Bricks Matter The Role of Supply Chains in Building Market-Driven Differentiation

by Cecere, Lora M.; Chase, Charles W.

• ISBN13: 9781118218310
• ISBN10: 1118218310
• Edition: 1st
• Format: Hardcover
• Copyright: 2012-12-26
• Publisher: Wiley

Summary

Over the past 30 years, supply chain management processes have shifted from a supply-driven to a demand-driven focus. From supply chains to the management of extended value networks composed of multiple companies connected through product, information, and cash management systems. They are now becoming market-driven to synchronize demand and supply better. This book analyzes this evolution, the drivers, the success factors, the pitfalls and the value proposition at each stage. It will also share insights on how to successfully complete horizontal and vertical integration of tactical operations to deliver against this new model. Why does it matter? With each stage of the evolution of the model, the value for the operation increases. Market-driven value networks is a more balanced approach that is market and suppler based with emphasis on sensing demand signals, shaping demand and responding taking into account the financial implications that drive revenue growth. As companies transition from demand-driven to market-driven the focus in the organization shifts from vertical excellence to strong market-to-market horizontal processes.

Author Biography

Lora Cecere is the founder of the research firm Supply Chain Insights, which is paving new directions in building thought-leading supply chain research. She is also the author of the enterprise software blog "Supply Chain Shaman." The blog focuses on the use of enterprise applications to drive supply chain excellence. As an enterprise strategist, Lora focuses on the changing face of enterprise technologies. Her research is designed for the early adopter seeking first mover advantage. Current research topics include the digital consumer, supply chain sensing, demand shaping and revenue management, market-driven value networks, accelerating innovation through open design networks, the evolution of predictive analytics, emerging business intelligence solutions, and technologies to improve safe and secure product delivery. With over forty years of diverse supply chain experience, Lora spent nine years as an industry analyst with Gartner Group, AMR Research, and Altimeter Group. Prior to becoming a supply chain analyst she spent fifteen years as a leader in the building of supply chain software at Manugistics and Descartes Systems Group, and twenty years as a supply chain practitioner at Procter & Gamble, Kraft/General Foods, Clorox, and Dreyers Grand Ice Cream (now a division of Nestle).

Charles W. Chase Jr. (Cary, NC) is the Business Enablement Manager, SAS Manufacturing & Supply Chain Global Practice, where he is the principal architect and strategist for delivering demand planning and forecasting solutions to improve SAS customers supply chain efficiencies. He is an expert in sales forecasting, market response modeling, econometrics, and supply chain management. Prior to joining SAS Chase was the Senior Vice President of Information Resources Inc.'s Sales Forecasting Practice. Chase is a former associate editor of the Journal of Business Forecasting. He is currently an active member of the Practitioner Advisory Board for Foresight: The International Journal of Applied Forecasting. He has authored one book and several articles in the area of sales forecasting, market response modeling.

Table of Contents

Foreword

Preface

Chapter 1 Bricks Matter

Implications

Building the Right Bricks

A Look at History

The Tipping Points

Meet the Pioneers

Why It Matters

Supply Chain Process Evolution

Who Does Supply Chain Best?

Meet the Supply Chain Leaders

Procter & Gamble: The Quiet Leader

Apple and Dell: Inventing New Models

Summary

Notes

Chapter 2 Building Value Networks

The Journey from Cost to Value

The Race to Become Global

Transitioning from Cost to Value

Aligning for Success

Building of Value Networks in Supply Chain Strategies

Why Are Value Networks so Hard to Build?

A Close-up: Taking a Closer Look at a Value Network within the Consumer Value Chain

Value Chain Case Studies

Risk Management

Shift to Value-Based Outcomes

Summary

Notes

Chapter 3 The New World of Demand Management: Demand Sensing, Shaping, and Translation

What Is Demand Management?

Learning a New Language to Become Market-Driven

What Is the Market-Driven Demand Management?

What Is Demand Sensing?

What Is Demand Shaping?

Achieving Market-Driven Capabilities

Why Is Becoming Market-Driven Important for Industrial Companies?

Driving the Market-Driven Demand Management Advantage

Social: A New Form of Demand Signal

How Can a Company Improve Demand Management?

Summary

Notes

Chapter 4 The New World of Supply Management

Current State

Supply Chain Matters

Source: Procurement of Raw Materials

Manufacturing: The Making of Products

Transforming Manufacturing

Logistics

Summary

Notes

Chapter 5 Building Horizontal Connectors

The Building of Horizontal Supply Chain Processes

Revenue Management

Sales and Operations Planning

Why Does It Matter?

What Does Good Look Like?

Automating S&OP

Organizational Considerations

Supplier Development

Corporate Social Responsibility and Sustainability

Rules of Thumb

Summary

Notes

Chapter 6 Supply Chain 2020

Leading the Journey to Drive Market-Driven Value Networks

Building a Guiding Coalition

Running the Race

Frank Eliason: Making the Right Investments

Supply Chain 2020

Demand Orchestration

Big Data Supply Chains

Winning the Race

Notes

About the Authors

Index