What’s in a Job Title? What Your Buyers and Demand Planners Say About Your Supply Chain

Ever stopped and thought about what distinguishes an organization with a mature supply chain function from a company that’s still building out its supply chain?

Here’s a clue: take a look at who they have working in their supply chain organization.

I’m not talking about the quality of people, per se. I’m talking about their job titles.

Any supply chain organization…

EOQ, RIP? The Decline and Fall of a Great Idea

According to most sources, the concept of economic order quantity (EOQ) was developed in 1913 or 1914. That means we're observing its centennial. Happy birthday, EOQ!

In most cases, a 100th anniversary would call for a celebration. In this case, though, I believe we should mark the centennial of EOQ by putting it to rest once and for all.

Don't get me wrong: EOQ has served a…

Planning Safety Stock Levels: By Quantity or Time?

I’ve written at some length about the importance of safety stock in the overall health of your supply chain, how to stratify customer service levels for greater profits, and about how to approach the task of calculating your ideal safety stock levels.

There’s another important consideration involved in setting your safety stock levels, though. You have to decide whether it’s best to look…

Stratifying Customer Service Levels for Greater Profits - ABC Analysis

In my last post, I talked about the importance of safety stock, as well as its associated costs. In this post, we’ll look into how you’re setting your customer service level targets.

When you set customer service level targets, are you treating all of your items the same? Are you treating all of your customers the same? If so, does that really make sense?

One reliable approach…