62 La de vt ’ as nf oc ec du spfl iarns tn oi nng J toehcnh. nHo il so go yr g(aAnPi zS a) tfiroonmp au rwc he lal s- ke nd oawn n bh ea vs te- ob fe- ebnr eseudc cpersosvf iudl e, br , uatnidt wt haes i nmopt .l eAms ea nrteast ui ol tn, ds he mo ual nd d ps el ar ni ensi no gf mi s amn ua ianl liyn mp uatns u, aanl , di npvreondtuocr tyi omn apnl aa gnenmi negnits i vs iaa smporsetapdeshoepelet.a(cBkTnWow, Jloehdng’es.)situation is more common than The focus by Anne, the CIO, is on the deployment of an outdated ERP system purchased five years ago. John’s company is a process-based manufacturer, and Anne’s ERP solution is a better fit for a configure-to-order busi - nt oe-scsa, sl he acdyicnl eg st of olri mt i imt ai tni go nasn. dHaocwc ue vr aecr,yi mi s pi mr opvoi nr tgaonrtdteort-h e Chief Financial Officer, so Anne is getting the funding and attention. AS hnen el a icskas laena na pdpi sr ce icpi al et i aonndf os re et hs ea lnl ei ne vdefnotroirnyv ae sn tMo ruyd aa .s a buffer. In addition, Anne wants to deploy the ERP solution to improve inventory targets but does not realize that an Es tRoPc ks o( vl ue trisouns itshpe rfiomr amr ial yn df ofcuunscetdi oonnoi fmi npvr eo nv it no gr ys)a. fTe ht ye specific solution cannot improve cycle stock management trhy rboausgehd boent tterra npsr po od rutcattiioonn pdl ea cnins ii on ng so. r i n - t r a n s i t i n v e n t o - Jhoi mh n m’ s oArdev saonfct ewda Pr el aannndi nhga Ss ol iltut tl ei oenmppr ao tvhi dy ef ro rwtahnet sf atiol esde l l implementation. While John feels that reimplementing wants to standardize on fewer applications, and the Chief Operating Officer wants to improve customer reliability, bt huet st hu ep pt el ya mc h da ione sl ena odte rr ei anl itzhee tchraotstshheaiirr sl eoafdtehres he ixpe cpuuttisv e team.
tnhoet bgeetstf-uonf-dbinrege. d solution could improve results, he can- So, how does John maneuver through the ring of fire? Here is my suggestion: Try to Align the Organization on the Definition of Supply Chain Excellence. The way to drive alignment is through data. Data analysis helps the team understand tchl eeatrr da de fei -noi ftfi o( nt hoe f esfuf epcpt li yv ec hf raoi nn tei exrc)e lal ne nd cteh. eTno eaecdc of omr pal i s h tohf iVs agroi aa tl ,i oann a( lCyOz Ve )f )o, rFeoc raes ct aa bs ti l Vi tayl u( ae nAadl ydsei ds oa fnCa ol yesfifsi c(iFe VnAt ) , fill rate, and product flows. Graph the flows over time in these four quadrants:
63 I believe that less than 50% of the product line is consis- toef nt th we ei tfhf i ct hi eenCt Fs uOp’ spdl ye fcihnai tiino ni notfhei sf f mi c ioedneclyi. s( Tt hhee ldoewf iensitt i o n cost per unit. This definition is only effective when ap - plied to high-volume and predictable items.) I also believe that John’s product line is growing less pi sr de de gi crtaadbilneg(. i Inac dr evai ssei ndgJ oi thenmt oc otmy ppel et xhiet yp)raonddu ct th falto twhse aFnVdA graph the shifts to help the executives visualize the flows
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