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Showing posts from December, 2012

Nine Ways - Warehousing Adds Value

Outdated philosophies may prevent us from recognizing and integrating some of the new ways the warehouse or distribution center (DC) can add real value to our operations. Let’s talk about moving dinosaur thinking into the 21st century. Let’s talk about the evolution of warehousing as a means of adding value to your organization. In another “era,” when I first started out, there were basically only four types of warehousing that were thought to benefit an organization: Storage Warehouse: The use of a facility to stockpile inventory for outbound shipment in a make-to-stock plant environment or where MRO items are held for consumption, repair, and service of plant facilities and equipment. The intention is to have long-term storage. Production Warehouse: The utilization of a facility to hold materials and components for inventory prior to their need in processing, production, or manufacturing. The goal is to level demand. Order Fulfillment DC: A facility that holds inventory to meet cust

Modernising Legacy Supply Chain Systems

The pace of change in manufacturing, distribution and retailing has been increasing rapidly in order to support international expansion, while in the face of a wide variety of external challenges. Uncertain economic conditions are presenting CIOs with an almost impossible task: How to transform IT in order to meet the business’s constantly changing and evolving needs while staying within budget, ensuring projects are delivered successfully, and proving new systems have a lower TCO for the ongoing business. This challenge is made more complicated because so many companies are tied into big investments in legacy systems. These behemoths resist change and are so ingrained in the business that the prospect of modernising or replacing them can be daunting from an implementation effort standpoint and challenging from a cost justification perspective. There are however a number of compelling reasons why a business should consider upgrading its legacy systems. The first is the increasing cost