6.21.2010

sister values


The more I read this list of tips to improve supply chain visibility from the Global Transportation Management newsletter, the more I think transparency and sustainability (along all 3BL dimensions) are analogues for one another. Really, they go hand in hand.

We'll take a few points and compare:

1. Accommodate Multiple Fulfillment Models.
Visibility solutions need to be highly configurable to accommodate all of the various fulfillment models in operation across the enterprise. [...] Supply chain visibility solutions that are flexible enough to accommodate multiple fulfillment models allow benefits to accrue across the enterprise and not within a specific product line or operational model.

Like supply chain fulfillment, sustainability is definitely not a one-size-fits-all model. It requires flexibility, meeting businesses' unique needs, and adapting to differing demands across industries, geographies, and business sizes.

2. Create an ‘Information Hub’.
Visibility solutions not only extend processes outside the four walls, but must integrate and aggregate key information from within the four walls of the enterprise. The ‘Information Hub’ creates a one-stop-shop for key order, shipment, and inventory information from all internal ERP, TMS, WMS and other inventory planning systems.

Having a central location for all data surrounding business-related activities helps not only track and manage a business's social and environmental footprint, but also aids in continuity in the event of turnover or promotion.

And we'll cherry-pick through the rest, but I think all points are pertinent.

3. Don’t Assume Data Quality.
Aberdeen Research recently conducted a survey and discovered that only 16% of Visibility implementations have data quality above 91%.

Always try for better data. If your data are corrupt, noisy, or just incomplete, you may be missing a big part of the picture regarding your business's impact.

6. Push Visibility Back to Origin

This should go without saying. Informational linkages back to the source mean easier, more complete tracking of your impact, especially if these informational linkages are high quality and automated.

7. Finally Manage Trading Partners with Scorecards.
The by-product of operational Visibility is a rich repository of supply chain data that can be aggregated across the enterprise and with all trading partners year after year after year.

Once you aggregate data on yourself and on your suppliers, you should aim to evaluate your suppliers with a well-defined scorecard at least once a year. If suppliers fail to meet sustainability goals, and if they can't be pressured to meet them, it's a big ocean out there, and rapidly increasing in size.

8. Track Landed Costs Along the Chain.
Aberdeen reports that companies that implement visibility are twice as likely to reduce total landed costs over the past two years.

This should go without saying. If you know what the impact of your business is along its chain and at each stage, then you can manage and improve it.


Again, I think the case could be made for any of the ten tips, but these are the most obvious ways in which visibility and sustainability are really complementary values.

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