The Struggle for Inventory Visibility

THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10 THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10 THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10 THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10 THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10 THE STRUGGLE FOR e VISIBILITY 2 801 IN GLOBAL SUPPLY CHAINS CommercelnMotion.com VISIBILITY: Knowing where products and inventories are located, being able to monitor order progress, and being able to anticipate unplanned events in the supply chain. Rank Visibility "Very Important" to Value Creation' 1 COMPANIES NOW UNDERSTAND 79% THE LINK BETWEEN VISIBILITY Rank Improving Visibility as their Top Priority? AND PERFORMANCE 49% THAT'S AN IMPROVEMENT OF 9.85% 2008-09 RECESSION 1.50 1.42 AND INVENTORY-SALES RATIOS 2 1.45 HAVE IMPROVED 1.40 1.28 1.35 1.25 1.20 1.15 3 HOWEVER, GOOD INTENTIONS 1.10 HAVE NOT PRODUCED COMPREHENSIVE ACTION“ COMPANIES MONITORING INBOUND SUPPLY-SIDE MILESTONES MANUALLY 4 AND PERFORMANCE RESULTS HAVE DEFINITELY BEEN MIXEDS Supplier Order Acknowledge 49% Order Acknowledge PO Match 43% RETAIL MFG Supplier Production Plans 43% Fill Rate on 91.8% 93.8% Closed Orders Supplier Production In-Process 43% In-Stock in Stores 94.7% N/A ASN by Supplier 39% Lead Time 14 Days 17 Days ASN Matches PO 42% On-Time Delivery 88.0% 90.3% Carrier Pickup of Goods 43% "Perfect Order" Rate 85.7% 92.7% In-Transit Shipment Events 42% Timely & Accurate ASN 89.4% 90.7% Customs Clearance Events 46% Timely & Accurate PO Acknowledge 90.7% 96.5% 0.1 0.2 0.3 0.4 0.5 ACTIONS SUPPLY CHAIN LEADERS 6 ...WHICH HAVE LED TO SIGNIFICANT HAVE TAKEN TO IMPROVE OPERATIONAL IMPROVEMENTS A VISIBILITY. 66% 60% BEST-IN-CLASS COMPANIES ARE... as likely to have online visibility into sustainability & green metrics 2.8 times Streamlined Processes for Easier Monitoring, Usability & Efficiency Integrated Supply Chain Transactions & Costs into their Operations A- as likely to have online visibility into supply chain disruptions 2.3 times 46% 31% as likely to have the ability to analyze current supply chain risks 2.0 times Have Increased B2B Took Steps to Improve the Timeliness & Accuracy of Supplier Data Exchanges 1.9 times as likely to have online visibility into customs events status CUSTOMS Connectivity & Visibility into Supply-side Processes 1- CSCO Insights 2011 2 - Capgemini 2011 Supply Chain Agenda 3 - US Dept. of Commerce Census Bureau 5 - Supply Chain Consortium 2011 Core Benchmarks Report 4,6,7 - Aberdeen Group 2011 Supply Chain Visibility Report SPONSORED BY RedPrairie Jan-99 Dec-99 |00-nON Oct-01 Sep-02| Aug-03 Jul-04| Jun-05 90-hew Apr-07| Mar-08 | 60-qə Dec-10