What are the things that, if we could find them, would make Supply Chain Management a whole lot easier? In fact, they are the things for which some of us search our entire careers. Have a look at my list of three. Let me know if you agree or if you have additional holy grails that you seek.
What if we could segment the precision, with built-in connectivity between the segments, rather than forcing the entire operation into a step by step linear process?
We can embrace the complexity and build a system where everyone is judged on the preciseness of their input and their output. Aligning the various complexities along the various steps of a process so that each step is exactly and precisely in line with the preceding and proceeding steps. Sound simple?
What does it mean to be over-qualified? When I was hiring people, I was always eager to find those who may one day replace me or even surpass me. Why would I want to hire someone that was only capable of meeting the current requirements?
During our phone conversation yesterday, when you asked me how long before we could ship our product to you, I went about researching the lead time for our top selling product.
Traditional MRP has become the focus of Buyers, Planners, and Schedulers with input from Sales and Customer Service and output impacting operations, shipping, and logistics.
Years ago, at one of our APICS meetings, we had a meteorologist from a local television station as our guest speaker. I figured it would be interesting, but I never figured that her first words would be like a beacon in the darkness and a goal for which I have been striving ever since.
We all can agree that having the right amount of inventory is valuable. Yet most businesses have too much of the wrong stuff and too little of the right stuff.
Demand Driven MRP results in having the right amount of inventory for strategic parts. Because it creates decoupling points that absorb the variability of the bullwhip effect, I have less surprises regarding inventory. And if I focus on having the right inventory, I can eliminate shortages by only buying the parts I need. At the same time, I can allow the excess inventory to reach its proper level.
