top fifteen supply chains to admire - the supply chain index

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11/2/22 September 2014, p.1 Supply Chain Insights Global Summit #ImagineSC Supply Chains to Admire Lora Cecere, Supply Chain Insights Mickey North Rizza, BravoSolution Roddy Martin, Accenture C.J. Wehlage, Kinaxis

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The presentation given during a panel discussion of the new Supply Chain Index and the top 15 Supply Chains to Admire report which were premiered at the Supply Chain Insights Global Summit in Scottsdale, AZ on September 10, 2014 The panelists were: Lora Cecere, Founder and CEO of Supply Chain Insights Mickey North Rizza, Vice President of Strategic Services at BravoSolution Roddy Martin, Managing Director – Value Chain & Operations Transformation at Accenture C.J. Wehlage, Vice President at Kinaxis Top Fifteen Supply Chains to Admire A panel of ex-AMR Research analysts reviewing the Supply Chain Insights Findings of Performance and Improvement for 2006-2013.

TRANSCRIPT

Page 1: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.1Supply Chain Insights Global Summit #ImagineSC

Supply Chains to Admire

Lora Cecere, Supply Chain InsightsMickey North Rizza, BravoSolution

Roddy Martin, AccentureC.J. Wehlage, Kinaxis

Page 2: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.2Supply Chain Insights Global Summit #ImagineSC

Speakers

Lora CecereSupply Chain Insights

Founder and CEO

Mickey North RizzaBravoSolutionVice President,

Strategic Services

Roddy MartinAccenture

Managing Director,Value Chain and

Operations Transformation

C.J.. WehlageKinaxis

Vice President

Page 3: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.3Supply Chain Insights Global Summit #ImagineSC

Our Answer? For Supply Chain Excellence?

Beats the Industry Average for Operating

Margin, Inventory Turns and ROIC for

2006-2013

Ranks above Peer Group Average on the Supply Chain

Index for 2006-2013 or 2009-2013

Page 4: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.4Supply Chain Insights Global Summit #ImagineSC

Consumer Value Networks Industrial Value Networks

Supply Chains to Admire

Page 5: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.5Supply Chain Insights Global Summit #ImagineSC

• By Industry: No company in retail, paper and packaging, pharmaceutical, or medical device industry makes the list.

• A Different Perspective: Many “recognized industry leaders” (P&G, Toyota, Samsung, and Walmart) do not make the list.

• When the Going Gets Tough, the Tough Get Going: More companies in the industrial value network make the list than the consumer value network. No company makes the list from the healthcare value network.

• Tough Environment: 12 out of 13 industries improved resilience. 11 out of 13 industries lost ground at the intersection of operating margins and inventory turns.

High-Level Insights

Page 6: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.6Supply Chain Insights Global Summit #ImagineSC

Supply Chains to Admire

1. AB InBev2. Apple3. Audi4. BASF5. Cisco Systems6. Colgate7. Eastman Chemical8. EMC

9. General Mills10. Intel11. Nike12.Ralph Lauren13.Seagate14.TRW15.TSMC

(Taiwan Semiconductor)

Page 7: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.7Supply Chain Insights Global Summit #ImagineSC

Retail

Page 8: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.8Supply Chain Insights Global Summit #ImagineSC

Consumer Goods

Page 9: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.9Supply Chain Insights Global Summit #ImagineSC

Food

Page 10: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.10Supply Chain Insights Global Summit #ImagineSC

Beverage

Page 11: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.11Supply Chain Insights Global Summit #ImagineSC

Apparel

Page 12: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.12Supply Chain Insights Global Summit #ImagineSC

Chemical

Page 13: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.13Supply Chain Insights Global Summit #ImagineSC

Pharmaceutical

Page 14: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.14Supply Chain Insights Global Summit #ImagineSC

Medical Device

Page 15: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.15Supply Chain Insights Global Summit #ImagineSC

Paper and Packaging

Page 16: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.16Supply Chain Insights Global Summit #ImagineSC

Semiconductor

Page 17: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.17Supply Chain Insights Global Summit #ImagineSC

Automotive

Page 18: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.18Supply Chain Insights Global Summit #ImagineSC

Consumer Electronics

Page 19: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.19Supply Chain Insights Global Summit #ImagineSC

Automotive Suppliers

Page 20: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.20Supply Chain Insights Global Summit #ImagineSC

• Leadership• Building of talent• Inside-out processes• Horizontal process focus• Active and intentional design• Supply chain planning

What Makes a Difference

Page 21: Top Fifteen Supply Chains to Admire - The Supply Chain Index

9/11/2014 September 2014, p.21Supply Chain Insights Global Summit #ImagineSC

• A project-based focus• Vertical excellence without an end-to-end

focus• Unchecked complexity• Big bang projects• Pushing cost and waste backwards in the

value network

What Does Not Work