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Supercharged Supply Chains

Release Date: 2021/04/01
ISBN: 9781119782414
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Provides unparalleled practices for all supply chains from leading consultancy Oliver Wight, more important than ever in the post-COVID world

Supercharged Supply Chains: Discover Unparalleled Business Planning and Execution Practices provides authoritative guidance on effective Supply Chain Management. Written by the experts at Oliver Wight, a leading global consultancy firm, the book provides readers with a clear understanding of what is required to operate at a Class A Excellent level. The operating principles are supported by practical examples and cases that demonstrate why typical approaches fail, and why Unparalleled Business Planning and Execution Practices succeed.

Based on the popular Oliver Wight class that focuses on Unparalleled Business and Execution processes, the text is designed to put companies on track to successfully operate Business Excellence Planning. Readers get a contemporary view of the processes, learn about new technology for implementing solutions, and are presented with change methods that address the people and behaviors vital to supply chain operations. Topics include demand planning, Integrated Business Planning (Advanced S&OP), master scheduling, material requirements planning, capacity planning, data accuracy, factory scheduling supplier planning, implementation, business improvement, new technologies and more. Outlining the practices that have boosted the health of supply chains for more than 25 years, this invaluable book:

  • Describes how the Business Excellence Practices resolve the common problems encountered in operating a supply chain
  • Provides strategies and methods to significantly improve customer service, financials and grow the business
  • Identifies when and how Unparalleled Planning and Execution Practices should be applied Guarantees success if the recommendations are followed

Supercharged Supply Chains: Discover Unparalleled Business Planning and Execution Practices is essential reading for all executives and anyone involved in forecasting, planning, scheduling, inventory control, finance, production, purchasing and management of supply chains. It provides a great overview of the entire supply chain and goes into great detail regarding each element that makes up the supply chain. It also explains in depth how all functions of a company play an important role.

Table of Contents

  1. Cover
  2. Title Page
  3. Copyright
  4. Dedication
  5. Foreword
    1. Why You Should Read This Book
  6. Introduction
  7. Prelude: The Awakening
    1. Notes
  8. List of Figures
  9. CHAPTER 1: Churn: The Cause of Disruption
    1. Summary
    2. Notes
  10. CHAPTER 2: Get the Basics Right: Eliminate the Churn
    1. Additional Business Excellence Planning Information
    2. Data Is the Foundation
    3. Where to Start Improving Data Accuracy
    4. Understanding Your Domains
    5. Summary
  11. CHAPTER 3: Inventory: Essential to Know What You Have
    1. A Case Study
    2. Measuring Inventory Record Accuracy
    3. Six Steps to Better Inventory Record Accuracy
    4. Audits
    5. Technology Enhancements
    6. Summary
  12. CHAPTER 4: Bill of Material: A Solid Foundation
    1. A Case Study
    2. Measuring Bill of Material Accuracy
    3. Five Steps to Improved Bill of Material Accuracy
    4. Summary
  13. CHAPTER 5: Routings: Accuracy Required for Valid Plans
    1. A Case Study
    2. Measuring Routing Accuracy
    3. Measuring Routing Accuracy
    4. Five Steps to Improved Routing Accuracy
    5. Summary
  14. CHAPTER 6: Manage MRP: Do Not Let MRP Manage You (Do Not Let the Tail Wag the Dog)
    1. Valid MRP
    2. Material Planning Objectives
    3. MRP Worksheet
    4. The Calculation
    5. Netting Process
    6. Rescheduling Process
    7. Requirement Explosion
    8. Order Release
    9. Safety Stock
    10. Bottom‐Up Replanning
    11. MRP Planner Action/Exception Messages
    12. Silence Is Approval
    13. MRP Planner Responsibilities
    14. Implementation
    15. Measuring MRP Planner Performance
    16. Summary
  15. CHAPTER 7: Mastering the Master Schedule: Meeting Customer Requests at Optimal Cost
    1. Master Scheduling Objectives
    2. Master Scheduling Challenge – Valid Schedule
    3. Master Schedule Logic
    4. Calculating the Master Schedule
    5. Point of Reflection Back to Data Accuracy
    6. Planning Time Fences
    7. Master Schedule Change Process
    8. Master Schedule Change Zones
    9. Available‐to‐Promise
    10. Supply Chain Strategy
    11. Component Manufacturing Master Scheduling
    12. Master Scheduler Performance Measures
    13. Master Scheduler Responsibilities and Planning System Capabilities
    14. Summary
    15. Recommended Reading
  16. CHAPTER 8: Integrated Business Planning: Leadership from the Top
    1. Integrated Business Planning (IBP)—Linking Strategy to Execution
    2. Product Management Review (PMR)
    3. Demand Review
    4. Supply Review
    5. Continuous Integrated Reconciliation and the Review
    6. Management Business Review
    7. Load Leveling
    8. IBP Calculation
    9. MBR Conversation Using the Example
    10. Charts versus Spreadsheets
    11. Management Business Review Agenda (MBR)
    12. Principles for Success
    13. IBP Organization Structure
    14. Matrix IBP
    15. Integrated Tactical Planning (ITP)
    16. Summary
    17. Recommended Reading
  17. CHAPTER 9: Product and Portfolio Management: Offer What Customers Need, Not What You Think They Need
    1. Strategically Driven
    2. New Product Development and New Product Introduction
    3. Project/Program Management (Stage and Gate)
    4. Governance and the Project Management Office (PMO)
    5. Leadership Visibility
    6. Generic Stage and Gate Project/Program Profiles
    7. Resource Requirements Planning
    8. Detail Capacity Planning
    9. Measurement
    10. Perfect Project Delivery Calculation
    11. Product Performance Management
    12. Link to Demand Management and, More Specifically, Demand Planning
    13. Portfolio Management
    14. ABC Analysis
    15. Why Use an ABC Analysis?
    16. Summary
    17. Recommended Reading
  18. CHAPTER 10: Demand Planning: The Art of Demand Planning and Execution
    1. Basic Approach: Start with Last Year's Sales with Puts and Takes
    2. Unconstrained Demand Plan
    3. The Importance of Multiple Inputs to the Demand Plan
    4. Demand Planning Elements: Predicting, Influencing, Communicating, Managing
    5. Demand Planning Key Principles
    6. Assumptions, Vulnerability, and Opportunities
    7. Coping with Inaccurate Demand Plans and Forecasts
    8. Demand Manager Responsibilities
    9. Demand Planning Performance Measures
    10. Another Word on Bias
    11. More on Volatility
    12. Summary
  19. CHAPTER 11: Managing Internal Priorities: Delivering Products on Time
    1. Job Shop Environment
    2. Item Flow Cell Environment
    3. Product Flow Environment
    4. Internal Manufacturing Priorities
    5. Operation Scheduling
    6. Operation Scheduling Example
    7. Operation Scheduling with Dates
    8. Manufacturing Priority Schedule
    9. Priority Scheduling Rules
    10. Accurate Reporting
    11. Forward Scheduling or Backward Scheduling?
    12. Compressing Lead Time
    13. The Lead‐Time Loop
    14. Other Priority Scheduling Applications
    15. Summary
  20. CHAPTER 12: Capacity Planning: Short, Medium, and Long Term
    1. Capacity Strategy and Capacity Planning
    2. Capacity Terminology
    3. Resource Requirements Planning
    4. Rough‐Cut Capacity Planning
    5. Detail Capacity Planning
    6. Detailed Capacity Plan
    7. Work Location (Work Center) Accuracy
    8. Detail Capacity Planning Meeting
    9. Detail Capacity Planning Accountabilities
    10. Demonstrated Capacity
    11. Priority versus Capacity
    12. The “Muscle More in to Get More Out” Myth
    13. Capacity Planning Comparisons
    14. Summary
  21. CHAPTER 13: External Sourcing and Supplier Planning: Reaping the Benefits of Valid Scheduling
    1. Resisting Change
    2. Procurement Importance
    3. Supplier Schedules
    4. Commodity Manager/“Internet Age” Buyer's Role
    5. MRP Planner's Role
    6. Buyer/Planner Concept
    7. Expedite Loop
    8. Sourcing and Supplier Performance Measures
    9. Summary
  22. CHAPTER 14: Supply Chain: Ensuring There Is End‐to‐End Flow
    1. Strategically Driven
    2. Elements and Activities to Be Considered When Designing a Supply Chain
    3. Supply Chain Design Considerations
    4. Control Towers
    5. What Are the Key Pitfalls?
    6. What Is Required for Supply Chain Excellence?
    7. Collaboration
    8. Supply Chain Segmentation
    9. Inventory
    10. Measurement
    11. Summary
    12. Recommended Reading
  23. CHAPTER 15: Finance, Integrated and Proactive: Top‐Down and Bottom‐Up
    1. The Role of Finance in a Business Excellence Planning Environment
    2. Selling the Improvements
    3. Investments
    4. Return on Investment
    5. Cost of Delay
    6. Business Excellence Planning Elements
    7. Principles
    8. Summary
    9. Note
  24. CHAPTER 16: Business Improvement: Being Lean and Agile
    1. Lean
    2. Kanban
    3. Scheduling
    4. Key Lean Improvements
    5. Velocity
    6. What Comes First?
    7. Schedules
    8. Agile
    9. Lean, Agile, and Required Behaviors
    10. Summary
    11. Notes
  25. CHAPTER 17: Technology Enhancements: What You Need and Not Just Following a Market Trend
    1. Data Accuracy
    2. Blockchain for Supply Chain
    3. Artificial Intelligence
    4. EY's Evolving Thinking with “Lights‐Out Planning”
    5. Integrating the Supply Chain
    6. Summary
    7. Notes
  26. CHAPTER 18: People and Behaviors: Get the Team Behind You and Plans Will Be Delivered
    1. Start at the Top
    2. Education and Training
    3. A Little Knowledge Can Be Dangerous
    4. Pain before Gain
    5. Trust
    6. The Trust Equation
    7. Visual Management: Use of Team Boards/Displays
    8. Effecting Desired Behavior Changes
    9. People Tools
    10. Right People in the Right Jobs
    11. Communication
    12. Summary
    13. Note
  27. CHAPTER 19: Implementation: Where to Start
    1. Integration of People, Processes, and Tools
    2. Start with People
    3. An Example of Positive Support
    4. Oliver Wight Proven Path
    5. Proven Path Explained
    6. “Lead” Phase Descriptions: Excite, Commit, and Direct Readiness for Change Descriptions
    7. “Transform” Phase Descriptions: Establish Teams and Agents for Change
    8. “Own” Phase Descriptions: Leverage Capability and Behavior Change
    9. Achieving Oliver Wight Class A
    10. Ongoing Staffing Levels
    11. A Message from Our History, Still Relevant Today – The ABCs of Integration
    12. Summary
  28. Glossary
  29. About the Authors
    1. James G. Correll
    2. Lloyd C. Snowden
    3. James Bentzley
  30. About Oliver Wight
  31. Books by Oliver Wight
  32. Index
  33. End User License Agreement
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