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SUPPLY CHAIN
Chapter I : Supply Chain Visibility
by {Renaud Cochet}
As business consultants in Supply Chain Management, we thought we knew all there was to know about running efficiently
logistics & transportation flows.
But we quickly learned everything we knew was to rethink.
And we’d need to figure out the new business rules that makes a supply chain successful in the internet century.
Here’s what we learned.
We started by asking ourselves the question:
Technology is transforming Supply Chain’s perspective
A lot information is available online or
on dedicated business networks
Various devices mean anyone can
interact with anyone, anytime,
anywhere
Cloud solutions democratize access to
supercomputing
EVERY BUSINESSis vulnerable tocompetition and disruption.
As a result, barriers to entry that have stood for decades are melting away.
This transformation is happening at unprecedent pace, and it’s accelerating.
It’s like Moore’s law has run amock.
Customers expectations have never been higher.
Companies can’t get on the market with a crummy supply chain in all its continuity, at
least not for long.
Great products are not enough, great customer experience is key, from the purchasing idea until the product or
service end-of-life (if there is one to be considered…)
To make the future possible and profitable, you absolutely need VISIBILITY over the chain.
This criteria is not the only one in the path to success, but it helps make decisions and analyze them backwards.
These Supply Chains combine the ability to enable information-sharing VISIBILITY with all parties.
And excel in the way to:1. Optimize inventories2. Activate omni-channel3. Rationalize transportation costs4. Favour Agility5. Improve speed-to-market
The problem is, most Supply Chains today are run to minimize risk, not to maximise innovation and speed.
Information and data is not shared
Their design is a vestige of an era when market was not REALLY global
Gut decision making prevails
the speech relying on data
As a consequence
We still need a lot of collaborative execution through the supply chain actors on various geographies;
We still have complex IT landscapes with commonly several legacies to manage;
And meanwhile
Our network of logistics partners (3PLs, brokers,...) evolves constantly;
We are not always prepared to face major incidents on the chain.
This does’nt work in the internet century
SUPPLY CHAIN
We learned that the only way to constantly improve today is first to achieve visibility across the business networks.
First, you have to GO SOCIAL and unify all teams one step-beyond.
Nowadays, borders are not the company boundaries anymore.
Planning, Order Management, Order Fullfilment and Logistics functions, including their partners should be well connected and “collaborative-enabled”.
Optimization of the full ecosystem is the rule.
This starts with DATA
Because DATA quality matters in the relationships you establish.
In this case IoT can help…
…capture the data
…interpret the (big) data
Analytics…
…act on data!
And finally your (little) fingers…
Don’t base your supply chain transformation on a rigid plan.Instead base it on strategic foundation.
Because the plan will change a lot
The plan is fluid,The foundation stable
Good foundation has 3 main outcomes:
Helps making intelligent decisions and execute easily
appropriate corrective actions
Dashboard and Monitor the
Supply Chain Brain
Enable partner connectivity
(together with a solid integration
backbone)
Learn by doing…
To ultimately focus on what’s mission critical
THRIVE INNOVATION�
RESOLVE UNEXPECTED CRISIS
Ideas can come from anywhere...
...we have one of our 400 offices nearby.
And our commitment is to help you make YOUR IDEAS become reality.
Are you ready ?
cgi.com/en/manufacturing
Experience the commitment!
CGI partners with GTNexus to unblind worlwide Supply Chain:
Many thanks to Google and the Internet pioneers