Logistics Network Model

New trade agreements, shifting customer and supplier locations, changing labor and freight rates, fuel costs, new products and markets all conspire to make your current logistic network obsolete.  Gone are […]

Measuring Supply Chain Forecast Accuracy

Measuring Supply Chain Forecast Accuracy is usually done with Mean Absolute Percent Error or MAPE, the average of percentage errors. But there are several other metrics to consider. Here’s an […]

Kanban and Sustainability

Dear Larry, Andrew and Guanair; How are you doing ? I would like to share with you that We Won the Whirlpool Sustainability-2013 award, among 536 suppliers and 55 projects, […]

Demand Segmentation – one size fits none

We know better than to try to force fit strategies yet time and again we find businesses planning and managing their processes with a ‘one size fits all’ approach. Hospital […]

Lean Sales Forecasting

Why can’t Sales give us a decent forecast?  Paraphrasing George E.P. Box, “All forecasts are wrong, some are useful.”  If forecasts are wrong, then why forecast?  Supply chain lead time […]

Safety Stock – How To

Safety stock is an additional quantity held in inventory in order to reduce the risk that an item will be out of stock when a customer places an order. This […]

Material Classification Logic

Bruce asked “Do any of you have any standard material classification logic that you have used.  I’m working with a client to classify all of the parts they purchase.  In […]

Safety Stock to Bridge the Forecast-Accuracy Gap

(From David McPhetrige, founder of TopDown Lean Systems, LLC, providing correct, comprehensive, multi-attribute safety stock analysis, http://topdownleansystems.com.) Surveys indicate that even world-class companies have average forecast accuracy in only the […]

Total Flow Management

Euclides A. Coimbra and his associates at the Kaizen Institute have created a wonderful and detailed work on the application of continuous improvement to supply chains.  Here is a full […]

Replenishment Strategies

Determining an appropriate production model starts with Demand Profile and Demand Segmentation.  High volume low variability items, and low volume high variability items behave very differently.  How to decide if […]

Demand Profile

Maslow’s hammer, or a golden hammer is an over-reliance on a familiar tool; as Abraham Maslow said in 1969 in A Psychology of Science, “It is tempting, if the only […]