What will the Supply Chain be like in the year 2020? In the evolution of supply chain, people, process and technologies must be aligned correctly to achieve maximum results, and leaders must connect the dots to ensure supply chain becomes more market driven.
The benefits of a multi-echelon approach to inventory are always convincing. So then why is multi-echelon inventory adaption so slow to catch-on? Dr. Bram Desmet explores single-echelon vs. multi-echelon inventory approaches, and some of the reasons behind the slow rate of multi-echelon inventory adoption.
In one of my previous posts, I wrote about using coefficient of variation (CV) as a predictor of forecastability. In this post, I will talk about how it can be used to indicate a sensitivity of lead time towards the safety stock calculations. To quickly remind the reader first: The formula for CV = StdDev
Last post, I discussed in some detail the concept of cycle service level and how it works in the retail or a B2C environment. This week, let me take up the case of a business in a B2B environment. Typically, in a B2B environment, the orders are placed in bulk over the phone or the
Most businesses would put high customer service as one of their top business priorities. While there are many different things that make up the overall customer experience, one of the key performance indicators (KPIs) that companies measure is the timely delivery of goods to the customer. In safety stock calculations, this is typically an input
In the simplest inventory situation, the only variability is in the quantity of demand for a single day. There is no trend up or down or seasonal effect. The demand today is independent of the demand for tomorrow. Additionally, we will assume replenishment time is zero. That is when we place an order for additional