How uncertainty changes our perspective of the purpose of planning has been the central theme of many of my blogs over the past 3.5 years while at Kinaxis. There are changes that are taking place in the supply chain space driven by the understanding that plans are a guess of what will happen and the likelihood that the guesses/assumptions were correct is fairly low. I just the past four weeks I have talked to a number of leading electronics companies that are grappling with the idea that planning should be performed in parallel across functions, rather than sequentially. If we are to collapse the planning/decision process lead times in our supply chains, we will have to adopt simultaneous or parallel processes, which in turn will lead to different organizational structures and systems that focus on collaborative decision making that focuses on human intelligence and machine speed. These are all themes that are captured in the new eBook, Miles Ahead: The "miles ahead" vision of integrated supply chain planning and response management which is compilation of a number of my key blogs. The core concept is that planning is not enough, or, stated differently, planning is only the beginning. Making a promise to a customer is difficult enough. Keeping that promise is often immeasurably more difficult, especially in environments that have order-to-delivery lead times longer than a day or two. In the eBook I challenge several standard assumptions and approaches to planning and make some suggestions on how planning can be approached differently. I’d really like to get your feedback on the ideas and concepts discussed in the eBook. Download your copy here: http://www.kinaxis.com/go/miles-ahead/
The "miles ahead" vision of integrated supply chain planning and response management
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Walmart has announced it will give suppliers two weeks to increase the percentage of orders they ship OTIF from 70% to 98%. For supply chains practicing concurrent planning, this mandate won't be a problem.