The Infosys global supply chain management blog enables leaner supply chains through process and IT related interventions. Discuss the latest trends and solutions across the supply chain management landscape.

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December 04, 2008

Outsourcing in supply chain – a unique way to deploy global supply chain programs

This is based on my recent project experience with one of the leading networking companies in US, which is running its strategic supply chain performance improvement initiative globally. Usually, companies tend to implement such initiatives as a pilot for a select few customers and markets and once the pilot is run for a certain period of time, it is rolled out to other areas incorporating learnings from the pilot phase. The rolling out of such strategic initiatives to all the markets globally is imperative to achieve the desired financial benefits, finally leading to revenue and profit growth.  The key is the global execution that becomes a real challenge in a global scenario, especially when it demands a significant amount of investment in terms of time, cost, talent and effort from teams located regionally.

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November 13, 2008

Good and bad news in Supply Chain improvement programs

I have had several discussions with clients and prospects in the last few weeks regarding their supply chain related transformation initiatives.  Despite (or perhaps driven by) the macroeconomic challenges, most of the companies I have come across are moving forward with such transformation initiatives.  It’s possible that there’s a sampling bias here and I may only be in touch with those companies that are actively pursuing a supply chain related transformation program.  Irrespective, I consider that the good news.

However, as you might have guessed, there’s some bad news too.  Let me illustrate the bad news with a specific example of a client that I recently met.  This is a large F100 class company with a well-known track record in supply chain excellence. The client organization is expanding in new markets and channels and is clearly hurting in the supply chain aspect of that expansion.  The challenges exist at multiple levels – strategic issues of where/how to compete at one end and tactical issues of supply chain execution at the other.  The challenges the client organization faces are, however, so significant that the organization seems completely consumed by it.  Each individual seems to have their own view of what the #1 issue is.  There doesn’t seem to be a clear prioritization based on shareholder value (or similar metric) and no clear roadmap that helps resolve the various perceived #1 priorities.  So the bad news is that some clients are finding themselves in a situation of panic where “we are so busy that we don’t have time to prioritize”.  Are you seeing a growing sense of ‘do something’ panic around you?

November 11, 2008

SCM in a time of downturn

With recession fears taking over large swathes of economy and the new mantra - actually pretty old really - being "cash is king", how would this impact SCM as a domain? There’s a fundamental business angle to this and then there’s an IT program/project side to the story as well. At its core, SCM needs to look at three constituents, suppliers at one end (including the folks toiling for you in the intermediate chains), customers at the other end (retail or B2B across various channels) and the partners through the supply chain, primarily your logistics providers (the movers).

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November 05, 2008

Are Green Supply Chains here to stay?

After doing a deep-dive into the procurement professional’s role in green supply chains in my previous post, I cannot resist but take a step “up” to offer my view on whether Green supply chains are here to stay

I have come across several voices, discussions, posts and opinions that speak about the “falseness” of this entire green movement. That companies are resorting to green initiatives not because of their new found love for environment but instead, are suavely marketing their cost cutting initiatives under a green cloak to win some social brownie points. Compounding this situation is the fact that some companies are blatantly misleading the public on their green campaigns (Terrachoice, an environmental marketing agency, in a survey on green claims of six category leading big-box stores reviewed 1018 products and found all, except one, making a claim that mislead audiences).

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September 30, 2008

Do the Supply Chain improvement projects justify the investment?

While I’m not aware of a precise estimate, I’m sure that several billion dollars are invested each year in hardware, software, and services by companies across industries – manufacturing, distribution, retail, utility services, and others – to improve their supply chain performance.

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September 24, 2008

Hasn’t it always been about sustainability

If I were “environment”, I wouldn’t have had it better. At-least not since the dawn of the industrial revolution. The two words - “environment sustainability” - have been in circulation like never before (thanks, I must say, to the humongous success of the award winning documentary “An inconvenient truth”). No wonder then that a Google search gives more than 3.3 million results.

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September 23, 2008

CIO's view of Integration of Supply Chain Applications

Very recently I had the good fortune of having an hour long conversation with CIO of one of our very reputed client organizations. The organization is a leading 10 billion USD+ entity with an illustrious history in the area of Imaging. The client organization has 3 concurrent tools for forecasting used by different internal businesses, a few mainframe applications involved in doing factory level production planning and SAP's evolving solution in the area of supply chain in general. The organization has thus lived and evolved with its supply chain landscape starting all the way from mainframe applications, to best-of-breed and now ERP II planning applications.

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September 20, 2008

End2End SCM can go deeper than the just functions

Last week, I was at the IBM Consultants & System Integrators (CSI) conference at Goa, a wonderfully event-managed event where to my utter delight, even verbose senior folks were brutally cut down from their loquaciousness by the time-keeper's flag. I was invited since Enterprise Asset Management (EAM) is one of the domains I head in my portfolio here at SCM practice. IBM, as many of you would know got into EAM in a big way post acquisition of Maximo app from MRO software. But this post is less on EAM and more on a topic I'm thinking and reading up a little bit these days - end2end SCM and more specifically - why should it just remain at a domain level and not be inclusive all the way down at a deeper infra level?

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September 01, 2008

Energy Sector and the Supply Chain

Demand and Supply go hand-in-hand. One would be forgiven to associate such a statement with best-in-class supply chain supported by best-in-class IT support systems. This could be a distant dream for few other aspirants. However what I am referring to is the not-so-obvious-but-omnipresent power sector.

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The advent of "on-demand" SCM

 Of late, I’ve been noticing an increasing appearance of the term “On-demand SCM” in the web-world. Inscrutable as it sounds the first time, what got me thinking was the obvious overlap in most articles between SCM as a function as SCM as a collection of IT systems. Standing behind the many wonders of IT-enabled supply chains (and being completely blinded of everything else), we may be forgiven (or burnt-at-stake, depending on who you're asking) for assuming SCM equals SCM apps/integration (Akin to arguing that “child is INDEED the father of man”!)

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SaaS aka Hosted : I think, thats where everyone's heading, how apprehensive do consultants feel?

....everyday, i get 4-5 articles, saying -("A" is looking at Hosted) ("B" is already performing on hosted)  & for ("C" its hosted, all the way), i really wonder if thats the way ahead for product companies to have that "Non-Linear growth pattern", but if everyone goes the hosted way does this mean that, no more consulting, no more consultants

Is the future just going to work in a way "that customers give master and related data en routed through secure VPN's to get businesses running in future, will there still be Business Blueprinting" will there ever be a necessity for consultants to help customer's adapt to Products, still bringing in their domain expertise to mash the product to suit their requirements", will the services companies merge with the product companies, Will there ever be any work for consultants any more, read more.....

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