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Race for Supply Chain 2020: Insights on S&OP and Agility

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Lora Cecere
Lora Cecere

Insights from research on North American and European supply chains from 2014. A focus on supply chain readiness for the Race for Supply Chain 2020.

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Supply Chain Insights LLC Copyright © 2015, p. 1 Race for Supply Chain 2020 Study Summary Charts October 2013 – December 2014
Supply Chain Insights LLC Copyright © 2015, p. 2 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
Supply Chain Insights LLC Copyright © 2015, p. 3 Study Overview
Supply Chain Insights LLC Copyright © 2015, p. 4 Two-Thirds of Respondents Are “Users”: Mostly Manufacturers and Mostly in a Supply Chain Role
Supply Chain Insights LLC Copyright © 2015, p. 5 Respondents Are Mostly Based in the US or Europe and Company Revenue is $4 Billion on Average
Supply Chain Insights LLC Copyright © 2015, p. 6 Top Functions Reporting into Supply Chain: Supply/Demand Planning, Logistics, and Inventory
Supply Chain Insights LLC Copyright © 2015, p. 7 For Nearly Two-Thirds, Leader of Supply Chain Reports to President or C-Level Executive
Supply Chain Insights LLC Copyright © 2015, p. 8 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
Supply Chain Insights LLC Copyright © 2015, p. 9 Nearly All Say Supply Chain Agility Is Important, but Less than One-Third Have Agile Supply Chains
Supply Chain Insights LLC Copyright © 2015, p. 10 Those in North America Report Higher Agility Importance Than Those in Europe
Supply Chain Insights LLC Copyright © 2015, p. 11 80% Say Supply Chains Is More Agile than 5 Years Ago; 36% Say More Agile than 1 Year Ago
Supply Chain Insights LLC Copyright © 2015, p. 12 Most Important Agility Techniques: Demand Forecasting, Visibility, Channel Data, and Speed
Supply Chain Insights LLC Copyright © 2015, p. 13 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
Supply Chain Insights LLC Copyright © 2015, p. 14 71% of Users Report Having a Sales and Operations Planning Process
Supply Chain Insights LLC Copyright © 2015, p. 15 Over Two-in-Five Report the S&OP Process Is Effective
Supply Chain Insights LLC Copyright © 2015, p. 16 Performance Is Low Across S&OP Measures
Supply Chain Insights LLC Copyright © 2015, p. 17 Top S&OP Challenges Include Competing Priorities and Lack of Executive Team Support
Supply Chain Insights LLC Copyright © 2015, p. 18 Over Half Report Greater S&OP Emphasis on Sales and Marketing Over Operations
Supply Chain Insights LLC Copyright © 2015, p. 19 One-Third Report S&OP Is Hardly Executed to Plan
Supply Chain Insights LLC Copyright © 2015, p. 20 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
Supply Chain Insights LLC Copyright © 2015, p. 21 Sales & Marketing Alignment Is Among Most Important and Most Successful
Supply Chain Insights LLC Copyright © 2015, p. 22 Important Alignment with Low Performance: Sales and Operations
Supply Chain Insights LLC Copyright © 2015, p. 23 Greatest Gaps in Team Alignment: Sales-Operations, Operations-IT, Marketing-Finance and Sales-Finance
Supply Chain Insights LLC Copyright © 2015, p. 24 Over Two-in-Five Think Teams Are Aligned Compared to Other Companies
Supply Chain Insights LLC Copyright © 2015, p. 25 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
Supply Chain Insights LLC Copyright © 2015, p. 26 Top Elements of Supply Chain Pain: Supply Chain Visibility & Demand/Supply Volatility
Supply Chain Insights LLC Copyright © 2015, p. 27 More Than One Quarter Have Center of Excellence; Only 12% Give Most Mature Definition of Excellence
Supply Chain Insights LLC Copyright © 2015, p. 28 Those in North America Are Less Likely to Report Having a Supply Chain “Center of Excellence”
Supply Chain Insights LLC Copyright © 2015, p. 29 Top Supply Chain Descriptive Challenges: Room for Improvement, Cautious, Reactive, Traditional and Inside-out
Supply Chain Insights LLC Copyright © 2015, p. 30 Top Supply Chain Trends: Supply Chain Visibility and Demand Sensing
Supply Chain Insights LLC Copyright © 2015, p. 31 Top Challenges to Supply Chain Excellence: Shorter Lifecycles/Pipelines and Safety/Security

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Race for Supply Chain 2020: Insights on S&OP and Agility

  • 1. Supply Chain Insights LLC Copyright © 2015, p. 1 Race for Supply Chain 2020 Study Summary Charts October 2013 – December 2014
  • 2. Supply Chain Insights LLC Copyright © 2015, p. 2 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
  • 3. Supply Chain Insights LLC Copyright © 2015, p. 3 Study Overview
  • 4. Supply Chain Insights LLC Copyright © 2015, p. 4 Two-Thirds of Respondents Are “Users”: Mostly Manufacturers and Mostly in a Supply Chain Role
  • 5. Supply Chain Insights LLC Copyright © 2015, p. 5 Respondents Are Mostly Based in the US or Europe and Company Revenue is $4 Billion on Average
  • 6. Supply Chain Insights LLC Copyright © 2015, p. 6 Top Functions Reporting into Supply Chain: Supply/Demand Planning, Logistics, and Inventory
  • 7. Supply Chain Insights LLC Copyright © 2015, p. 7 For Nearly Two-Thirds, Leader of Supply Chain Reports to President or C-Level Executive
  • 8. Supply Chain Insights LLC Copyright © 2015, p. 8 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
  • 9. Supply Chain Insights LLC Copyright © 2015, p. 9 Nearly All Say Supply Chain Agility Is Important, but Less than One-Third Have Agile Supply Chains
  • 10. Supply Chain Insights LLC Copyright © 2015, p. 10 Those in North America Report Higher Agility Importance Than Those in Europe
  • 11. Supply Chain Insights LLC Copyright © 2015, p. 11 80% Say Supply Chains Is More Agile than 5 Years Ago; 36% Say More Agile than 1 Year Ago
  • 12. Supply Chain Insights LLC Copyright © 2015, p. 12 Most Important Agility Techniques: Demand Forecasting, Visibility, Channel Data, and Speed
  • 13. Supply Chain Insights LLC Copyright © 2015, p. 13 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
  • 14. Supply Chain Insights LLC Copyright © 2015, p. 14 71% of Users Report Having a Sales and Operations Planning Process
  • 15. Supply Chain Insights LLC Copyright © 2015, p. 15 Over Two-in-Five Report the S&OP Process Is Effective
  • 16. Supply Chain Insights LLC Copyright © 2015, p. 16 Performance Is Low Across S&OP Measures
  • 17. Supply Chain Insights LLC Copyright © 2015, p. 17 Top S&OP Challenges Include Competing Priorities and Lack of Executive Team Support
  • 18. Supply Chain Insights LLC Copyright © 2015, p. 18 Over Half Report Greater S&OP Emphasis on Sales and Marketing Over Operations
  • 19. Supply Chain Insights LLC Copyright © 2015, p. 19 One-Third Report S&OP Is Hardly Executed to Plan
  • 20. Supply Chain Insights LLC Copyright © 2015, p. 20 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
  • 21. Supply Chain Insights LLC Copyright © 2015, p. 21 Sales & Marketing Alignment Is Among Most Important and Most Successful
  • 22. Supply Chain Insights LLC Copyright © 2015, p. 22 Important Alignment with Low Performance: Sales and Operations
  • 23. Supply Chain Insights LLC Copyright © 2015, p. 23 Greatest Gaps in Team Alignment: Sales-Operations, Operations-IT, Marketing-Finance and Sales-Finance
  • 24. Supply Chain Insights LLC Copyright © 2015, p. 24 Over Two-in-Five Think Teams Are Aligned Compared to Other Companies
  • 25. Supply Chain Insights LLC Copyright © 2015, p. 25 Agenda  Study Overview  Supply Chain Agility  Sales & Operations Planning  Team Alignment  Supply Chain Performance
  • 26. Supply Chain Insights LLC Copyright © 2015, p. 26 Top Elements of Supply Chain Pain: Supply Chain Visibility & Demand/Supply Volatility
  • 27. Supply Chain Insights LLC Copyright © 2015, p. 27 More Than One Quarter Have Center of Excellence; Only 12% Give Most Mature Definition of Excellence
  • 28. Supply Chain Insights LLC Copyright © 2015, p. 28 Those in North America Are Less Likely to Report Having a Supply Chain “Center of Excellence”
  • 29. Supply Chain Insights LLC Copyright © 2015, p. 29 Top Supply Chain Descriptive Challenges: Room for Improvement, Cautious, Reactive, Traditional and Inside-out
  • 30. Supply Chain Insights LLC Copyright © 2015, p. 30 Top Supply Chain Trends: Supply Chain Visibility and Demand Sensing
  • 31. Supply Chain Insights LLC Copyright © 2015, p. 31 Top Challenges to Supply Chain Excellence: Shorter Lifecycles/Pipelines and Safety/Security