it comes to pull flow, there is often confusion with just-in-time supply chain management. In this article, we’ll define pull flow and just-in-time and explain the difference between the two. We’ll also discuss the importance of implementing buffers in a pull flow model to … Read more

Supply Chain Analytics – What is it?

Business Intelligence Scrapbook

The Importance of Data Science and Business Intelligence in Supply Chain Management Data science and business intelligence are key to managing the supply chain. These gimmicks are all around us in this environment. But the reality in companies is far from being as convincing as the introduction of technologies would have us believe. Effective supply … Read more

It’s Cool to be “Obsolete Before Plateau”

Breaking News old TV

Do you know the Gartner Hype Cycle? The Gartner Hype Cycle is a widely recognized concept that describes the panorama of technology and IT innovations in a field. It takes into account the hype generated by these technologies and their effectiveness and results for companies that adopt them. This curve, quite similar to the Kubler-Ross … Read more

Succeed in Your Supply Chain Digitalization

Digital Puzzle Pieces

Decouple ERP, Best of Breed and Low Code Digitizing the management of the supply chain is on the agenda of companies. By which end to take the subject, which functional domains to focus on, and which technologies to use, everything gets complicated when trying to start the process. There is a plethora of solutions on … Read more

Value and Limits of Supply Chain Certification Courses

sc certif

We sometimes arrive at Supply Chain jobs in a roundabout way. Initial training in Supply Chain has developed over the last few years, but very often the actors of the supply chain teams – planners, managers, or directors – have different initial training. In these teams, we find defectors from production, purchasing, foreign language specialists, … Read more

Planning under (not too many) Supply Constraints

Gears grinding thru a constraint

This is often the promise of APS systems: to take into account constraints – capacity, material supply, grouping campaigns, and optimizing costs. AUTOMATICALLY! Depending on the capacity and shift pattern of each piece of equipment, depending on the day we should receive that bloody critical missing component, we determine how we will be able to … Read more