More Related Content Similar to Digital Supply Chain: the start of a new era (20) Digital Supply Chain: the start of a new era7. Supply Chain Insights LLC Copyright © 2018, p. 7
Third Industrial Revolution Productivity Impact Stopped in
2004
10. Supply Chain Insights LLC Copyright © 2018, p. 10
Do We Have Best Practices?
Or Functional Excellence?
16. Supply Chain Insights LLC Copyright © 2018, p. 16
Normal
Distribution
SKU/L
SalesVolume
Anything But Normal
Complexity: The “Long Tail”
17. Supply Chain Insights LLC Copyright © 2018, p. 17
Normal
Distribution
SKU/L
SalesVolume
Anything But Normal
Consistent and Forecastable: 874
items representing 77% of the
volume and 74% net sales. 64% of
the volume is forecastable with a
55% error.
Inconsistent demand: 1723 items
representing 23% of the volume and
26% net sales.
Traditional
Optimization
Techniques
Need for Machine Learning/Pattern
Recognition: Inventory Strategy
Not Forecastable
by Conventional
Means
Client Case Study
19. Supply Chain Insights LLC Copyright © 2018, p. 19
Digital Supply Chain:
Transforming the Atoms
and Electrons of the Supply
Chain through the
Confluence of new
Capabilities/Technologies.
Digitization: Making signals
and processes digital.
What Does Digital Transformation Mean for
You? There Is No One Definition
22. Supply Chain Insights LLC Copyright © 2018, p. 22
Current Supply Chain Process Thinking
Rows and Columns:
Transactional Data
Fixed Hierarchies with
Structured Data
One-to-One Enterprise Linear Flows
Descriptive and Predictive Analytics
24. Supply Chain Insights LLC Copyright © 2018, p. 24
Data Needs to Move Securely Through Value
Networks In…
Clouds Streams Pools
31. Supply Chain Insights LLC Copyright © 2018, p. 31
1.5M sku locations
~ 95% slow or intermittent
Seasonal demand (at the item level) is identified down to a specific
location.
Simplified for clarity In reality, looks more like this
•365 days
•150+ local climates
•Avg 3,000 items / location (165M)
•15 year lifecycle changing amplitude
Lennox International
32. Supply Chain Insights LLC Copyright © 2018, p. 32
•Replace
•Compressor
•Engines
• Dealer gets service event
• We get parts sales
• Customer has non-event
• Customer - Dealer & Brand loyalty
Your compressor shows that it will fail
within the next 30 days. What day would
be good for us to come replace it?
Redefining Service
35. Supply Chain Insights LLC Copyright © 2018, p. 35
Rich user interface in full HD
Evocative sound track with
burring grinder and tinkling
of spoons
Memorable flavours and
fragrances
Cutting edge reliable /
ultra efficient computer
processing hardware
Stunning curved design by
Italian automotive designers
Irresistible aromas of Costa’s
coffee shops
Innovative coffee-making
system providers
Redefining Replenishment
36. Supply Chain Insights LLC Copyright © 2018, p. 36
L’Oreal: Direct Communication with Customers
New use cases
Product
Information
Dialogue with
smartphonesAutomated cash-out
- Examples -
37. Supply Chain Insights LLC Copyright © 2018, p. 37
Transforming Inbound Logistics
Mobile Device Apps
AIS Vessel Location
Sensors
40. Supply Chain Insights LLC Copyright © 2018, p. 40
What Is Digital Manufacturing?
Additive
Manufacturing
Paperless Processes Robotics
42. Supply Chain Insights LLC Copyright © 2018, p. 42
L’Oreal: 3D PRINTING - PROTOTYPING
42
3D printed mold for simple pack
S/T 3D printing :
15 days - 4 000 €
100 pieces
S/T traditional machining :
60 days - 20 000 €
1000 pieces
Mold proto standard
simple & complex pack
CCZ – 3D Lab
43. Supply Chain Insights LLC Copyright © 2018, p. 43
3D PRINTING - PRODUCTION
43
New design opportunities for our brands
45. Supply Chain Insights LLC Copyright © 2018, p. 45
The adoption of distributed and open technology
by the ecosystem of technology providers and
business users to drive inter-operability in value
networks to improve business outcomes.
What Is the Network of Networks?
48. Supply Chain Insights LLC Copyright © 2018, p. 48
Write once and use company and contact information many times.Community Directory
Reduce onboarding through once source of data.
Blockchain redefines visibility and track and trace.Traceability
Confluence of Blockchain and Spark/Internet of Things Redefine Lineage.
Bitcoin and Blockchain disintermediate traditional banking.Supply Chain Finance
Emergence of the supply chain digital wallet.
An alternative to EDI.
Cognitive computing eliminates the need for master data
management and standards.Interoperability
Data is mined through patterns and translated for context through cognitive computing. Shift
from standards to process canonicals.
What Could Change?
50. Supply Chain Insights LLC Copyright © 2018, p. 50
Baby Boomers, Vendors, Academics, and Remote Employees
Are Most Satisfied with Their Jobs
53. Supply Chain Insights LLC Copyright © 2018, p. 53
Wrap-up
We must learn to unlearn to
relearn.
What got us here is not the
answer for the future.
Innovation makes much of
what we have today legacy.
Moving forward takes courage.
The opportunities are great.
54. ENGAGE WITH US!
Visit Us Online
www.supplychaininsights.com
www.supplychainshaman.com
www.linkedin.com/company/supply-chain-insights
www.slideshare.com/loracecere
Follow Us on Twitter
@scinsightsllc
@lcecere
Attend a Live Event
www.supplychaininsightsglobalsummit.com
www.supplychaininsights.com/the-shamans-circle
55. Supply Chain Insights LLC Copyright © 2018, p. 55
About Lora Cecere
• Founder of Supply Chain Insights
• “LinkedIn Influencer”
• Guest blog for Forbes
• Author of 5 books: Bricks Matter (2012), Shaman’s Journal (2014),
Supply Chain Metrics That Matter (2014), Shaman’s Journal (2015),
Shaman’s Journal (2016), Shaman’s Journal (2017)
• Partner at Altimeter Group (leader in open research)
• 7 years of Management Experience leading Analyst Teams at
Gartner and AMR Research
• 8 years Experience in Marketing and Selling Supply Chain Software
at Descartes Systems Group and Manugistics (now JDA)
• 15 Years Leading teams in Manufacturing and Distribution
operations for Clorox, Kraft/General Foods, Nestle/Dreyers Grand
Ice Cream and Procter & Gamble.
Contact Information:
• Email: lora.cecere@supplychaininsights.com
• Blog: www.supplychainshaman.com (15,000 pageviews/month)
• Forbes: www.forbes.com/sites/loracecere
• Twitter: twitter.com/lcecere (9,100 followers)
• LinkedIn: www.linkedin.com/in/loracecere (290,000 followers)
• LinkedIn Influencer: www.linkedin.com/today/author/446631