Supply chain woes and the good planning
How D-One Plan is a strategic tool for manufacturing companies coping with today’s supply chain challenges.
The most common question we get from our customers is, “what will the new normal look like and how will our supply chain organizations have to adapt?”.
While some of the outrageous transpacific rates are behind us, all of us are still facing headwinds and uncertainty in our supply chains, namely: increasing freight inflation on the home front, uncertain shipping capacities, suppliers with extended delivery dates, and an ongoing shortage of talent.
Adding to all this, we are facing significant inflation in consumer prices raising questions about what this uncertainty represents to our macroeconomic outlook.
In the past, organizations have responded to the fear of a recession and increasing costs by just cutting. Well, what are we going to “cut” when most organizations are still with 20%+ vacancy rates?
What we are seeing in top-performing organizations is the increasing emphasis on becoming more effective in execution. Simply put, the ability to execute (e.g. production schedules) while all the resources have come together, avoiding idle downtime. Doing the right thing the first time with minimal waste. What astute accountants call “fixed cost leverage”. For many operations, this is the pinnacle of performance and cost management.
We are seeing that top performers have developed both flexibility and responsiveness in their supply chain functions. Inevitably, good planning is part of being responsive. Anticipating key events and making plans for them is giving top-performer organizations the advantage to deliver. Good planning tools are necessary to accomplish this. In today’s world, technology offers us many benefits in both machine learning and artificial intelligence. D-One Plan offers a unique platform used by top-performing organizations. Its superior algorithms, ease of use, and tight integration to ERPs allow D-One to be a native element of the overall supporting business processes.