Supply Chain & Big Data ÷ Analytics = Innovation

Google the term “advanced analytics” and you get back nearly 23 million results in less than a second.

Clearly, the use of advanced analytics is one of the hottest topics in the business press these days and is certainly top of mind among supply chain managers.

Yet, not everyone is in agreement as to just what the term means or how to deploy advanced analytics to maximum advantage.

At HP, the Strategic Planning and Modeling team has been utilizing advanced operational analytics for some 30 years to solve business problems requiring innovative approaches.

Over that time, the team has developed significant supply chain innovations such as postponement and award winning approaches to product design and product portfolio management.

Based on conversations we have with colleagues, business partners and customers at HP, three questions come up regularly – all of which this article will seek to address.

  1. What is the difference between advanced and commodity analytics?
  2. How do I drive innovation with advanced analytics?
  3. How do I set up an advanced analytics team and get started using it in my supply chain?

Advanced analytics vs. commodity analytics

So, what exactly is the difference between advanced analytics and commodity analytics? According to Bill Franks, author of “Taming The Big Data Tidal Wave,” the aim of commodity analytics is “to improve over where you’d end up without any model at all, a commodity modeling process stops when something good enough is found.”

Another definition of commodity analytics is “that which can be done with commonly available tools without any specialized knowledge of data analytics.”

The vast majority of what is being done in Excel spreadsheets throughout the analytics realm is commodity analytics.

Read more at Supply Chain & Big Data ÷ Analytics = Innovation

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SenseAware is FedEx’s Internet of Things Response to Supply Chain Optimization

Supply chain visibility is critical to a company’s operational performance improvement, according to 63% of 149 responding companies in a survey conducted by Aberdeen Group.

“Visibility is a prerequisite to supply chain agility and responsiveness,” the report states.

And it requires tracking the location of a shipment not only at the transportation level, but also at a unit and item level.

Location tracking is good protection against shipment theft or loss, but companies need a deeper level of visibility for their products, according to FedEx.

The company’s solution? The IoT-inspired SenseAware, a sensor-based logistics solution.

SBL uses sensors to detect the shipment’s environmental conditions while warehoused or in transit and sends the data – via wireless communication devices – to a management software system where the data is collected, displayed, analyzed and stored.

It is “the basis of a powerful new central nervous system for the global supply chain,” according to FedEx.

The device is meant to provide intelligence that can help enterprises coordinate and manage product, information and financial flows.

Read more at SenseAware is FedEx’s Internet of Things Response to Supply Chain Optimization

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How visibility can drive supply chain performance

How visibility can drive supply chain performance

At its heart, supply chain management requires a balancing of operational efficiency, customer satisfaction and quality. Managing the true cost to serve each and every order is the aspiration to allow better negotiation and value creation across the supply chain. Customer and consumer centricity helps anticipate product and service requirements. But supply chains are becoming more extended and complex with a consequent increase in risk and the need for resilience. There are multiple data sources making it difficult to manage and measure end-to-end processes and metrics. Aligning priorities through integrated planning remains pivotal but there is an explosion of data available that needs to be incorporated and the value extracted to understand how supply-demand issues impact profit and revenue targets.

Organisations are looking to enable better and more consistent decision-making across complex processes with diverse systems and data. Many are leveraging business intelligence (BI) platforms to give them the capability to make decisions across the organisation, including environments where mobility and access to decision-critical information on the go is crucial. Putting the information in the hands of the people on the front line – those managing supply chain processes – is key to enabling decision making at the point of decision. But this requires synchronising an enormous amount of data that comes from many systems and sources in a way that it can be easily consumed by people who need to act on the insights.

Read more at How visibility can drive supply chain performance

Share your opinions with us in the comment box. Subscribe to get updates in your inbox.

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Visibility Is Key when Driving Supply Chain Performance

At its heart, supply chain management requires a balancing of operational efficiency, customer satisfaction and quality. Managing the true cost to serve for each and every order is the aspiration to allow better negotiation and value creation across the supply chain. Customer- and consumer-centricity helps anticipate product and service requirements. Supply chains are becoming more extended and complex with a consequent increase in risk and the need for resilience. There are multiple data sources making it difficult to manage and measure end-to-end processes and metrics. Aligning priorities through integrated planning remains pivotal, but there is an explosion of data available that needs to be incorporated and the value extracted to understand how supply and demand issues impact profit and revenue targets.

New technology provides greater supply chain transparency. Strategic supplier engagement continues to be important as a way of reducing costs and mitigating risk. Effective supply chain management can be either a compelling competitive differentiator or, conversely, a source of risk, cost and poor customer service.

Organizations are looking to enable better and more consistent decision-making across complex processes with diverse systems and data. Many are leveraging business intelligence (BI) platforms to give them the capability to make decisions across the organization, including environments in which mobility and access to decision-critical information on the go is crucial. Putting the information in the hands of the people on the front line—those managing supply chain processes—is key to enabling decision-making at the point of decision. But this requires synchronizing an enormous amount of data that comes from many systems and sources in a way that it can be easily consumed by people who need to act on the insights.

Read more at Visibility Is Key when Driving Supply Chain Performance

What do you think is important in Supply Chain Performance Management? Share your opinions with us in the comment box.

Share on FacebookShare on Google+Share on LinkedInTweet about this on TwitterEmail this to someone

Visibility Is Key when Driving Supply Chain Performance

At its heart, supply chain management requires a balancing of operational efficiency, customer satisfaction and quality. Managing the true cost to serve for each and every order is the aspiration to allow better negotiation and value creation across the supply chain. Customer- and consumer-centricity helps anticipate product and service requirements. Supply chains are becoming more extended and complex with a consequent increase in risk and the need for resilience. There are multiple data sources making it difficult to manage and measure end-to-end processes and metrics. Aligning priorities through integrated planning remains pivotal, but there is an explosion of data available that needs to be incorporated and the value extracted to understand how supply and demand issues impact profit and revenue targets.

New technology provides greater supply chain transparency. Strategic supplier engagement continues to be important as a way of reducing costs and mitigating risk. Effective supply chain management can be either a compelling competitive differentiator or, conversely, a source of risk, cost and poor customer service.

Organizations are looking to enable better and more consistent decision-making across complex processes with diverse systems and data. Many are leveraging business intelligence (BI) platforms to give them the capability to make decisions across the organization, including environments in which mobility and access to decision-critical information on the go is crucial. Putting the information in the hands of the people on the front line—those managing supply chain processes—is key to enabling decision-making at the point of decision. But this requires synchronizing an enormous amount of data that comes from many systems and sources in a way that it can be easily consumed by people who need to act on the insights.

Read more at Visibility Is Key when Driving Supply Chain Performance

What do you think about this topic? Share your thoughts with us in the comment box.

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