Supply Chain Planning Blog2021-09-08T19:27:03-04:00

Arkieva Supply Chain Link Blog.

Creating the link between better supply chain planning and decisions.

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RECENT POSTS

RCCP Versus MPS: How Are They Connected? Elixirs and the Wrong Question

A reasonable question supply chain folks often ask themselves is ‘What is the relationship between Rough Cut Capacity Planning (RCCP) and Master Production Scheduling (MPS)?’ However, this is the wrong question to ask oneself. This blog will address the transition from AS to central planning as best practices and demonstrate that with a firm’s due diligence they can make the transition successfully. This is critical for what-ifs and effective use of optimization.

By |September 8th, 2021|Central Planning, RCCP, Supply Planning|0 Comments

Relationship Between Forecast Accuracy and Safety Stocks

A company’s total inventory is built up of many different parts such as strategic stock, anticipation stock, safety stock, cycle stock, unplanned stock. The cycle stock is the one most connected to the demand forecast; it is expected to be sold as the forecast becomes real demand. Safety stock on the other hand is extra stock to deal with the variability of the demand or supply. As such, it is not always linked to forecasting accuracy.

How Forecastable is Your Data?

Having access to an accurate forecast is very beneficial for businesses. If used correctly, it can provide better margins, increase market shares, and many other positive results. At a more tactical level, it can help reduce the costs associated with meeting the customer demand and make the supply chain more efficient.

Sustainability in Supply Chain Planning: In Practice

Integrated Supply Chain Planning is the best way to be sure that you are running your business in a way that is best for your whole business. When you address your energy needs independent of your supply chain planning you can drive up costs unnecessarily and create rework. Industrial gas companies know this better than most because their production process is an extremely energy-intensive one. Keeping energy use to its minimum is a pinnacle of smart sustainable business practices.

Classical Supply Chain Management Confronts its Quantum Revolution – the Path to Rapid Intelligent Response (RIR)

COVID-19 direct and ancillary events have made clear that uncertainty is an inherent part of the demand-supply network structure. Every firm, on a regular basis, faces “risk situations" such as manufacturing excursion, unexpected new demand or loss of demand, component supplier interruption, etc. This has placed risk management and rapid intelligent response (RIR) front and center in SCM discussions.

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