New Interest in Supply Chain Analytics

image
By Francis J. Quinn, Editorial Director
September 10, 2010 - SCMR Editorial

Supply chain analytics. What is it and why is it creating a bit of buzz these days?

I’ve been thinking about this because the topic has been coming up with greater frequency lately—in conferences I’ve attended, in press releases from technology providers, and in several proposed articles submitted to Supply Chain Management Review. So in supply chain terms anyway, analytics certainly qualifies as a “Critical (hot) Topic.”

First off, what is supply chain analytics? It’s essentially a subset of the broader business analytics, which is the process of collecting, storing, and analyzing data in a way that enables better business decisions.  Supply chain analytics incorporates those same activities, but related specifically to supply chain data and decision making. Essentially, the analytics process enables you to use data in a way that enhances supply chain operations, customer and supplier relationships, and ultimately cost and revenue performance.

Not surprisingly, technology plays a huge role in analytics.  Given the myriad data points typically available, even a smaller company would find it difficult to do supply chain analytics with largely manual techniques.

Speaking with Jerry O’Dwyer of Deloitte Consulting recently, he commented on the emergence of what he termed “advanced analytics”—supercharged supply chain analytics, if you will. Advanced analytics involves sometimes millions of data points, he explained, often gathered from multiple locations around the globe. The patterns, trends, and other insights revealed through this analysis aids decision-making across the full supply chain spectrum—plan, source, make, deliver, return.

Powerful technology solutions lie behind advanced analytics applications, added O’Dwyer, who heads up Deloitte’s Sourcing and Procurement Services practice.  Then, of course there’s the human element.  You need people with the technical and operational know-how to apply the data to real supply chain situations. 

As to why, supply chain analytics is capturing more attention these days. In O’Dwyer’s view, it’s closely related to the economic upturn that is gradually (albeit sometimes haltingly) returning to most sectors.  Companies have maxed out on the cost cutting activities. Now they are thinking about positioning themselves for the growth ahead. So how to make the right decisions in this regard?  Supply chain analytics is a big part of the answer.

Is this a topic you would like to read more about in SCMR? Let me know your thoughts.



About the Author

image
Francis J. Quinn
Editorial Director
Frank Quinn is the editorial director of Supply Chain Management Review, considered the premier publication for supply chain executives. Frank was the founding editor SCMR and has overseen its growth over the past 14 years. He has been covering the logistics/supply chain scene in various editorial and consulting positions for more than three decade. Frank is co-author of the recently published book Diagnosing Greatness: Ten Traits of the Best Supply Chains. You can reach him directly at .(JavaScript must be enabled to view this email address).

Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Carload volumes were up 2.8 percent at 304,276, and intermodal volume for the week ending August 16 was up 5.4 percent at 270,316 containers and trailers.

Even though this data can be viewed as “old” in the sense that there is not a whole lot new to report about the port labor talks, it does a good job of looking into the mindset of shippers as talks continue.

Company officials said this service will be provided without any type of additional cost for customer shipments traveling from Ohio, Michigan, and Indiana, with expedited services available to customers outside of this area.

FTR says both spot rates and contract rates are heading up in a full capacity environment and with the fall shipping season rapidly approaching, it explained conditions for shippers could further deteriorate.

Read how others are using Business Process Management to achieve ERP success with Microsoft Dynamics AX. Download the free white paper now.

About the Author

Frank Quinn, Editor Emeritus
Frank Quinn is Editor Emeritus of Supply Chain Management Review, considered the premier publication for supply chain executives. Frank was the founding editor of SCMR and has overseen its growth over the past 16 years. He has been covering the logistics and supply chain scene in various editorial and consulting positions for more than three decades. Frank is also co-author of the book Diagnosing Greatness: Ten Traits of the Best Supply Chains.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA