Using a global inventory approach to "fire your inventory" may be much less disruptive than other cost-savings options your company may be considering.
To make multi-echelon inventory optimization more impactful, it must take a more holistic approach that accounts for the implications of inventory decisions on total supply chain costs, for organizational realities and weaknesses in supporting functional areas.
2009 is certainly shaping up to be a difficult year for manufacturers. Tight credit markets, poor consumer confidence and retail sales, along with low manufacturing activity, suggests that overall supply chain investment activity will be reduced and cost-savings activities will be prioritized.
Aberdeen's research shows point-of-sale transaction data from retail locations is still a hurdle for 66 percent of manufacturers. The low levels of transaction data sharing cause increased complexities in tracking promotion effectiveness at the store or field level.
Business process management will continue to be a topic of interest to supply chain companies in 2009. Because process change can be implemented without significant cash investments, BPM will stay fashionable in lean economic times. Adoption will be compartmental for a number of reasons: the economy, organizational politics and the lack of any vendor solution that completely meets business requirements.
The latest supply-chain news, analysis, trends and tools for executives in the pharmaceutical and biotech industries. Learn how pharmaceutical and biotech companies and their suppliers around the world are managing the flow of products across all channels of the enterprise. Experts sound off on forecasting and demand planning, supply-chain visibility, logistics outsourcing, inventory optimization, transportation management, warehouse management, supply-chain security, corporate social responsibility and more.
Subscribe to our Daily Newsletter!
Timely, incisive articles delivered directly to your inbox.