Sunday, January 25, 2009

Supply Chain Management strategies that can beat your rivals

By Larry Emsweller

"You can't beat your rivals by [following] the old rules." At least that is how retired GE CEO, Jack Welch feels. Yet, you can beat them by using new and successful supply chain management strategies. The problem is that many rely on what they know, and the simple fact is, the old rules don't work anymore. New Supply Chain Management strategies are available and in order to survive you must implement them.

What's the major component that makes up the new rules - distribution scheduling software.

Distribution Master Scheduling (DMS) is a process that determines how to best coordinate production and distribution, and manage the timing of events. DMS understands the production schedule, which orders are due over the next weeks, and where inventory is located. It uses this data to:

1. How to determine where each order ships from. DMS defines dock schedules to minimize handling. As an example, it can schedule a shipment as the product is being made because it knows which production line it is on and places it directly into a truck or when it can be cross-docked.

2. One of the advantages of the software is the ability to tell you where the product should be placed as it comes off the line - either in the plant or in one of the outside warehouses. Most WMS systems only tell you where the product should be stored in the plant.

3. This is proactive because it can offer insight and foresee stock-outs or failures in the system and provide alternative action.

4. Minimize pallet handling

Procter & Gamble uses AutoScheduler - Distribution Master Scheduling software - from Transportation l Warehouse Optimization [www.TransportationOptimization.com] in its largest operation around the world to maximize supply chain management strategies. It is sophisticated software that manages the data and maximizes optimized scheduling.

One P & G site reported a 33% reduction in WMS transactions after installing AutoScheduler. This optimizer is very effective in reducing supply chain management effort and costs while increasing customer service.

Beating your rivals requires new rules and the introduction of Distribution Master Scheduling software.

Test your skills and see how efficient you are at managing costs by loading a truck or a warehouse. Visit www.TransportationOptimization.com. While there, request a call back from one of the premier transportation consultants in the industry, Thomas Moore and his associates at Transportation | Warehouse Optimization. Working for many companies in the top Fortune 50 like Procter & Gamble and BP, they understand your unique problems and know how to solve them. Transportation l Warehouse Optimization - Solutions that work. Solutions that save.

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