Embracing the IOT

By APICS CEO Abe Eshkenazi, CSCP, CPA, CAE

We keep hearing about the potential of the Internet of Things (IOT), but how will it help supply chain professionals specifically? Last week, Industrial Distribution ran “Improving Process Flows in the Delivery System through the Internet of Things,” which outlines the practical applications of IOT.

“As the development and deployment of the IOT capabilities continues to expand, [transportation and logistics] companies could eventually have visibility into every operation across the entire supply chain, from the source of the raw materials to the end use of the product,” writes Thomas Schied, vice president and director of asset management for TD Band Equipment Finance.

IOT connects devices to the internet and collects data, but Schied stresses the value is in knowing how, when and where to use the data. Predictive analytics enables business leaders to make calculations that will increase efficiencies, reduce spending and improve overall processes. For example, data from sensors can be combined with historical data to establish when assets need to be replaced. Likewise, transportation and logistics companies can use sensor data and geographic and environmental information to customize truck maintenance plans.

Further, IOT data and analytics supports organizational decision making, as experts alter routes to prevent bottlenecks at loading docks and changing inventory locations. This information improves on-time delivery and reduces fuel and labor costs.

With all the promises of IOT, Schied does mention likely challenges. These include the potential of security breaches, a reallocation of current jobs and business disruption.

“Additionally, the IOT is expensive and time consuming to implement, and the more parts of a business that are integrated into an IOT system, the more disruptions that business could face,” Schied writes. “However, integration can be conducted in stages over the course of several years.”

He adds, “As we see logistics and supply chains become more complex, implementation of IOT is necessary.”

We’ve transformed our business to help transform yours

IOT is one example of how the world of supply chain is rapidly evolving. Technological advances combined with a renewed focus on sustainability and more, make staying ahead of the curve a challenge for corporations. That’s where we come in. In January 2019, we are officially launching the Association for Supply Chain Management (ASCM). This is more than a new name or a rebrand, this is an entirely new association. With ASCM, we expand our reach and broaden our impact, becoming the leader on all things supply chain. Plus, we’ll still do what we’ve always done — give your supply chain team the tools they need to advance their careers and create value for your company.

Abe Eshkenazi
APICS CEO

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Top five supply chain podcasts of 2018

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Australasian Supply Chain Institute has reviewed podcasts interviews all over the globe to bring you the very best for your listening pleasure over the holiday break:

1.The Future of Work

Jacqui Canney, is EVP and Chief People Officer at Walmart and Clay Johnson, is EVP and Chief Information Officer at Walmart.

Jacqui is focused on the development, the retention and the rewarding of their 2 million employees. Clay is charged with putting ICT and HR together to create more productivity and automation. Walmart is the world’s largest employer with 5000 stores in the U.S and 10,000 globally.

Duration: 1 hour

ASCI review: An unbeatable interview on how Walmart is evolving and using tech to train and up skill their workforce; how they are using Blockchain to track food; what the future of Walmart looks like 5-10 years out. An interview just darn worth your time. 

2. ASCI Lounge

Daniel Kohut, Director, Solutions Advisor at JDA, shares his sales and operations planning expertise starting from his Australian career pathway, to the present day and the importance of professional development for supply chain experts in the midst of an era of digitisation transformation.

Duration: 20 minutes

ASCI review: So great to hear the Aussie accent and someone so passionate about the future of supply chain careers. Some good advice for professional development. 

3. Talking Logistics

Scroll straight to Episode 6: Angie Freeman, Chief Human Resources Officer, CH Robinson shares insights and ideas on the importance of recruitment and talent in the supply chain industry.

Duration: 29 mins

ASCI review: Best take on articulating the challenges in a succinct interview.

4. Supply Chain Now

Sandra MacQuillan serves as the Senior Director of Supply Chain Strategy & Transformation for Kimberly-Clark, where she leads company’s global supply chain, with responsibility for procurement, logistics, manufacturing, quality, safety, and sustainability.

Amy Gray serves as HR Director for Global Supply Chain at Kimberly-Clark. Amy has served in a variety of HR-related roles at K-C over the last 12 years, to include HR Business Partner and HR Project Leader.

Duration: 1 hour

ASCI review: Jump to 18 minutes in..the first part is just chatter. Interesting take on diversity to better represent customer profiles and global reach.

5. ASCI Lounge

Indrasen Naidoo, Director, Supply Chain System Transformation, Roy Hill (a 55 mega tonne per annum iron ore producer in Western Australia), joins us on the ASCI Lounge to reflect on Roy Hill’s roadmap for Intelligent Supply Chain for Assets, highlighting the need for leadership capacity; rethinking flows; and applying expert technology.

Duration: 20 minutes

ASCI review: Some salient points on how supply chain in Australia is stuck in traditional programs and what Roy Hill has done to move the dial. 

Enjoy your holiday podcast listening!

ASCI Lounge is Australasia’s supply chain podcast channel with over 3,500 downloads since 2016. To book an interview, or to join a panel discussion on a particular topic, email the ASCI National Office at enquiries@asci.org.au

ASCI National Office is closed from Friday 21 December however, you can purchase Guided Learning registration right up until 6 January 2019. For more information, visit: www.asci.org.au/education 

Monique Fenech is the host of the ASCI Lounge podcast channel.

 

 

 

Five reasons why APICS CPIM is a must for every ERP user and consultant

Business people on a meeting at the office

For the most part of my career, I have been known to be an active member of the APICS community. This means that, quite frequently, I interact with SCM practitioners and ERP consultants from different industries and with different professional backgrounds. During discussions, I am often asked what ways are best to acquire more in-depth-knowledge of the SCM/ERP domains.

Drawing from my 9 years of extensive, hands-on experience in the fields of Supply Chain Management and SAP ECC ERP implementation/support within the Pharmaceutical and FMCG industries, and a unique techno-functional skill set in SCM enabling technologies and Domain Expertise in the SAP PP/PP-PI module, I have compiled some advice for others.

When reflecting on numerous SAP ERP implementation/improvement projects, I keep falling back on the certainty and solidarity of the APICS certification: Certified in Production and Inventory Management (CPIM) which I believe was one of the main factors that led to my implementation success. Here are five reasons why I believe the APICS CPIM is a must for every ERP user and consultant:

  1. It harnesses your talents: It is widely believed that a lack in SCM talent is the reason behind many ERP implementation failures or less than optimal ERP performances – both the user/consultant sides. And while there is no one-size-fits-all kind of advice, the APICS CPIM certification has so many benefits to both users/consultants that I almost always advise people to pursue APICS CPIM because it is more about getting the best ROI of an ERP implementation.
  2. It follows a process-orientated approach: ERP commercial packages are all built to computerise the classical value chain activities of a company. These value chain activities are resembled in the modular structure that all commercial ERP packages follow. For example, business processes relating to Supply Chain Planning including, Sales and Operations Planning, Demand Management, Production Planning/Scheduling would be found under the Production Planning “PP/PP-PI” module in SAP ECC ERP. Likewise, other business process compromising a company’s value chain would be found as “canned” business processes across different modules of an ERP solution. The CPIM follows a process orientated approach to Supply Chain planning in a fashion that’s is almost identical to what is found in a SCM/Manufacturing Modules of and ERP package. This strategic fit between how ERP systems are structured and the process-oriented structure of the CPIM courseware is what makes CPIM the most powerful framework for SCM/ERP professionals in both user/consultant roles.

    cpimls2018-composite-plus-books

    Australasian Supply Chain Institute offers the CPIM Learning System for self study or together with Guided Learning sessions, available right across Australia

  3. It mirrors the same language as your ERP: The concepts and terminology of an SCM/Manufacturing module of an ERP system, such as MPS/MRP, BOM, phantom assemblies, time fences and forecast consumption techniques, just to name a few, that prove tricky for most users/consultants to grasp are explored in-depth in the CPIM courseware in an a clear and easy to follow approach with plenty of real life examples. This helps to better utilise system functionalities/features that are likely to be ignored due to the lack of underrating of such concepts.
  4. It builds confidence to apply a configuration effort: CPIM equips designees with knowledge that proves critical to guide system configuration efforts in the SCM area.
  5. It results in better, more streamlined implementations and a higher ROI for digital transformation efforts: Many companies the likes of BASF, DuPont and Intel have adopted APICS frameworks which helped them achieve organisational goals and increase the efficiency of their systems and people. It’s why over 110,000 other SCM practitioners around the world have attained the CPIM. Now it’s up to you. https://www.apics.org/apics-for-business/customer-stories

By Hatem Abu Nusair, M.Sc. Engineering, CPIM-F, CSCP-F, SAP Certified Application Associate, APICS Master Instructor

Haytem

Hatem is a Global Supply Chain Management & ERP Expert. He is currently the Production Planner at Tip Top, one of GWF’s divisions in Sydney, having moved from Jordan where he worked for a blue-chip international company that grew rapidly. Here, Hatem founded the Regional Middle East & North Africa (MENA) Supply Chain Department with the purpose of optimising Supply Chain performance across 13 subsidiaries through demand management and forecasting, capacity management, inventory control, and special projects, which entails: IT initiatives, ERP implementation, re-engineering of Supply Chain processes and other relevant matters.

Hatem is a qualified Industrial Engineer and a Master of Manufacturing Engineering candidate at UNSW. He is a Certified Fellow in Production and Inventory Management (CPIM-F) by APICS, a Certified Fellow Supply Chain Professional (CSCP-F) by APICS and a Certified Application Associate by SAP SE.

Hatem will be facilitator for Term 4 CPIM Part 2 Guided Learning for Australasian Supply Chain Institute where will be share his passion of streamlining supply chain processes, eliminating redundancies and utilising enabling technology to achieve operational goals with CPIM Part 2 students.