highlights from apics 2014 international conference new orleans renée brongo december 18, 2014

Highlights from APICS 2014 International Conference New

Orleans

Renée BrongoDecember 18, 2014

Improving Operations with SCORDavid Morrow Supplier Relationship Manager Lead |US Air Force

• Air Force Sustainment Center’s 448 Supply Chain Management Wing recently began using the SCOR model.

The team has won the US Department of Defense’s Supply Chain Operational Excellence Award for two years running.

Improving Operations with SCOR

• Sustainment at Tinker AFB– Responsible for war fighter plane maintenance– Many types of parts, including obsolete special

manufacture

• SCOR – Supply Chain Operations Reference


• SCOR provided an organization strategy– Aligned Process & Responsibly– Predefined set of metrics – Building into policy and standard work

• Saved $650MM

• SC Risk – Software by Cisco link supplier location to google maps and national weather service

Forward-Thinking Transportation: A Panel Discussion

• 20,000 + transportation executives invited to share insights across a host of topics

• Results shared during this panel discussion– Focus on the primary tools and methods used to manage

transportation and logistics– Managing the associated costs– Changing role of procurement in domestic and global

transportation

ProfessorGeorgia Southern University


• 771 Respondents from 16 different industries– $30.1 Billion Transportation Spend (3.5% of Total)


• Strategic Relationships• Companies that kept strong relationships with

carriers are seeing the reward• Increased

collaboration• Demand planning

has helped reduce waste and improve equipment availability


• Increase in transportation rates– Cost pressures on all carriers– Capacity shortage– Lower driver recruitment– Tighter regulations– Cost to purchase new equipment

• Driver Shortage– 150,000 drivers short over the next 10 years– LTL, FTL, Drayage


• 2015 increase starting salary for truck drivers– Today starting mid-low $50K– Challenging quality of life

• Carriers using Lean Concepts to remove waste– Reduce waste to bring cost out of the system

The Right Kind of Analytics

• 81 % of supply chain organizations view enhancing analytics capabilities as a key 2015 initiative according to Gartner research

• Clear up confusion about the different types of analytics and how analytics can support better decision-making.– Scope of supply chain analytics– Prerequisites for higher levels of maturity and adoption

The Right Kind of Analytics• 2020 – 26 Billion Connected

Devices– 40 Zetabites of Data

What do we do with all the data?


What?Why?What Will Happen?How Can We Make It Happen?

The Right Kind of AnalyticsMust be mature in all 4 pillars to get ROI!


• Big Data 14% Adoption 2013, 18% in 2014• Inhibitors to adopting Big Data– Skill set and leadership

The Right Kind of AnalyticsNo Mater What Size Business – Analytics is a necessity• Check your maturity level across all 4 dimensions/pillars• Have an analytics road map• Demonstrate the value of analytics

The Innovation Trinity—Supply Chain, Change and Project Management

• Smart project management, effective change management, and innovation expertise all are necessary to achieve goals

• Real-world examples of major supply chain improvement projects and how success was ultimately achieved.– Share stumbling blocks, how to avoid them– Key lessons learned along the way


As Supply Chain Professionals, we need to start embedding Change Management into all we do!


• Have leaders cascade• Leadership involvement– Without it employees will see initiative as not important

• Complaints are good!• Opportunity to address fear

• Survey during the phases• Understand training?• What is comfort level?• Thoughts of the transition plan?

• ID the informal leaders to help drive change adoption


• Things to Remember– Organizations have a culture– Organizations have a change history– Change STARTS and ENDS with the individuals– Change Management must be embedded in all initiative

roll outs

Voice of Manufacturing and Distribution

• McGladrey Manufacturing and Distribution Monitor Report

• Insights and tools they need to make better strategic and tactical decisions. – Emerging market challenges– Regulations– Global economics matters– Industry benchmarks– Business strategy

Voice of Manufacturing and DistributionEnvironmental Scan


• Skill Gap in Manufacturing– Only 3 out of 10 encourage children into manufacturing– Reduced number of “shop” classes– Average age of welders 57– Average Wages can be up to $80K ($10K over other

industries)

Essential Insights for Importing and Exporting

• Businesses must stay current – Regulations– Expenses– Compliance requirements of governments and the

various customs entities. • Key factors involved with importing and exporting– landed costs– Making efficient changes– Impact on materials management

• Packaging and labeling, pricing, and much more. Attendees will gain useful strategies for keeping the supply chain flowing smoothly.


• Top Codes of Federal Regulations– Title 19 – Customs Duties/Labels– Title 21 – Food and Drug– Title 49 – Trucking

• UN Convention for Internal Sale of Goods– Laws that can be used to resolve issues

• Total landed costs (delivered) often increase unit price by an average of 50-100%

General Session: Mike Walsh

How To Access Presentationshttp://www.apics.org/sites/conference/annual/home

http://www.apics.org/sites/conference/annual/home

http://www.apics.org/sites/conference/annual/home

highlights from apics 2014 international conference new orleans renée brongo december 18, 2014

Documents

scor slide

adoption slide

right kind of analytics

drayage slide

leadership slide

system slide

total slide

scor scor