How the Tech Savvy
Manage Risk, Millennials,
and Supply Chains
Super-Session Chair: Renee Ure
VP, Global Operations, IBM
1
Agenda
Millennial Engagement
Speed, Flexibility and Complexity
Procurement & Transparent Supply Chains
Visibility
2
Agenda
Millennial Engagement
Speed, Flexibility and Complexity
Procurement & Transparent Supply Chains
Visibility
3
ARS Question
What word would you use to describe millennial
workers? (Ages 18-35)




A. Entitled
B. Motivated
C. Self-starters
D. Slackers
4
Millennials and Technology
A Competitive Advantage?
To answer that question, we asked
millennials what’s most important to them.
5
Millennial Workforce
What role does technology play in your personal life?
6
Millennial Workforce
Out of 416 millennials surveyed, 46.39% can’t live without technology.
“Communication of information.”
“It makes me more efficient.”
“Keeps me connected to the world and the things that are
most important to me.”
“Information, communication and staying connected.”
“Keeps me current and connected.”
“Communication and education.”
7
Millennial Workforce
How does technology help you do your job?
8
Millennial Workforce
“Communication.”
“It increases efficiency, speed and productivity.”
“Facilitates faster communication and enables instant access to information.”
“Allows me to be accessible 24/7.”
“Being connected after hours – access to email, websites, information all the
time.”
“Technology = BOSS. No Technology = NOT BOSS.”
“Keeps me in touch with my customers.”
“Constant communication.”
9
Millennial Workforce
What does technology help you connect with most?
10
Millennial Workforce
The role of technology is key in their personal
lives and in work. They must be engaged and
given the tools they need to be efficient, connected,
and current.
11
Customer Feedback on Millennials
Efficient:
“I always receive replies within 10–15 minutes of my original emails and my contacts
are always courteous and respectful of my needs.”
“Jake C. provides quotes in a timely manner and handles any and all issues that may
arise quickly and very efficiently.”
“Katie is very fast at returning quotes and inquiries.”
Communicative:
“Mathew S. is doing an outstanding job. Keeps us well informed on every shipment!”
“Erik is great to work with. Professional & follows through with every shipment.”
12
Customer Feedback on Millennials
Service:
“Chad quickly put together different options for saving lot of money. He followed up
very well and was available until the shipment was completed. This was a small
shipment of just one pallet and I was treated like a VIP. Thanks!”
“Nicole was very polite and professional. We worked through the process together,
and everything went smoothly.”
“Todd has done a great job! He is the only person that we have worked with that has a
sense of urgency and understands we need our product as soon as we can get it. His
attention to detail is excellent!!!”
13
Millennial Workforce
What is our biggest competitive advantage?
14
Millennial Workforce
Technology: “I think our biggest competitive advantage is our
technology. It allows for so much visibility and makes what we do much
easier and efficient.
People: “Our people. Everyone that we work with is incredibly
passionate about what they do and want to make this company as great
as it can be. It's awesome!”
Service: “Our level of service is what sets us apart. The 100% guarantee
that we will get the job done every time, no excuses. THAT is what
makes us stand out from our competition.”
15
Millennial Workforce
Customer: “Your commitment to customer excellence,
driven by: collaborative innovation, executive support,
and our 'No Excuses' philosophy”
The Recipe: “We have the best technology coupled
with an excellent team-oriented and driven group of
people. You can have one or the other and be alright, but
we have both and that's what makes the difference.”
16
Technology or Millennials?
Both.
#1 Hire the right people.
#2 Train them and give them tools.
#3 Share in each other’s success.
17
Agenda
Millennial Engagement
Speed, Flexibility and Complexity
Procurement & Transparent Supply Chains
Visibility
18
ARS Question
On a scale of 1-5, how much of a role does
technology play in what you have or where you
eat?





1
2
3
4
5
19
Speed, Flexibility and Complexity
20
Find your Food
Find your Atmosphere
Customer
Find your event
Source Food
21
API
Customer
ERP
SaaS
API
22
23
Speed, Flexibility and Complexity
•
•
•
•
User-facing
– Deliver the strongest effect for the end user. Utilize the right process for your company
on not just the right SaaS or tool but a heavy focus on data integration components
Rapidly Assimilated
– Reusable components in this environment can be rapidly integrated, preferably by the end
user.
– Capabilities that are composed can be quickly adapted to changing business environment.
Assured
– Issues such as information security, trust, versioning, and verification/validation.
Integratable
– Components designed for this methodology will need to integrate with existing business
processes, business systems, and ancillary information technology (IT) systems.
– Do not underestimate this process but don’t over prioritize to let the process slow you
down.
24
Speed, Flexibility and Complexity
25
Agenda
Millennial Engagement
Speed, Flexibility and Complexity
Procurement & Transparent Supply Chains
Visibility
26
ARS Question
What operational challenges can an analytics
SOE like transparent supply chain improve?
 Adjust forecast
 Stop shipments
 Switch shipping lane
 All of the above.
27
Procurement & Transparent Supply
Chains
New System
Google
News
System
of
Record
Interface
(API)
System
of
Record
Interface
(API)
Credit
Card
PMTs
Interface
(API)
Interface
(API)
System
of
Record
External
Sources
ERP
System
28
Procurement & Transparent Supply
Chains – Supplier IQ
Spend
Company Overview
Overall supplier spend with
multiple filtering capabilities
Firmographics
Contracts
Company Financial
Performance (5 yrs)
~20 data elements associated to
‘Buy-Side’ contracts
External / internal data sources
KPIs
Contacts
Infographics to analyze
trending
Company sources from internal
data sources
Revenue
Supplier Contacts
 Overall revenue and Services
subset for trending
Sourced from internal and
external data sources
360° View of a company to perform an in-depth supplier assessment
29
Procurement & Transparent Supply
Chains – Supplier IQ
Desktop
View:
Benchmarking
Suppliers Heat
Map
30
Procurement & Transparent Supply
Chains
In our supply chain we have to make decisions every day.
Run manual process
work-arounds
adjust mfg capacity
pull additional parts
start unfirm orders / parallel assets
pre-build orders
adjust test
times
prioritize customer orders
expedite
outbound
logistics
chase
supply
adjust
forecast
off-load customer orders
substitute
parts
stop
shipments
switch
shipping
lane
alert CF
on late
deliveries
shape demand
31
Restless Re-Invention of our Supply Chain
Evolving Supply Chain Management from cost center to value center…
Globally Integrated
Enterprise
 Enterprise efficiencies
 Streamlined Global processes
 Information sharing
Smarter Supply Chain
 Advanced Analytics,
Optimization, Big Data Mgt
 Supply Chain Visibility
 Multi-enterprise supply chain
transformation
New Era Supply Chain
Reinvention
 Cloud, Mobile, Social
 Supply Chain Transparency
 Predictive, prescriptive
analytics
 Cognitive analytics
 Agile / Resilient
 Data Driven / Digitally Executed
32
Procurement & Transparent Supply Chain
A system of engagement initiative that will leverage data, analytics and
drive business insights
Intelligent Operations & Resolution Center
Get data
from system of records like
manufacturing, procurement,
fulfillment, logistics, operational
management systems
Detailed
reports
Analyze, visualize
Key Performance Indicators,
statistics to see the trends, report
on different performance metrics
Automate, notify
automated alerts, facilitates intraand inter-company business
process and data collaboration
Visual
map
Mobile
alerts
Resolution
Rooms
Predictive and
prescriptive
analytics
Correlation
and Insights
Dashboard
and visuals
33
The Transparent Supply Chain
(TSC) Initiative
Provides operational agility & speed based on TSC real-time
alerts, predictive analytics and agile resolution teams.
34
Mobile is changing interactions
and how work gets done
The workforce is going mobile
• This year 40% of the workforce will
be mobile
Mobile is ubiquitous
• By 2020, 90% of new passenger
cars will have a vehicle mobile
platform
Streamline mobile
experience
• 80% of apps are used
once then deleted
Mobile generates
big data
• 5 petabytes of
data are
generated every
day globally
Mobile is integrated
into our lives
• The average users
checks their mobile
phone 150 times a day
35
Agenda
Millennial Engagement
Speed, Flexibility and Complexity
Procurement & ERP
Visibility
36
ARS Question
What level of visibility does your company have
into its supply chain in your opinion?
 High
 Medium
 Low
37
Network Level Orchestration
Supply Chain: Not a single company game
Financial Institutions
Suppliers
Customers
The Enterprise
Logistics Services Providers
38
Network Level Orchestration
Few companies have end to end visibility
Financial Institutions
Suppliers
Customers
The Enterprise
Logistics Services Providers
39
Network Level Orchestration
Supply Chain: You Need Operate as a Networked Company
Financial Institutions
Suppliers
Customers
The Enterprise
Logistics Services Providers
40
How Networks Are Evolving
Impact of partners and inter-company commerce
Partners
The Enterprise
On-Premise
Private Cloud
 Dedicated Instance  Dedicated Instance
 Corporate IT
 ASP/Hosted Software
 Point-to-point EDI  Partner web portal
Public Cloud
Network Cloud
 Single Instance
 Multi Tenant
 Partitioned groups
 Single Instance
 Multi Tenant
 Networked
Evolution
41
Supply Networks
John Urban
42
Supply Chain Networks
Key
Corporate Enterprise
Supplier
Logistics Service Provider
Global Carrier
43
Lots of Different Custom Networks
Global Manufacturer Network
Apparel Retailer Network
44
Emerging Network Model
45
A network of networks
Key
Corporate Enterprise
Supplier
Logistics Service Provider
Global Carrier
46
Value is Starting to Get Documented
Gartner: Impact of Supply Chain Visibility
•
•
•
•
•
Inventory savings of 20% of value
Increased forecast accuracy of about 25%
Improved SLAs to consistent 98% levels
Freight charge reductions from 5% to 3.5% of volume
Decrease of inventory on stock from just over 10 days to
fewer than 7 days
• Reduction in workforce by 10%
Source - Gartner: Why Supply Chain Leaders Should Aim for End-to-End Supply Chain Visibility by 2016 – November 1, 2013
47
ARS Question
Have you considered how your company is going
to tackle supply chain convergence?
 Yes
 No
48
2009
•
Achieving end-to-end supply chain process orchestration will require
supply chain execution (SCE) convergence, where processes span
traditional application silos.
•
Cost, productivity and service pressures continue at the same time
as the pace of business change accelerates, demanding that SCM
organizations become more responsive and agile.
•
SCM organizations must break down the functional and application
silos that preclude them from building effective end-to-end
processes.
Supply Chain Execution Convergence: Delivering on the End-to-End Process Promise
Published: 1 September 2009, Analyst(s): C. Dwight Klappich
49
2013
•
SCE convergence refers to the growing need for supply chain
organizations to do a better job orchestrating and synchronizing
processes, sub-processes and activities across warehousing,
transportation and manufacturing functional domains.
•
Most supply chain organizations continue with functional silos —
warehousing, transportation and manufacturing — with minimal, if
any, process integration and synchronization between execution
silos.
Unify End-to-End Logistics Processes With Supply Chain Execution Convergence
Published: 4 April 2013, Analyst(s): C. Dwight Klappich
50
2013
41%
37%
35%
Inability to
synchronize
end-to-end supply
chain processes
Lack of visibility
across supply chain
Supply chain network
complexity
Unify End-to-End Logistics Processes With Supply Chain Execution Convergence
Published: 4 April 2013, Analyst(s): C. Dwight Klappich
51
Converged Beyond Your Business
SCE Players and their Systems
across your SC Network
A Few Large
▪
▪
▪
Can afford the investment
Have IT support
Therefore are systems enabled
Many Medium
▪
▪
▪
Try to afford the investment
Some IT capabilities
Limited disparate systems
A lot of Small
▪
▪
▪
Could not afford the investment
Limited or No IT capabilities
Basic or No dedicated systems
52
External Players
WMS
YMS
OMS
WMS
OMS
OMS
TMS
TMS
WMS
FMS
Your
Business
YMS
CRM
YMS
CRM
FMS
FMS
TMS
CRM
OMS
OMS
YMS
WMS
TMS
FMS
53
YMS
TMS
Outside the Business the Problem
Gets Bigger
TM
S
OM
S
FMS
WMS
OMS
YMS
WMS
OMS
TMS
YMS
WMS
OMS
TMS
FMS
WMS
OMS
WMS
TMS
WMS
TMS
WMS
Your
Business
TMS
YMS
YMS
FMS
YMS
FMS
OMS
CRM
CRM
CRM
FMS
TMS
FMS
CRM
FMS
TMS
CRM
YMS
OMS
FMS
OMS
YMS
WMS
TMS
TMS
FMS
FMS
FMS
WMS
CRM
CRM
OMS
FMS
YMS
54
YMS
CRM
ERP
YMS
TMS
TMS
And Bigger…And Most Don’t Have Systems…
TM
S
FMS
YMS
OM
S
WMS
FMS
WMS
TMS
WMS
OMS
YMS
WMS
OMS
CRM
TMS
YMS
CRM
WMS
OMS
TMS
FMS
WMS
OMS
WMS
TMS
Your WMS
Business
WMS
WMS
YMS
TMS
YMS
WMS
YMS
CRM
YMS
FMS
TMS
TMS
OMS
CRM
CRM
CRM
FMS
FMS
FMS
CRM
FMS
TMS
FMS
CRM
TMS
FMS
TMS
CRM
YMS
ERP
OMS
FMS
ERP
FMS
OMS
ERP
YMS
YMS
TMS
TMS
TMS
WMS
WMS
TMS
FMS
FMS
FMS
YMS
CRM
WMS
YMS
YMS
CRM
YMS
OMS
FMS
YMS
TMS
55
YMS
CRM
ERP
YMS
TMS
TMS
Cloud-Based Solutions are Having an Impact
TM
S
FMS
OM
S
WMS
FMS
WMS
TMS
WMS
OMS
YMS
YMS
WMS
OMS
CRM
CRM
TMS
YMS
YMS
WMS
OMS
YMS
WMS
OMS
WMS
TMS
TMS
TMS
WM
S
YMS
YMS
WMS
YMS
YMS
FMS
CRM
CRM
CRM
FMS
CRM
FMS
TMS
CRM
OMS
FMS
OMS
ERP
YMS
TMS
FMS
FMS
YMS
CRM
WMS
YMS
YMS
YMS
OMS
FMS
TMS
TMS
FMS
FMS
CRM
WMS
WMS
FMS
FMS
YMS
YMS
TMS
TMS
YMS
ERP
ERP
FMS
CRM
OMS
FMS
TMS
TMS
YMS
FMS
TMS
FMS
TMS
CRM
TMS
FMS
FMS
WMS
Your
Business
WMS
TMS
TMS
56
But Let’s Not Get Ahead of Ourselves…
Orders
OMS
Transport
TMS
YOUR
BUSINESS
WMS
Warehousing
MFG
Manufacturing
57
“Unless someone like you
cares a whole awful lot,
Nothing is going to get
better. It's not.”
― Dr. Seuss, The Lorax
Source image: http://www.amazon.com/Dr-Seuss-Lorax-Danny-DeVito/dp/B005LAIH4A
Picture: © Disney 1951-2014. All Rights Reserved.
What is Supply Chain Execution
Convergence?
58
Internal Systems - Today
Orders
OMS
Transport
Warehousing
FMS
TMS
TMS
YOUR
BUSINESS
WMS WMS
YMS
MFG
MFG
Manufacturing
59
Aligned Internal Systems - Tomorrow
Orders
OMS
Transport
TMS
YOUR
BUSINESS
WMS
Warehousing
MFG
Manufacturing
60
Then Converged Systems & Processes
Orders
OMS
Transport
TMS
YOUR
BUSINESS
WMS
Warehousing
MFG
Manufacturing
61
Converged Systems
&
Process
Orders
OMS
OMS
Transport
TMS
TMS
YOUR
YOUR
zzzz
BUSINESS
zzzzz
BUSINESS
WMS
WMS
Warehousing
MFG
MFG
Manufacturing
62
Transportation Centric Supply Chain Execution
Manufacturing
Warehouse
Buyer
Multimodal Transportation Software Process
Supplier
Kewill Copyright © 2015. All rights reserved.
Cargo Freight
Station
Store
63
Benefits of Convergence
3D Printing, Internet of Things
At some stage will 3D printing allow us to make everything
at home for ourselves?
Supply Chain Is Moving On
Right Product, Right Place, Right Time, to Any Product, Any
Place, Any Time
Supply Chain Execution Convergence
Is something we can act on today
64
“It's not about what it is, it's about what it can become.”
― Dr. Seuss, The Lorax
Source image: http://www.amazon.com/Dr-Seuss-Lorax-Danny-DeVito/dp/B005LAIH4A
Picture: © Disney 1951-2014. All Rights Reserved.
Is Your Business Ready for Supply
Chain Execution Convergence?
65
Panel
Jodi Navta
VP Marketing and
Communications
Coyote
Phillip Carr
Director, Supply
Management
Darden
Rob Allan
Program Manager, Plan to
Deliver Transformation
IBM
John Urban
EVP/General Manager
GT Nexus
Evan Puzey
Chief Marketing Officer
Kewill
66
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