Tag Archive: disruption

What is at the Cross-Section of Success?

March 4th, 2019

In thinking about the tours and events in which we’re recently participated, spoken or led, the audience represented a great cross-section of manufacturing and logistics industries, as well as company size:

  • Professional Women in Healthcare – spoke on the Amazon Effect
  • Aerospace & Defense Forum – spoke on the resilient supply chain
  • Anti-seminar themed Executive Luncheon – was a panelist on the topic of increasing demand
  • CSCMP state of the industry event – listened to the president of CSCMP discuss the latest statistics and timely topics in logistics
  • ProVisors manufacturers and distributors event – featuring a City National Bank expert discussing an economic forecast
  • The Founder of the UGG brand – talking about how he created the UGG brand and grew the company from the back of his van to what it is today
  • Tours of UPS, Amazon, Pacific Mountain Logistics, Shamrock Foods, Goodwill, Lifestream, ESRI and more.
  • Meetings with 9 academic institutions in the Inland Empire and surrounding areas
  • Harvey Mudd executive roundtable event –  M&A and preparing for sale
  • Webinars with APICS-IE on IoT and with the Society for the Advancement of Consulting on overcoming obstacles, leveraging PR and more.
  • And more…

So, what is at the cross-section of ALL of these tours, events and/or interactions?

The need for a resilient end-to-end supply chain!

What is in common is the sheer amount of volatility and disruption. Whether the disruptor or the disrupted, entire industries are transforming the way business is done. Some are preparing to have artificial intelligence and automation take over. For example, according to research performed at the University of Redlands, 60%+ of jobs are subject to automation by 2025. Others are dealing with massive benefits or disruption from changes in trade, depending on their role, while others choose to ignore the hoopla and are growing while everyone else is caught up in the chaos! And, this is just the beginning. Trade wars or not, many companies are near-sourcing, and looking at additive manufacturing and vertical integration.

What’s next? If you develop a resilient supply chain, the idea is you don’t have to worry because you’ll successfully navigate disruption to achieve peak performance. Contact us if you’d like to find out how to create a resilient supply chain.

Did you like this article? Continue reading on this topic:

Eagle Eye Strategic Focus

What’s Ahead for Supply Chain?

Collaboration in the Supply Chain

 



Resiliency & Innovation Go Hand-in-Hand

February 22nd, 2019

With the high level of volatility and disruption that is commonplace in today’s business environment, creating resiliency has become a must. What we’re seeing is that creating resiliency and an innovative culture go hand-in-hand. If we find a resilient team, they are also innovative, and if we find one that is fixed in nature, it is very unlikely to be resilient. Do you have an innovative culture?

Innovation is very misunderstood. It doesn’t require “new” in most cases.  It is rare to find something completely new unless you are in certain industries such as the pharmaceutical industry.  Even Apple didn’t create the original idea behind the iPod which has now been incorporated into the iPhone.  It actually came from the Sony Walkman (remember those?). At that time, no one knew they needed to walk around with music. We have come a long way, and Apple has made that easy!

Since the Innovation Awards at the Manufacturing Summit provide a good example of different areas of innovation, I thought it would be beneficial to list them below to spur thinking:

Take a quick look at the video as well which talks to the innovation awards.  Of course, these are just those recognized at the Manufacturing Summit currently (and we are always interested in feedback and ideas).  There are many more categories. Perhaps it will stimulate a few ideas though.

innovation for project successInnovation doesn’t have to be complicated and complex.  What unexpected successes have you had?  Can you find ideas in those?  I just returned from a global consulting strategy group meeting, and one of our members did exactly that to spur one of his companies forward from struggling with intense competition and no way to stand out from them to rapid and significantly more profitable growth.  I am confident that this same type of success can be found in almost every client. Are you looking?

We can help you with that. Contact us if you’d like to discuss further.

 



Holiday Sales are Expected to be UP by Double Digits in E-Commerce

December 17th, 2018

Black Friday has already gotten off to a strong start!  According to Coresight Research, holiday sales are expected to be up by 4% whereas e-commerce will be up 16%!   Target had a goal to hire more than 120,000 people for the holiday season which is a 20% increase. UPS planned to hire 100,000 which is up 5,000 from last year (maybe because they had to spent $125 million extra last year to fix delays because they were short staffed).  And FedEx planned to hire 55,000 additional seasonal workers which was a slight increase from last year (and they expect a record-breaking year).

Is your business seasonal?  What are you expecting? Is anyone in your supply chain focused on seasonal business?  Perhaps you should find out!

What Should We Consider and/or What Impacts Could Arise?
Are you prepared for the holiday season?  I find this is somehow a common issue among clients.  The smartest of clients tend to miss holiday season trends.  For example, I worked with one client for several years and key workers took off during the holiday season for extended vacations every year.  Yet, it seemed to be a constant surprise when we struggled to keep up with demand.  Of course, our customer’s demand didn’t decrease, even in a non-holiday industry. Of course, clients focused on consumer products always struggle to predict holiday sales as you cannot start producing in December! When I worked with Coca-Cola Enterprises, employees only got Christmas day off because holidays were always BIG.  

Think beyond your company.  Given the statistics above, do you think your carriers might be a bit busy during the holiday season?  How about your suppliers that might supply other holiday-intensive industries? Your trusted advisors? No matter the supply chain partner, perhaps a heads up surrounding holiday activity and expectations would be a good idea. Holiday season volatility is another good example of why you should create a resilient supply chain to navigate disruption and achieve peak performance.

Check out our new video and article series as well as our soon-to-be offered Rapid Resilient Supply Chain Assessment service.



Last Mile Has Become Last Minute & the GE Port Optimizer

December 10th, 2018

 

There is no doubt – last mile has become last minute, meaning every customer changes his/her mind.  Whether it is due to consumer preference or supporting an industry that seems rather known (For example, it is clear what will be purchased to build a 737 airplane.  You don’t change that end item at the last minute.), when looking down the supply chain, no matter how clear, it all gets jumbled and becomes “last minute”.  

Thus, the key is to understand where your product is within the extended supply chain, when it will be available and where you sit in terms of the priority customers. There are many strategies to support creating this resilient supply chain including the GE Port Optimizer which is one of the most innovative and expansive technology projects taken on by the ports.  Check out the video on this project:

What Should We Consider and/or What Impacts Could Arise?

The GE Port Optimizer project is an excellent example of the importance of collaboration, the strategic use of data and the impact of the customer experience on creating a resilient supply chain.  Have you thought about how to collaborate with your extended supply chain and related partners for a win-win-win? If you aren’t, your competitor will. Stranger and perhaps smarter yet, have you thought about collaborating with your competitor for a win-win?  

Creating collaborative partnerships of data, visibility and efficiency is a great example of creating a resilient supply chain to navigate disruption and achieve peak performance. Check out our new video and article series as well as our soon-to-be offered Rapid Resilient Supply Chain Assessment service:

 

 

 



Amazon, Uber, Netflix and More…..Disruption is Here to Stay!

November 7th, 2018

Although not an official theme, it was quite clear that disruption was the common theme at the Association for Supply Chain Management (ASCM/ APICS) Annual Conference.

From the keynote speaker, Marc Randolph, one of the founders of Netflix, to almost every executive and thought leader, disruption is top of mind.  Amazon has disrupted retail.  Netflix has disrupted television. Uber is disrupting the transportation industry.  Do you know what disruption is likely to impact your company – and career – next?

Certainly, Netflix is disrupting television and cable currently.  At its roots, it disrupted the video industry.  Blockbuster was a powerhouse when Netflix was getting started.  It was fascinating to hear that discussion!

Marc brought up an intriguing concept – how to disrupt yourself.  To give you the highlights, he discussed three items you need:
1) Tolerance for risk – You cannot wait for full information before you “move”.
2) An Idea – contrary to popular belief, it does not need to be big, new, complex or even good.
3) Confidence.

What Should We Consider and/or What Impacts Could Arise?
Marc’s advice is “right on”.  So, how might you go about it?  For our clients, manufacturing and supply chain organizations, disruption is commonplace.  The key question is how do you have any hope of getting ahead of this instead of being buried by the likes of Amazon and other disruptors?  The answer – create a resilient supply chain!

What IS The Supply Chain?
Let’s start by defining supply chain: your end-to-end supply chain, starting with your customers’ customers to your manufacturing and distribution operations to your suppliers’ suppliers and all connections in the middle such as transportation, systems, financials, processes, and most importantly, people.  This is quite the topic to create a resilient supply chain!

We find that the most successful executives start with their team.  I’ve yet to see happy customers with unhappy employees.  You better start there!

Each person in your business is integral to creating a resilient supply chain!  To learn more about creating a resilient team as well as the rest of your end-to-end supply chain, we are thrilled to introduce our new series, The Resilient Supply Chain: Navigating Disruption.  Achieving Peak Performance

We will be adding articles, videos, interviews/ Q&A with thought leaders and executives frequently so please save this link and join in on the discussion. We are always interested in feedback and requests.