Global Supply, Visibility, and Performance

Not too long ago, I wrote about Aberdeen’s Global Supply Visibility and Performance Benchmark Report in my Global Supplier Visibility and Performance post where I noted that Aberdeen has found that the average company has had an average of two major supply chain disruptions per year and that industry average and laggard companies are only able to meet customer-requested ship dates 40% of the time. I also noted that I would post more of my own thoughts on it later.

First of all, the great Sudy Bharadwaj, your report author, is absolutely and positively correct when he said that spreadsheets and in-house software development are not the answer! Considering the requirements for a real-time GSVP system, and the expertise required to build one, you really should be using best-of-breed software from a best-of-breed provider.

Secondly, your humble report author is also dead-on when he states that any GSVP process must be repeatable year-over-year. GSVP is not a one time quick-fix, and the real benefits only materialize as a result of year-over-year continuous improvement.

Thirdly, you should focus on the top 10% of your suppliers in the initial implementation of a GSVP program and start within a specific product line, business unit, or geographic location. All the big, scary software failure stories you hear about are generally simultaneous-wide enterprise roll-outs of a new system or methodology. Start small, work out the kinks (more often in your processes than your technology if you make the right technology choices), and build up gradually. Before you know it, 90% of your business will be GSVP enabled.

As I indicated previously, there are more great insights in this report and I highly recommend you download a copy before the sponsorship disappears.