The Market-Driven Supply Chain: A Revolutionary Model for Sales and Operations Planning in the New on-Demand Economy

The Market-Driven Supply Chain: A Revolutionary Model for Sales and Operations Planning in the New on-Demand Economy

The Market-Driven Supply Chain: A Revolutionary Model for Sales and Operations Planning in the New on-Demand Economy

The Market-Driven Supply Chain: A Revolutionary Model for Sales and Operations Planning in the New on-Demand Economy

Synopsis

Customer demands for individual attention and specialized products are transforming commerce at every stage-including the supply chain. Today's highstakes economy requires dynamic, market-savvy sales and operations planning (S&OP) to keep pace with accelerating service demands and response times. It's not as daunting as it sounds with the tools, tips, and case studies in 'The Market-Driven Supply Chain'. This practical yet expansive book helps organizations transition from outdated supply-driven processes to new market-driven models. Readers learn how to: - Use robust analytics for conducting value segmentations and simulation analyses - Develop a customer-centric culture and a collaborative organizational structure - Dynamically rebalance the inventory mix to improve capacity and reduce costs - Retool 26 management processes to achieve market-savvy S&OP Unlike other books that focus on only supply chain strategies or S&OP or lean manufacturing, this book's sophisticated approach unifies all three areas, and it's the only one to explain how to operate in today's on-demand environment.

Excerpt

Gregory P. Hackett

I HAVE KNOWN Bob Burrows for more than 30 years, from when we both were consultants in the Cleveland-based operations practice of Booz Allen & Hamilton, now known as Booz & Co. I was the junior guy on many manufacturing operations teams that he led. When I first met Bob, he was working closely with Keith Oliver, a senior partner, and their project team coined the phrase supply chain management. At that point, supply chain management was very much operationsfocused, employing new technologies and tools to manage and reduce inventory.

The big problem with supply chain management is that while it produced results, it never fully achieved its promise. The fact is we could never properly forecast demand. I remember many conversations with Bob in the mid-1980s about how the new technologies of manufacturing were only as good as the forecasts. The projections of customers and of the customers’ customers were needed.

While others went on to refine supply chain management tools and approaches, Bob shifted gears and began to work on the front end of the supply chain, which really starts with the customers’ customers, as you will discover in this book. Over the years at Booz Allen, I saw Bob’s work evolve from being manufacturing-centric to being customer-centric. As he worked with more and more clients, he built and constructed new ideas on how to change a company’s behavior toward the customer by employing different analytical tools, value seg-

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