Silver box - Indian Chamber of Commerce · Shangri-La Eros Hotel, ... Silver box p in™ Dynamic Alignment™ business model at the Enterprise level Market Place Strategy Culture

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

Keynote: Designing Dynamic Customer-Driven Supply Chains

Dr John Gattorna, Global SC ‘thought leader’ & Author*

7th Annual Supply Chain & Logistics Summit

* LATEST BOOK: Dynamic Supply Chains, 3rd Edn, Pearson, Harlow, UK 2015

Shangri-La Eros Hotel, New Delhi27 February 2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™‘Best-of-both-Worlds’ StrategyFrom one-size-fits-all to multiple supply chain alignment

CUSTOMER SATISFACTION

T r a d i t i o n a l p a r a d i g m

LOGISTICS COSTS

Time

Time

CUSTOMER SATISFACTION

LOGISTICS COST

N e w p a r a d i g m

Time

Time

% S

ale

s

% S

ale

s

100%

90%

80%

70%

60%

100%

90%

80%

70%

60%

Source: Adapted from Gattorna (2015) p.39 207/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™The Knowledge Funnel in Design Thinking

Mystery

Heuristic

Algorithm

Unravelling complexity, from ‘outside-in’

Source: Adapted from The Design of Business, Roger Martin, Harvard Business Press, 2009, Figure 1.1, p. 8 307/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Dynamic Alignment™ business model at the Enterprise level

Market Place

Strategy

Culture

LeadershipStyle

Hu

ma

n

pe

rf

or

ma

nc

eS

tr

at

eg

y

Bu

sin

ess

Pro

cess

es

Tec

hn

olo

gy

I

nfr

astr

uct

ure

U n d e r l y i n g L o g i cAn organisation must be aligned with its operating environment.

U s e f u l n e s sShows the interaction between customers’ needs, the formulation

of appropriate strategic responses, and the successful execution of these strategies by shaping the necessary internal capabilities and corresponding leadership styles.

P r e r e q u i s i t eUnderstanding of the customers’

fundamental needs and buying behaviours that ultimately drive sales, revenues, and profit.

“ R u l e s ”

“ P l a y i n g

t h e g a m e ”

“ I n t e r n a l

C a p a b i l i t i e s ”

“ S h a p i n g &

C r e a t i n g ”

Introducing the overarching framework of Dynamic Alignment™

‘Outside-in’

‘Inside-out’


Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

Dynamic Alignment™ business model and heuristic – from a supply chain perspective

Market Place

StrategyCultureLeadership

Style

Business Enterprise

Market

Business Processes

Technology + Infrastructure

D y n a m i c A l i g nm e n t™

StrategyThe ‘bridge’ between

the market andthe enterprise

Dynamic Alignment™ as the heuristic in Design Thinking

Source: Adapted from Figure I.2 in Gattorna (2003), p. xiii; Gattorna (1998), p. 5; and Gattorna (2006), p.16. 507/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™From ‘Static’ to ‘Dynamic’ design of enterprise supply chains

C u r r e n t

F u t u r e

Static Configuration – ‘one-size-fits-all’ (push)

ProcurementStrategies

LogisticsStrategies

The Enterprise

CEO

Functions /BUs/Geographies

Source Market (Supply)

Sales Market (Demand)

Procurement Manufacturing Marketing Sales IT Logistics

Market PlaceStrategyCulture

LeadershipStyle

Business Enterprise Market

Business Processes

Technology + Infrastructure

Strategy

D y n a m i c A l i g n m e n t ™ M o d e l

Dynamic Configuration – multiple alignment (push + pull)

ProcurementStrategies

LogisticsStrategies

CEO

Functions/ BUs/Geographies

Source Market (Segments)

Sales Market (segment)

COO

The Enterprise

Organisational Clusters

Source: Adapted from Gattorna (2015) p.xxix

See next slide for details on organisation design

607/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™A new organisation design for supply chains of the future

L e a n

Customer Expectations (segments)

Internalorganizational

clusters

Demand-sidenetwork

F u l l y F l e x i b l e

C o l l a b o r a t i v e

A g i l e

MF

L

SI

MK

F

HRP

MF

L

SI

MK

F

HRP

MF

L

SI

MK

F

HRP

MF

L

SI

MK

F

HRP

CULTURE-LEADERSHIP

D

a

•I

aa

COLLABORATIVE

TRANSACTIONAL

DEMANDING

INNOVATIVE

PROJECT ACCUMULATION

MF

L

SI

MK

F

HRP

C a m p a i g n

Key: P = ProcurementMF = ManufacturingL = LogisticsS = SalesMK = MarketingF = FinanceHR = Human ResourcesI = IT

SupplierExpectations (segments)

Supply-sidenetwork

F u l l y F l e x i b l e

C o l l a b o r a t i v e

A g i l e

L e a n

D

a

•I

aa

TRUSTED & RELIABLE PARTNERS

PROCESS DRIVEN

PLANNED CREATIVITY

OPPORTUNISTIC

EVER RELIABLE

C a m p a i g n

707/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™The five most common behavioural segmentsTransactional

▪Predictable demand within contract

▪Regular delivery

▪Efficiency, low-cost focus

▪Multiple sources of supply

▪Little sharing of information

▪More adversarial

▪Standard processes

▪Transactional

▪Very price sensitive

Consistent low-cost response to largely predictable

demands

Innovative Solutions

▪Very unpredictable demand

▪Higher risk

▪Flexible delivery response

▪Innovation focus

▪Rapid change

▪Individual decision making

▪Solutions oriented

▪Management of IP

▪Incentives/ego

▪No price sensitivity

Supplier-led development and

Delivery of new ideas

Collaborative

▪Mostly predictable

▪Regular delivery

▪Mature or augmented products

▪Primary source of supply

▪ Trusting relationship

▪ Teamwork/partnership

▪ Information sharing

▪ Joint development

▪ Forgiving

▪Price not an issue

Close workingrelationships for

mutual gain

Dynamic

▪Unpredictable demand

▪Commodity relationship

▪ Time priority/urgency

▪Opportunity focus

▪Ad hoc source of supply

▪ Low loyalty, impersonal

▪ Fewer processes

▪Outcome oriented

▪Commercial deals based on pragmatism

▪Price aware

Rapid response to unpredictable supply and

demand conditions

Project Accumulation

▪ Time-specific deliveries

▪Stock reservation

▪Completed deliveries

▪Expedite if necessary

▪Accumulation off-site

▪Special packaging

▪Special transport if necessary

▪ Fixed price

▪Delay avoidance

▪Risk mitigation

▪Systematic and detailed supervision

Delivery to project site on time

and complete


Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

Research inputs to dynamic supply chain design

CUSTOMERBUYING BEHAVIOUR

IDENTIFY KEY SEGMENTS

Customer Research

Customer expectations

Service sensitivities

Demand drivers

Customer

Operational Drivers

Includes:

Lead time needs

Delivery needs

Stockholding

Planning horizon

Ordering patterns

• Business growth strategy

• Cost & risk imperatives

• Customer sales patterns

• Customer briefings

Network Modelling

Customer research & data analysis Business strategy

•

•

•

• xxxxxxxxx• xxxxxxxxx• xxxxxxxxx

•

•

•


•

•

•


•

•

•


Design service offers and supply chains

Service offers

NetworkTailored

Common Network


Source: Gattorna Alignment research

Combining primary research and analytics to understand the hidden patterns

907/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Flow characteristics typical of each supply chain configuration

Flow types Customer segmentsTypes of supply chains

C a v i t a t i o n

Fully FlexibleUnplanned and unplannable demand due to unknown customers with exceptional, sometimes emergency requests

S u r g e

AgileUsually unplanned, at least until the last possible moment. May result from promotions; new product launches; fashion marketing; unplanned stock-outs; or unforeseen opportunities.

B a s eCollaborativeVery predictable demand from known customers; easily managed through tight collaboration with these collaborative customers.

S e m i - W a v eLeanRegular pattern of demand, quite predictable and forecastable; although may be seasonal. Tend to be mature low-risk products/services.

CampaignIrregular, but planned, sometimes months ahead. The task is to ensure all components are accumulated and delivered together to site at a predetermined date/time

P r o j e c t

These flows typically do not appear in need laminar flows as presented

Source: Adapted from Figure 2.4 in Gattorna (2006), p.46. 1007/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Matching SC types for the five most common behavioural segments

Transactional

LEAN SUPPLY CHAIN

Consistent low-cost response to largely

predictable demands

Innovative Solutions

FULLY FLEXIBLE SUPPLY CHAIN™


delivery of new ideas

Collaborative

COLLABORATIVE SUPPLY CHAIN™


mutual gain

SE

GM

EN

T Dynamic

AGILE SUPPLY CHAIN

Rapid response to unpredictable supply

and demand conditions

Project Accumulation

CAMPAIGNSUPPLY CHAIN™

Delivery to project

site on time and complete

SC

RE

SP

ON

SE

These five supply chain types provide at least 80 percent coverage in most product/service market situations

Source: Adapted from Table 1.3.1 in Gattorna (2003), p. 32; see also Gattorna (2006), p.41. 1107/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

The metaphor for supply chain alignment – multiple conveyor belts running in parallel, but at different speeds

The same product can be placed in any one of the conveyor belts. Because of their different operating characteristics, they can be delivered according to customers’ needs.

1207/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Linking all three subsystems is the key to true alignment

SUPPLY THE MARKET

En

d U

sers

Logistics Network

Supply Patterns Demand Patterns

Level 1 Level 2

Inte

rmed

iari

es

Source: Gattorna Alignment Research

…and the ‘secret sauce’ for high performance

1307/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

Convergence of construction project processes and supply chains

Source: Adapted from Micael Thunberg Martin Rudberg Tina Karrbom Gustavsson , (2017),"Categorising on-site problems: A supply chain management perspective on construction projects ", Construction Innovation, Vol. 17, Iss 1 pp. 90 - 111

Transport ReceiveManu-

facturingVerify

Bid

din

g/ Ten

der

Design

Plan

nin

gP

re-con

structio

n

pro

cess

The C

on

structio

n p

roject p

rocess

The supply chain

On-siteinstallation

Order process

Customers’ expectations are that

suppliers will accumulate products,

subassemblies, equipment, and ancillary

services into a unified package, stage

these if necessary, and finally deliver to

site within a very tight time window.

But the reality is that few suppliers have

these precise capabilities, because they

come from the world of manufacturing

and delivery of discrete ‘products’!

accumulation

delay

InventoryHolding cost…

On TimeOn Budget

The meeting of two different worlds

1407/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Multiple supply chain alignment: demand-side

Customer segmentation

Value propositions

Internal capabilities

Shape & create

Customer/ markets

Strategy

Cultural capabilities

Leadership styles

Leadership

Subculture

Valueproposition

Needs

Leadership

Subculture

Valueproposition

Needs

Leadership

Subculture

Valueproposition

Needs

Supply-side supply chains are the mirror image of demand-side supply chains depicted here

Leadership

Subculture

Valueproposition

Needs

Leadership

Subculture

Valueproposition

Needs


Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™The five most common behavioural segments

▪ Predictable demand within contract

▪ Regular delivery

▪ Efficiency, low-cost focus

▪ Multiple sources of supply

▪ Little sharing of information

▪ More adversarial

▪ Standard processes

▪ Transactional

▪ Very price sensitive

▪Very unpredictable demand

▪Higher risk

▪Flexible delivery response

▪Innovation focus

▪Rapid change

▪Individual decision making

▪Solutions oriented

▪Management of IP

▪Incentives/ego

▪No price sensitivity

▪ Mostly predictable

▪ Regular delivery

▪ Mature or augmented products

▪ Primary source of supply

▪ Trusting relationship

▪ Teamwork/partnership

▪ Information sharing

▪ Joint development

▪ Forgiving

▪ Price not an issue

LEAN SUPPLY CHAIN FULLY FLEXIBLE SUPPLY CHAIN™

COLLABORATIVE SUPPLY CHAIN™

▪ Unpredictable demand

▪ Commodity relationship

▪ Time priority/urgency

▪ Opportunity focus

▪ Ad hoc source of supply

▪ Low loyalty, impersonal

▪ Fewer processes

▪ Outcome oriented

▪ Commercial deals based on pragmatism

▪ Price aware

AGILE SUPPLY CHAIN

▪ Time-specific deliveries

▪ Stock reservation

▪ Completed deliveries

▪ Expedite if necessary

▪ Accumulation off-site

▪ Special packaging

▪ Special transport if necessary

▪ Fixed price

▪ Delay avoidance

▪ Risk mitigation

▪ Systematic and detailed supervision

CAMPAIGN SUPPLY CHAIN™

SC

res

po

nse

Source: Adapted from Gattorna (2015) p.58

Consistent low-cost response to largely predictable

demands


Delivery of new ideas


mutual gain

Rapid response to unpredictable supply and

demand conditions

Delivery to project site on time

and complete

Transactional Innovative SolutionsCollaborative DynamicProject Accumulation

1607/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Value proposition for Campaign Supply Chains™

CampaignSegment

Value Proposition: Understand, then comply

We will deliver to site exactly to your specifications, on time and in full.

CEO

Procurement Production Logistics Finance Marketing SalesIT

•Sourcing•Supplier relationships•Spent mgt•Tenders

•CapacityPlanningSchedulingLabour force mgtQuality Control

•Inventory•Capacity•Fulfilment•Cost-to-serve

•Promotions•Relationship mgt•Service offers

•Product mix•Branding•Product portfolio•Channels•Pricing•Allocation priority•Margin mgt

•Risk assessment•Financial Control•Governance

•ERP•IT Applications

Standard functional activities:

1707/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Campaign supply chain™ strategy - Projects

Positioning FinanceMarketing / Sales Fulfilment

Product mix • Combination of standard products and ETO

Marketing emphasis

• On-time and on-budget performance

Channels of distribution

• Direct to project constructors or via distributors

Pricing regime • Project costing

Promotional activity

• Project capability


P r o j e c t s

1807/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain



Innovation emphasis

• Embedded in project design

Service emphasis

• Service parts back-up

Relationship intensity

• Performance is tops; Relationship secondary

Resource allocation priorities

• Major construction customers get priority

Strategic risk profile

• Medium-high risk of liquidated damages


P r o j e c t s

1907/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain



Procurement/ Sourcing approach

• Source and assemble at Logistics Center

Production • MTO/ETO capabilities

Capacity considerations

• Can flex capacity as project demands vary

Logistics approach

• Consistently delivered on-time and in-full

Systems/ IT support

• Ability to accumulate/ manage/ deliver


P r o j e c t s

2007/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain



Financial • Tight project cost monitoring.• Review cash management, Foreign Exchange, and Tax


P r o j e c t s

2107/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Practical Implications of Campaign Supply Chain™ Configurations

Supply

• Focussed DC and WMS preferable• Variable labour• Pop-up locations to support project sites?• Higher capacity required to allow accumulation by project and

lumpy demand• Dedicated locations within DC to provide visibility?

Ne

two

rk Manufacturing

DCs/Depots

Transport

• Driven by meeting project schedule with buffer to guarantee on time and in full

• Optimise manufacturing location – regional more feasible with longer project schedule

• Cannot be driven by economic batch size decisions alone

• Time specific commitments• Expediting paths when required

• Specialised transport to suit site – product• Time specific contracts/ KPI’s with carriers

• Extended role in achieving delivery eg. crane supply?• Time buffers to achieve high reliability

2207/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Practical Implications of Campaign Supply Chain™ Configurations

Pla

nn

ing

Demand Planning / Forecasting

• Project specific inventory build for large projects• As per Lean but driven by high availability targets for smaller

projects

Production Planning

Inventory

Deployment

• Build on project schedule for major projects/ collaborative customers

• As per Lean for smaller projects

• Long term planning based on historical data• Medium term uses sensing of project pipeline• Medium to short term – based on project commitments• Synchronise customer project plan into internal execution plan

• Tight coordination with Sales team and/ or project managers• Methods for capturing/ or early sensing of project plans• Specific order management• Where collaborative – BOM explosion to requirements

Demand / Order Capture

• Usually direct delivery to site, or to a consolidation centre

2307/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

CULTURAL LEVERS

EFFICIENT

LEADERSHIP STYLE

VALUE PROPOSITION

1. Org design2. People positioning3. Processes4. IT/systems5. S&OP 6. KPIs7. Incentives8. Job design9. Internal comms.10. Training & devel.11. Role modelling12. Recruitment

STRATEGIES

HIERARCHICAL SUBCULTURE

COMPANY BARON /TRADITIONAL

Require relentless focus on cost and efficiency

• Deep understanding of the project requirement (help develop them where possible)• Mirror customer schedules internally; and back up deviations with Fully Flexible SC• Ensure very high availability in lots aligned to use schedule – needs accumulation, quarantining

1. Organize clusters around major projects and major customers

2. Mix of ‘S’ (detail) and ‘N’ (big picture types

3. Schedule driven processes; expedite process available

4. Project specific systems – not adaptions of transactional systems

5. Project driven S&OP format

6. Schedule milestones; DIFOT; win-rate7. Meet schedules; meet cost targets8. Based around project portfolio; flexibility to resolve

variations when needed9. Regular; structured10. Emphasis on project management, analysis and

measurement11. Managers with ESTJ (PA), ISTP (Ap) profile a fit12. Recruit players with experience at the project

implementation end

Understand, then comply

• Results focus, but also …• Implements proven business practices• Cost controller; efficiency focus

• Uses information to control• Seeks stability• Is risk averse

TO PLAN Compliant, and complete execution to schedule. Ability to flex with project changes.

Campaign Supply Chain configuration: demand-side

Source: Adapted from Gattorna (2015)

…… where all is subservient to the schedule and the result

2407/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™What type of supplier capabilities are warranted; from a client’s perspective

COLLABORATIVE

Trusted supplier availableAble to share informationWork with experienced suppliersGovernance restrictions preclude

supplier collaboration

INNOVATIVE

Problem known –but solution unclear

Leading edge/ untested requirements

LEAN

Cost weight > all other criteriaOnly basis schedule info shared

AGILE

Volatile situationDifficult to define schedule/

expectationsMany stakeholders Incomplete information planTime-to-complete pressure

CAMPAIGN

Capital (vs. operational) spentScheduled, sequenced deliveriesDiscrete vs. continuous requirements Longer term planning horizon

Supplier accumulation neededSupplier bundling neededSchedule changes possible

4 different project mindsets can be

present

Core supply chain expectation

The mindset can change over the course of consecutive projects –Ideally with more leveraging of collaborative approach

2507/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Behavioural forces within a conventional project life cycle

Project behavioural forces

or

Expensive,Ad hoc

(Pre-) Sales Project Planning Customer &Site Mgmt

Order Mgmt OrderExecution

ProjectClosure

Project life cycle

Act

ivit

y


Expediting

Explorative Specification

2607/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Behavioural forces within a collaborative project life cycle

(Pre-) Sales Project Planning Customer &Site Mgmt

Order Mgmt OrderExecution

ProjectClosure


Accumulate additional capacities

• Short-term project changes

• Breakdowns

• Base – historic plans, stable forecast, low price• Scheduled maintenance

• Capacity booking in conjunction with long term outlook for collaborating parties

• Preferred contractor/supplier list

• Evaluation and selection based on quality-price

• Detailed production and load planning

• Performance feedback

Reduced cost,Increased

predictability

Project life cycle

Act

ivit

y

2707/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Requisite IT for the five typical SC configurations – a work in progress

ERP transaction system, data bases, HR, Performance Reporting…

Oracle Transport Management

Demantra – PredictiveTrade Planning + Promotion

Siebel CRM

Cost Based Optimiser

Advanced SC Planning

Collaborative

Collaborative supply chain™

Oracle Transport Management

Cost Based Optimiser

Advanced SC Planning

Strategic Network Optimisation

Transactional

Lean supply chain

Reporting Database

Primavera – Investment Portfolio Management

Primavera

Gateway

Contract Management

Risk Analysis

Project accumulation

Campaign supply chain™

Agile – Product Life Cycle Management

OTM – Transport Management

SNO – Numetrix

Demantra – PredictiveTrade Planning + Promotion

Rapid Planning

Demanding/ unpredictable

Agile supply chain

Oracle Communications ASAP

…

Innovative solutions

Fully Flexible supply chain™

2807/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™Unravelled complexity

Source: Getty Images 2907/03/2017

Silver box

© 2

017 J

OH

N G

AT

TO

RN

A. T

radem

ark

s:

Dyn

am

ic A

lignm

ent™

∙ F

ully

Fle

xib

le S

upply

Chain

™ ∙

Cam

paig

n S

upply

Chain

™ ∙

Colla

bora

tive S

upply

Chain

™

Managing the Supply Chain;a Strategic Perspective, with D.W. Walters, Macmillan Business, Basingstoke (UK).

1996

Strategic Supply Chain Alignment; Best Practice in Supply Chain Management, John Gattorna (ed.)., Gower Publishing, Aldershot (UK).

1998

Gower Handbook of Supply Chain Management, (ed.)., 5th edn, Gower Publishing, Aldershot (UK).

2003

Living Supply Chains;how to mobilize the enterprise around delivering what your customers want, FT Prentice Hall, Harlow.

2006

Dynamic Supply Chain Alignment; a New Business Model for Peak Performance in Enterprise Supply Chains across all geographies, (with friends), Gower Publishing, Farnham (UK).

2009

Dynamic Supply Chains; delivering value through people, 2nd edn., FT Prentice Hall, Harlow.

2010

LATEST BOOK: 2015

Dynamic Supply Chains; How to design, build and manage people-centric value networks, 3rd Edn, Pearson, Harlow, UK 201507/03/2017

Silver box - Indian Chamber of Commerce · Shangri-La Eros Hotel, ... Silver box p in™ Dynamic Alignment™ business model at the Enterprise level Market Place Strategy Culture

Documents