If you asked any CEO, Sales Executive or Marketing head what is the customer service level they desire in the organization they’d invariably say 100%. And hearing that answer the Supply Chain VP will invariably shake their heads and flee the room before you could ask them the same question. But why, you might ask, such an expectation is unreasonable for any organization in any industry? Intuitively, it seems alright to want to sell to anyone who is willing to pay you in crispy greens. In fact, primary purpose of existence of organization is shareholder value creation? Which in simple … Continue reading To serve or not to serve, to stock or not to stock – by Supply Chain Detective
This is one of the most contentious questions that is often raised in review meetings especially during months of high inventory. We’ve all been there – where all the inventory indicators are in red, warehouses are overflowing with stuff, several leaning Towers of Pisa in the warehouses are a common sight and trucks are waiting for hours to unload their stuff. The supply chain VP’s phone is ringing non-stop and when it seems that nothing can go worse, you suddenly realize that you have an S&OP meeting to attend to.To muddy the waters even further, that one person from finance mumbles … Continue reading Whose Inventory Is It Anyway? – by Supply Chain Detective
All you supply chain zombies (SCZs), who are now vying for the blood of the crackpot who wrote such a blasphemy as the title of this post, take a deep breath, cool down a bit and think back at the time when you last implemented the EOQ formula in its basic form. That is – NEVER. Hmmm…and now that you are thinking about it, doesn’t it seem strange that one of the most popular supply chain concepts and most widely recognized formula that is literally taught on the first day of supply chain classes in college, is rarely used in … Continue reading The Myth called EOQ -by Supply Chain Detective
Originally posted on Musings of an Aspie:
There’s a spot on my kitchen floor, a little cluster of dried reddish drips. I don’t know what it is. If it’s from 3 days ago, it’s tomato sauce. If it’s been there longer . . . who knows. I’ve walked past it dozens of times. I look at it. It annoys me. I wonder how it got there. I wish it would go away. It doesn’t occur to me that I can make that happen. The greasy smudgey fingerprints on the cabinet that I can only see in exactly the right light?… Continue reading Procrastination or Executive Function Fail?
I spent time on Friday helping a client update spreadsheets and Excel reports that used an incorrect formula to calculate the margin on bids for construction jobs. While this particular client was looking for a margin of 25%, he was actually getting one closer to 20%. On a $100,000.00 bid, that can be the difference between profit and disaster. I see sellers new to retailing make this same mistake over and over again. The seller wants a “mark up” of 30% So they take their cost (the wholesale price), multiply that by 30% and add the result to the wholesale cost … Continue reading Are You Losing Money By Calculating Margins Wrong?
An effective executive does not need to be a leader in the sense that the term is now most commonly used. Harry Truman did not have one ounce of charisma, for example, yet he was among the most effective chief executives in U.S. history. Similarly, some of the best business and nonprofit CEOs I’ve worked with over a 65-year consulting career were not stereotypical leaders. They were all over the map in terms of their personalities, attitudes, values, strengths, and weaknesses. They ranged from extroverted to nearly reclusive, from easygoing to controlling, from generous to parsimonious. What made them all … Continue reading What makes an effective executive? – by Peter Drucker
This is an article I liked and found valuable on Psychology Today. The link to the original article is here. Over the last few weeks, we’ve looked at the four behaviors that differentiate a functional manager from a true leader. As you know, I refer to these behaviors as the “Phenomenal Four,” which include: Cultivating Reflective Silence Capturing Meaningful Stories Reinforcing What’s Important Posing Curious Questions If you haven’t had a chance to read the first two entries in this series, I recommendstarting here, then reading this. Today, we are going to examine the third behavior: Reinforcing What’s Important. In … Continue reading Leaders Don’t Manage Time, They Manage Choices