…the ability of parts, components or products in transit to be tracked from the manufacturer to their final destination. The goal of SCV is to improve and strengthen the supply chain by making data readily available to all stakeholders, including the customer.
Let’s just think about this for a minute
Let’s say you manage 10,000 SKUs and half those SKUs pass through twelve different waypoints that you track for arrival and departure. That means you will be monitoring 240,000 data points for half your SKUs. Let us hope that the other half of your inventory is easier on you.
By the way, just a reminder: 240,000 data points is very nearly a quarter-of-a-million!
What do you really need to know?
Do you really need to know every arrival and departure of your inventory as it traverses your supply chain?
I will say that flatly: No. You don’t.
What you really need to know is how well the stock buffers, time buffers, and capacity buffers in your supply chain are doing at their task of protecting FLOW.
If your supply chain requires buffers at half of the twelve waypoints, then you need to have visibility into just 60,000 data points—not a quarter of a million!
It still sounds like a lot, though, doesn’t it.
But, what if you could easily see priorities and positions in a clean, easy to comprehend way?
What if your list for monitoring your buffers looked something like this?
The easy-to-read combination of a color (red, yellow or green) and a single number (remaining buffer) can help you readily determine priorities, even across a multi-echelon distribution or supply chain network.
In the accompanying figure, I can very easily see that…
- More NJ buffers need attention than any other location
- SKU #1004 is a priority (RED) in three different buffers (NJ, IL and WA)
- The buffer for SKU #1002 in WA is top priority with only 7 percent of the buffer remaining, followed by…
- SKU #1003 in NJ at 9 percent
Wow! That was fast!
No more combing through pages and pages, or screen after screen, of columns, tables or charts.
Simply look at the color and the number and know precise where management attention needs to be focused, and in what priority.
Isn’t it time that you and your supply chain team began to see supply chain visibility as sometime simpler and more achievable than ever before?
It means you can finally become truly demand-driven. No more excuses.
We can help.
Please feel free to contact us directly, or leave your comments below. We look forward to hearing from you soon.