Three supply chain challenges and how to overcome them

The modern supply chain is becoming more complex by the day. Businesses continue to struggle with keeping their supply chain under control but hidden risks still pose a significant threat to the industry. Even with all the new technologies making their way to the industry, businesses must be aware of these hidden risks and understand how to react appropriately.

Businesses of all kinds must keep supply chain visibility, cyber risk and natural disasters in mind at all times. All of these factors or even just one could have a significant impact on a company’s bottom line. In this current edition of the ‘Challenges and Solutions’ series, we will take a close look at the most troublesome issues in the supply chain and how businesses can avoid or plan for these risks.

New technology

Advancing technology is making its way into the supply chain, forcing businesses to constantly change systems. New services that provide an “Uber-Like” freight experience require supply chain managers to constantly hone their talents and adapt to these kind of digital disruptions. Not only with the Internet of Things be transforming the supply chain end to end, the way people utilize technology to create new processes will need to be monitored. The challenge is keeping supply chain managers and procurement professionals up-to-date and trained with all these new advancements.

Finding a solution can be challenging at first. It will take some time for a business to discover the right process that works for them. There is no one answer fits all, rather a unique, business specific training program must be developed. Some solutions may include putting together a team in charge of locating the latest supply chain innovations and coming up with a plan to train the rest of the staff. Others could be outsourced training programs funded by the organization whose employees will be taking part. Continuous training will be vital in order to remain effective in this transforming industry.

Read more at Three supply chain challenges and how to overcome them

Share your opinions with us in the comment box, and subscribe to get updates.

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

New Solutions for Supply Chain Risk Management: A Case Study

We are entering an era where it is becoming possible to detect supply chain risks much more quickly. A case in point is offered by AGCO. AGCO AGCO +1.96% is a global leader in the design, manufacture and distribution of a wide range of agricultural equipment. In a discussion with AGCO’s Jan Theissen, Director of Strategy and Methods, and Jake Stone, Manager of Supply Chain Risk and Contract Management, I learned about this public, Atlanta headquartered corporation’s journey to improve their sourcing and supply base risk management capabilities.

AGCO’s products are marketed under a number of well-known brands, including Challenger, Fendt, GSI, Massey Ferguson and Valtra. The manufacture and assembly of their products occurs at 34 locations worldwide and historically each of these brands was managed as a separate supply chain. Further, because the company had grown by acquisition, these different supply chains used more than 10 different enterprise resource planning (ERP) solutions for direct sourcing.

Beginning in 2012, Mr. Theissen, a newly appointed procurement leader, led a transformation of the sourcing organization. AGCO moved from a fragmented and decentralized procurement to a centralized commodity management structure in order to better leverage buying synergies and increase the overall maturity level of this organization. Implementation of standardized roles and responsibilities, and global policies and procedures, were supported by an extensive change management program. The company formed a School of Purchasing to further develop the capabilities of the organization.

The risks associated with sourcing became part of each category manager’s job; these managers became responsible for supplier risk management, not just savings. Mr. Stone was brought into establish new, systems, processes and capabilities to manage procurement risk. One thing Mr. Stone put in place was a clear communication and escalation process to deal with risks once detected.

Read more at New Solutions for Supply Chain Risk Management: A Case Study

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

Cloud Solutions for Logistics and Supply Chain Management Software

Logen Solutions, a software company that specializes in logistics efficiency software, released CubeMaster Online, a comprehensive cloud solution for logistics and software for supply chain management.

CubeMaster Online is a load plan and optimization software, and palletizing and packaging design software that calculates the optimal loads for pallets, trucks, trailers, and sea and air containers. Companies can help reduce 5 to 20 percent of the trucks or container loads used. This can result in significant time and cost savings for many companies.

CubeMaster Online helps facilitate collaboration with teams working together in distribution areas. This collaboration feature presents logistics, engineering, marketing, management and distribution centers with an easy, efficient way to share and control load planning and execution across various geographical areas.

CubeMaster Mobile provides mobile pages built on HTML 5, which enables connection to any service with any mobile devices. This mobile version is designed to run on mobile devices such as iOS and Android tablets and smartphones.

CubeMaster Web Service is the most recent technology to enable the integration of CubeMaster Online with customer applications, such as enterprise resource planning (ERP), warehouse management systems (WMS) and transportation management systems (TMS) at the application level. It allows the remote applications written by ASP, APS.NET, Java, PHP and SAP to call remotely the application program interfaces (APIs) served by the CubeMaster Online server.

Read more at Cloud Solutions for Logistics and Supply Chain Management Software

Have you used the cloud solution for logistics and software for supply chain management mentioned in the article? Share your thoughts with us in the comment box. Subscribe to get updates in your inbox.

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