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1. Supply Chain Management/ e-Procurement/ cMfg WorkshopDate: April 27, 2001Time: 9:00 A.M - 3:00 P.M
2. Agenda 9:00 - 9:15 - Introductions 9:15 - 10:00 - Supply Chain Management 10:00 - 11:00 - e-Procurement Overview 11:00 - 11:15 - Break 11:15 - 12:00 - c-Manufacturing 12:00 - 1:00 - Lunch 1:00 - 2:30 - Workshop 2:30 - 3:00 - Implementation Considerations, Case Studies 3:00 - Summary and Conclusion
3. Supply Chain Management
4. Supply Chain Management“Planning, implementing and controlling the efficient and effective sourcing, production and delivery processes for a final product, services and related information from the point of origin to the point of consumption for the purpose of conforming to customer requirements. "
5. Supply Chain Management Goal“To create a real-time, virtual marketplace where all the people connected to SAIC are engaged in informed decision making and customer fulfillment. Evidenced by: Lead time- response time is reduced, revenue opportunities are generated, costs are cut, customer satisfaction is increased. "
6. The 5 major strategic concepts of Supply Chain ManagementCustomizationCompanies have a choice and ability to adapt their operational environment to changing market demand CollaborationAll partners in the supply chain do not only optimize their operations but jointly plan, optimize, monitor and execute. VisibilityAll partners have real time information about status and performance of each element in the supply chain from customers to suppliers. OptimizationBest practices and most advanced tools bring the partners in the supply chain and its total result closer to its optimum. SynchronizationThe end result is a totally synchronized supply chain that is entirely driven by the customer’s demand.
7. Supply Chain Value PrinciplesProvide Visibility of Information Inventories, Forecasts, Orders, Plans, Engineering Changes, KPIs Synchronize Activities Optimized feasible sourcing/planning, pull-based triggers Promote Responsiveness Reduce time to detect demand, commit, produce, fulfill Leverage Market Mechanisms Aggregated buying power, auction-based buying/selling Achieve Process Simplification Automated steps, One-step business
8. SUPPLIER NETWORKINTEGRATED ENTERPRISEDISTRIBUTIVE NETWORKInformation, Product, Service, Financial and Knowledge FlowsM A T E R I A L SCapacity, Information, Core Competencies, Capital and Human ResourcesRelationship ManagementSourcingOperationsLogisticsE N D C O N S U M E R SSource: Supply Chain Faculty, Michigan State UniversityTHE INTEGRATED SUPPLY CHAIN
9. Challenges for Supply ChainsTake orders over the web, or automatically via B2B Offer rich product selection and/or the ability to customize Source the order and commit to delivery, immediately, online Service the order online, including changes and inquiries Deliver product quickly, efficiently, profitably Be in constant communication with customers and suppliers to respond quickly to “pull signals” to manage inventories adapt quickly and economically to changes in demand/supply operate with low inventories
10. Internet Selling Collaborative Planning, Forecasting and Replenishment CPFR Internet Vendor Managed Inventory iVMI Collaborative Supply Planning CSUP Collaborative Production Planning Capable to Promise CTP e-Procurement (auctioning, bidding) Internet-based Tendering Internet-based Kanban e-Fulfillment Collaborative Business Scenarios
11. Drivers of High Performance Achievement(Rated by Priority)Customer integration Internal integration Technology/Planning integration Relationship integration Measurement integration Supplier integration
12. Customer IntegrationHigh Achievers: Identify and focus on important customers Use formal visioning process Implement preplanned solutions Develop responsive or pull logistical capabilitiesSegmental Focus Relevancy Responsiveness Flexibility
13. Material/Service Supplier IntegrationHigh Achievers: Develop interlocking programs and activities Commit to shared responsibility with suppliers Place employees at customer/supplier business facilities Enter into long-term agreements Include suppliers’ suppliers in planning Fusion Financial Linkage Strategic Alignment Operational Supplier Relationship Management
14. E.Dashboard - Key Performance IndicatorsMaximize Economic ValueOn-Time DeliveryLead TimeCash-to-Cash CycleInventory TurnsOrder Management CostPerfect Order FulfillmentOrder Fill RatesInventory Carrying CostSG&AIncrease Revenue Decrease Cost Improve Asset Utilization
15. The E-Dashboard . . . Is a web-based tool that allows dynamic monitoring of the Supply Chain Solution Monitors Key Performance Indicators to optimize important business processes Measures Return on Investment Allows decision makers at all levels of an organization to navigate, organize, record, and analyze strategic business information to develop insights and understand possible scenarios which would lead to improved decision making
16. Digital Order Fulfillment Process ExampleERPA TPERPA T PERPA TPWEBA T PERPOrder/ Product ConfigurationDSSMESWEBPCSI’d like Product A, with Features B, C and D, by Date E.Do we have all the material? What is the priority? Buildable? Cost? When can we deliver? Special handling required?1st Supplier: Yes, I’ll reserve it. 2nd Supplier: No. 3rd Supplier: I’ll need a confirmation signal from my suppliers.123CustomerManufacturerSuppliers
17. Digital Order Fulfillment Process ExampleWe can have your product by this dateYes, we can684Confirmed57Order it!Confirm the orders to suppliers Allocate the material Schedule productionERPA TPERPA T PERPA TPWEBA T PERPOrder/ Product ConfigurationDSSMESWEBPCSCustomerManufacturerSuppliers
18. Industry Specific Value Chain Issues/ Challenges/ Solutions
19. Better, Faster Decisions Drive Velocity...Receive Material Release DataProcess OrdersPlan Production & Make Intelligent DecisionsSend Material Release DataAIAG Worst Case*AIAG Benchmark*Plant w/o i2BR1: Plant w/ i2 Line Scheduling Decision SupportBR2: Plant w/ i2 Material & Capacity Planning Decision SupportTotal2 days4 days5.5 days30 min11.5 days*Source: AIAG Manufacturing Assembly Pilot Project Final Report10 min1 hour5 hours30 min6.5 hours1 hour1 hour7 days30 min7.1 days1 hour1 hour1 day30 min1.1 days1 hour1 hour4 hours30 min6.5 hoursTime delays result in additional mix and volume buffering
20. Legacy Automotive CommunicationsMultiple ProtocolsComplex, Costly, Ad Hoc, InflexibleDesignMfg$$$Customer #1Customer #3Customer #2Supplier #3Supplier #2Supplier #1Inconsistent service, securityEDIVANs*EDIVANs** VAN = Value-Added NetworkMultiple Links
21. ANX Value: Network Consolidation- Single link, protocol - Consistent, high service quality & security - Multiple - companies - traffic types - sectors, continents Simpler, Lower Cost, Managed, AdaptableCustomer #1Customer #3Customer #2Supplier #3Supplier #2Supplier #1ANX
22. “The Business Internet”* Revised April 4 20011 ANX-Certified Exchange Point(1 more underway in Europe)AmeritechANX-Certified IPSec security gatewaysavailable from 10 vendors7 ANX-Certified Service Providers (CSPs)EquantAT&TBell NexxiaWorldComAmeritechIdeal TechnologySolutionsipulsys700+ production Trading Partners (TPs)(160 more underway)Trading PartnersTrading PartnersTrading PartnersTrading PartnersTrading PartnersTrading PartnersTrading PartnersANX StakeholdersANX
23. Usable in any sector: Business, government, academic, non-profitBased on Internet technologies: Standards-based, off-the-shelf products No proprietary solutionsVariety of connectivity, speed: Dial, DSL, ISDN, and 56 KB  T3Available globally: North America: Canada, Mexico, U.S. Africa, Asia, Australia, Europe, South AmericaANX Characteristics
24. ANX  Covisint RelationshipSimilarities: Funded, endorsed, guided by Big 3 OEMs Spun-off as separate for-profit companies But different meanings of “exchange”Complementary Roles: ANX  network service infrastructure Covisint  e-business processes, applicationsSynergy: ANX enables faster Covisint roll-out to 700+ TPs Covisint is an ANX customer, with 2 connections
25. E.Procurement
26. Common TermsE Business- Buying, selling transacting or exchanging information via Internet with customers, suppliers, employees Reaches beyond advertising and marketing, includes core business processes of order entry, purchasing, supply chain, CRM E Commerce - Transaction-oriented Web based functions such as placing orders, order entry, payments E Procurement- Requesting, Approving, Ordering, Receiving, and Payment of goods and services via the Internet Trading Exchanges, Virtual Marketplaces, Portals - Vertical industry focused Web sites for buyers and sellers to make offers to buy and sell, conduct transactions. Dot Com’s
27. Marketplace TrendsElectronic CommerceSuppliersBombarded with infoWhy companies are considering e-procurementBuyersSoftware vendors push their products Magazine and news coverage aboundsCosts too highVolume not leveraged Significant accounts payable effort Users buying at retailProcesses are inefficientApprovals take days or weeks Users are wasting time 85% of purchasing time spent managing orders Too much re-keying and errorsNot leveraging new technologiesTheir competition is doing it Their intranet is under-utilized They have multiple home-grown systems ERP implementations are winding down Information unavailableDon’t know what they spend Users don’t know about deals No audit trail
28. The Business ChallengeThe Procurement Process of Today… Confusing and Slow: Multiple communication channels and processes, internal and external Time and Labor Intensive: Many suppliers, many different types of transactions to manage. Inaccurate: Information spread across many systems …must leverage product spending, reduce costs, and drive profit to the bottom line.
29. Fragmented Spend Pattern386151363010212315265938643381324610M+1M–10M11M–5M500K– 1M250K–500K100K–250K50K–100K25K–50K15K–25K10K–15K4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0$1.2 B $1 B $800 M $600 M $400 M $200 M $0Number of SuppliersTotal $/Supplier GroupPurchasesNumber of suppliersTotal $ per supplier group$3.8 billion with 17,700+ suppliers
30. Lack of Enterprise Leverage16,773 suppliers used only in 1 business unit. Only 1 supplier used by all.16,7737041485431953112345678918 16 14 12 10 8 6 4 2 0Number of Suppliers (Thousands)Business Units CrossedAcross business units
31. E Procurement PracticesTraditional EDI, Electronic Catalog Ordering Systems, Internet Reverse Auctions, E RFQ/RFP.Buyers Implementation and integration of end-to-end Web-based self-service procurement system Objective: Cost Reduction Suppliers Development and management of electronic catalog and system for order-taking Objective: Revenue Enhancement MarketMakers Creation and hosting of infrastructure that connects buyers and sellers in a vertical or horizontal marketplace Objectives: Cost Reduction + Revenue Enhancement
32. Internet ProcurementInternet offers a breakthrough communications channel, New software applications bring simple user interfaces, electronic catalogs, secure channel for collaboration to do vendor managed inventory and document exchange.Catalogs Multiple items which are searchable by item number, description, category, or brand which can be ordered, acknowledged, tracked, invoiced and paid for on-line. Objective: Cost Reduction Auctions Reverse or downward auction in which buyer invites qualified suppliers to beat the lowest price. Bidders see their bid in relation to lowest bid in real time Objective: Lowest possible price
33. Internet Reverse Auction CompaqHPDellSourcing team Internet Auction ServiceAuctioneerHosted serverIBMSuppliersBuying Organization
34. Category selection considerations Categories for AuctionDoes the value per buy exceed $1.0 millionEvent Auction CriteriaIs the same good or service routinely purchased Is the value per buy above $30,000Recurring Auction CriteriaGeneral CriteriaIs the market competitive (i.e. more than 4 suppliers) Is the good or service fairly well defined Line items for a sub-category exceeding 25 can be put into a market basket Lack of supplier constraints (e.g. switching cost) Can suppliers access the Internet“Don’t Auction” Criteria Categories involving joint process improvement with suppliers Highly strategic suppliers offering truly unique items
35. Steps in an Auction Process Potential Steps in the Auction CycleProfileCategory &SupplyMarketIdentifyPotentialSourcingStrategies 1st RoundSupplierQualificationSetupAuctionSourcing Strategy Auction EventFinal SelectionConductAuctionReport &AnalyzeNegotiatewith andselectsupplier(s)Customized auction environmentSupplier and buyer trainingOne time auction environment setupAuction eventPost-Auction reporting and analysisBid confirmation from suppliers Event Auction Deliverables1Recurring AuctionRecurring auctionNote: (1) Deliverables are the same for the event auction and 1st recurring auction
36. Internet ProcurementOBI Open Buying on the Internet. An industry standard that enables buyers to access product, pricing, and availability information directly from a supplier’s Web site, providing increased control over the presentation of product and other information.Intelesys Netscape Buyer Xpert
37. Supplier has the data Each has unique ordering screens and processes Buyer forced to find suppliersLow risk e-procurement entry Quick implementation Advanced ordering techniques (product configurators)PharmaCoAutoCoServiceCoSupplier Centric SolutionCatCatCatDellStaplesGraingerBenefitsExamplesRisksDell.com Staples.com Grainger.com
38. Managing catalog Run technology Supplier integrationSecurity Control over catalog Customized environmentCatCatCatBuyer Centric SolutionDellOffice DepotGraingerPharmaCoAutoCoServiceCoBenefitsRisksExamplesAriba ORMS Oracle Web Req CommOne BuySite
39. Access to new markets, customers Eliminates regional barriers Streamline sales process Reduced cost of sales Centralizes catalog content requirementsLeveraged catalog management Availability of many suppliers Faster implementation Enables personalized catalog view Lower cost of entry Pay as you goPharmaCoAutoCoServiceCoWhat is a MarketMaker?PC Co.Office Co.MRO Co.E-ProcurementMarketplaceSeller BenefitsBuyer Benefits
40. E.procurement TomorrowSuppliers MarketplaceBSBBSSCovisint MarketplaceBSBBSSSAICMarketplaceBSBBSSHorizontalMarketplaceBSBBSS
41. The Key to SuccessE.Procurement is not about technology alone. Savings are never automatic. Centralized procurement will need to negotiate the required agreementsStreamlining processes Enabling processes with technology Simplify payment process Optimizing the supplier base
42. Supplier ReadinessE.Procurement requires Supplier capabilities At a minimum: 1. Electronic catalog content files 2. Internet access Desired: 3. Inventory availability 4. Order Status 5. Shipping details 6. Order entry integration via XML
43. Two Categories of ProcurementProcurement of Indirect and Direct goods and services are usually the responsibility of two separate organizations and have different business objectives and strategies such as long term contracts versus spot buys.Indirect Office Equipment and supplies, Computer & IT equipment, MRO, Services, Expensed goods and services not consumed in the manufacturing of a product Direct Raw materials and packaging materials used in the manufacture and assembly of products.
44. BenefitsLeverages corporate spending power for lower prices Enables increased use of price agreements and approved suppliersReduces total lead time by 50–80%Improves buyer’s role as negotiator Reduces transaction processing time and manpowerAcquisitionInventoryCarryingTransactionCost reduction in three major areas
45. BenefitsExamples of electronic procurement resultsTransactionCostsAdditionalDiscountsCycleTimeComplianceAgreementsCosts perTransaction-90%-10%-75%+30%PriceTimeCompliance100%100%20Days60%90%10%5Days90%
46. BenefitsIntangiblesBenefitSourcePurchased UnitCost ReductionProcess EfficiencyBenefits = software solution + process changeAs a percentage of total purchase cost plus process cost for a catalogued item Software-relatedBenefitsIncreased use of price agreementsTransaction costs reduction Accounts payable cost reduction Lead time reductionProcurement data availability Systems harmon-ization User interface simplification2–5%*Process ChangeBenefitsStrategic sourcing leverage Compliance enforcement Demand managedLogistics/inventory cost reduction Buyer efficiency Control system simplificationEnd-user efficiency Automated controls and audit trails Increased customer satisfaction10–15%*Purchasing Efficiency Supplier Integration
47. SAP, Global Chemical & Pharmaceutical Marketplace Business Challenge: Chemical industry’s online sales increasing to 40% by 2005) Disintermediation of chemical producers Lower overall supply chain costs Increase overall service efficiency Deeper penetration of strategic accounts Capture wealth in the new economy EDS Role: Technology and Integration support A.T. Kearney Leveraged Sourcing Networks corporate buyers and strategic suppliers Initial Members: BASF AG Bayer AG Degussa-Huls AG Henkel KgaA KSB AG Linde AG Sartorius AG Siemens AG Heinz Wollschlager GmbH
48. Case Study – TruckBayBusiness Challenge: Create B2B Marketplace for the trucking and trucking maintenance industry. Corporate startup: No business processes, no infrastructure architecture, and no existing systems are in place for this EDS Solution: Deployed the initial marketplace within 90 days Adopted 30 suppliers Normalized 60,000 catalog items Implemented Marketplace in five months Will add further customizations and reverse auctionsClient Value: Lower buying/selling transaction costs Provide alternate parts catalogs Reduce buyers’ inventory carrying costs Increase productivity of procurement processes Cut layers from existing distribution channels Consolidation of procurement activities
49. Trading Exchanges: The Executive Dilemmas Do We Join an Existing Exchange? If So, How Do We Prevent Our Products From Becoming Commodities? Do We Form An Exchange With One or More of Our Competitors? How? We’ve Hated Them for Decades? Do We Start Our Own? Will Anyone Join?
50. The Engines that will Power CovisintIntegration Engine Communication Engine Collaboration Engine Procurement EngineCovisint is still a novelty, but it will become a critical component in every suppliers e-business strategy
51. Problem SummaryLack of connectivity to all suppliers / all customers Push vs. Pull Batch vs. Real time Cost of communication / EDI Maps Requires Personnel Intervention Builds InventoryProblem Summary
52. Real-time Visibility of Inventory, Consumption, Shipments, and ForecastsTier-2 manages material flow to Tier-1, and to Tier-1's inventory Benefits: Eliminate excess inventory Reduced expediting Better planning/execution Economically communicate demand forecast/delivery notifications to suppliers Internet / ANX
53. Today’s Solutions :Provide real time data flow Web Browser Visible System to System – XML Compatible with EDI Multiple fulfillment processes Able to connect with emerging exchanges Delivering big results quickly WIN WIN for both sides of the supply chain Today’s Solutions :
54. Collaborative Manufacturing Workshop
55. How close are we to a 5-day car? 63 days away!Source: AMR ResearchModule and Component WarehouseModule and Component Supplier (3 day Production)Assembly Plant (6 days to assemble)Distribution Center and Outbound LogisticsOEM Regional OfficeDealerConsumerOrder = 1 daySales Order to Region = 5 daysOrder to DC = N/AOrder to Production Sequence = 25 daysCheck Component Inventory = 2 daysOrder Module= 2 daysDeliver Component= 2 dayDeliver Compoent= 1 dayDeliver to DC = 8 daysDC to Dealer = 11 daysRegion to Dealer = N/ADeliver Vehicle = 2 daysOrder to Component = 35 days Component to Consumer = 33 days Today’s Order to Delivery = 68 days (and that’s without ordering steel) Today’s Delivery Date Accuracy < 20%
56. Accelerated OTD is Enabled by Information VisibilitySource: AMR ResearchDo you have a lime-green 2-door, manual, no A/C?Vehicle Tracking SystemDealer InventoryDC InventorySales Incentive SystemProduction Sequencing SystemCRM SystemHow about lime-green, 2-door, manual with A/C with $100 off?Information Visibility Is it on the lot? Is it on a truck? Is it in DC inventory Is there a fleet vehicle being held for future delivery? Is scheduled for production? Is there similar a fleet car scheduled? Is it a loyal customer? Are pushing the model Special option packages Are there dealer incentives? Is there something close?
57. Impact of re-engineered OTD on SuppliersTypical impact on commodity suppliers… faster/cheaper In-sequence production will become mandatory for critical system suppliers Less pressure on component inventory Little impact on material suppliers Co-location will become deciding factor for choosing key system suppliers
58. e-Manufacturing Solutions
59. Enables manufacturers to deliver on promises Addresses order fulfillment issues created by the e-business model to conduct business through effective integration Ensures manufacturing people, processes, and technology are aligned with e-business goalse.Manufacturing Defined Enabling Manufacturing Operations for e-businessResult: Demand fulfillment synchronized with demand generation
60. Finished Goods StorageMaintenance/RepairsScrap/ ReworkProduction LinesShipping/ReceivingBar Code PrintingBar Code Shipping Faster shipping interfaced to ERP systemsMaintenance Integrated life cycle management of assetsError Proofing Product correctly labeled and shipped error freeQuality Improvement First time quality is faster and cheaperTracking & Traceability Product recall capabilityLean Manufacturing Increasing throughputInventory Management Increasing inventory turnse-Manufacturing SolutionsEnterprise Training Foundational training for manufacturing professionals
61. Order Fulfillment - Functional AreasProduct marketing, development and configuration Supply chain network planning Demand forecasting and planning Supply planning and sourcing Manufacturing scheduling Warehousing and inventory planning Transportation and distribution planning Manufacturing Execution Maintenance, repair and operations planning and execution Performance measurement and monitoringPlanExecuteMaintainCollaboration
62. S t akeho l de r sCustomers, ResellersSuppliers, Distributors, PartnersCustomer Relationship ManagementMarketingSalesCustomer ServiceSelling Chain ManagementSupply Chain ManagementEnterprise Resource PlanningLogisticsProductionDistributionKnowledge-Tone ApplicationsEnterprise Application Integration Administrative Control HRMS / BMS / ORMS Finance/Accounting/Auditing Management ControlEmp l oye e s
63. Business problems that lead a customer to EAI Service: How do I ... …conduct electronic business (cross selling) whose overall enterprise business process spans multiple disparate application systems and manual processes ? … conduct electronic commerce that spans multiple enterprises ? … enable a business process to span the boundaries of independently designed and managed systems (applications, data warehouses, third party systems, packaged applications) ? … facilitate efficient, cross-functional information flow across disparate data warehouses, ERP system, and legacy environments ?Business Challenges
64. Business problems that lead a customer to EAI Service: How do I … (continued) ... integrate information systems from different infrastructures and geographies ? ...provide users with more power to gather and analyze data for improved decision making ? ...leverage legacy investments to satisfy information requirements at the desktop ? ...meet immediate business requirements while developing an improved enterprise environment? Business Challenges
65. The Integration Challenge The Traditional Approach ... integrates applications only one at a time, creating an ultimate morass of individual links that cannot be reused to develop subsequent applicationsThe New Integrated Approach ... Uses a middleware layer of standard interfaces to mediate interactions among legacy applications, packaged applications, data warehouses, business methods, and new Web functionality.
66. Enterprise Application IntegrationEnterprise PortalIntegrated Enterprise Division A System SAP FinancialHRMS Division C System Division B SystemSCM/ CRM Application Process Control SystemsBusiness Partners SystemEAI/MiddlewareEnterprise Data Warehouse
67. Application Integration Frameworks Message Oriented Middleware Distributed Object Computing Decision Support Integration Web / Java Integration Transaction Processing Monitors Remote Database Access Systems Management and Security Interprocess CommunicationEAI Technologies
68. Application Integration Frameworks Message Oriented Middleware Distributed Object Computing Decision Support Integration Web / Java Integration Transaction Processing Monitors Remote Database Access Systems Management and Security Interprocess CommunicationEAI Technologies
69. New Ways of WorkingEEEEEEEEEEEEEEEEEEEValueTimeProcess automation No reengineering Accurate informationFunctional automation Reengineering of a process in a functional area Enhanced information accessImprove processes across departments Organizational reengineering Shared information networksInter-enterprise process improvement Inter-organization reengineering Integrated information networksCostCostProductivityCostProductivityRevenueRevenueOpportunityMarket ShareDepartmental efficiencyMulti-departmental efficiencyMulti-departmental integrated efficiencyInter-enterprise integrationTask Automation(Departmental Comp.)Information Sharing(Intra-Enterprise)Extended Enterprise(Inter-Enterprise)Virtual Enterprise (Community)
70. Small to moderate demand-supply mismatch Stable MPS/MRP Intuitive capacity measures and planning Short-term visibility (daily/weekly) Individual plant focus Customer-to-customer awarenessStage II - STABILITY The process is under control, with average performance.“Internal Cooperation”Large demand-supply mismatch Wildly inaccurate or non-existent forecasts Lost orders Heavy expediting Long lead times Frequent shortages Production schedules ignored by OperationsStage I - CHAOS Basic process control is lacking.“Functional Parochialism”Demand-supply match Supplier-to-customer focus Segmented demand planning Schedule sharing with customers and suppliers Long-term visibility (monthly/quarterly/yearly) Global, multi-plant focus Accurate forecasts (90%+) Real-time optimization, planning & schedulingStage III - BEST PRACTICE Process performance is equal to or better than that of competitors.“Internal Integration”“Shared” systems (instantaneous information exchange) Global inter-enterprise supply-chain planning (enterprise extension) Rapid inventory replenishment (customer pull) “Deterministic Demand” (forecasts unnecessary) Better predictability or better preparednessStage IV - TRANSFORMATION Process design and performance redefine the standard across industries.“External Integration”The Progression in Supply-Chain Management Is From Guessing About to Controlling Demand
71. Defining World ClassThe closer you are to World Class, the tighter your own information systems are integrated with themselves, with suppliers and with your customers. The closer you are to World Class, the more you treat your physical infrastructure as an asset.
72. Technology shifts helping to speed up the Digital EconomyDigital technology for the digital economy High-performance processing for the high-performance organization Network centric computing for the networked enterprise High Speed/ Broadband communications for the networked economy Smart on/off ramps to the information highway (IP enabled infrastructure) Interactive multimedia for complete communications Open systems for an open world Intelligent agents doing the work Rapidly deployable software for a rapidly changing world Collaborative environments for a new economy
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