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Archive for the ‘Supply Chain’ Category

Oracle WMS RUP 11 Included Patches

February 17, 2015 Leave a comment

Finding patches that are included as a part of Oracle WMS RUP 11 is not as simple as it could be, so here is a list:

Patch 20187263

Patch R12.WMS.B.delta.11: Logistics Consolidated RUP11 (VERSION 12.1.1 TO 12.1.3 [RELEASE 12.1])

The following bugs are fixed by this patch:

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Oracle ER/Bug 16306627: WIP IS ISSUING ASSEMBLY PULL COMPONENTS WHEN SCRAP IS ENTERED

April 7, 2013 Leave a comment

The following is entered as an enhancement request at Oracle for their E-Business R12 product.  I have tried to convince Oracle to categorize this as a bug, but have not had any luck.  If you have encountered a similar situation, please log an SR and add yourself to this “ER” and request that it be changed to a bug.

We [Emerson] have an assembly with a BOM where a component is inherited from a phantom assembly into the main assembly as an assembly pull supply type component on operation SEQ 1. The final assembly’s routing begins with operation SEQ 400. When a job is made, the component gets tied to operation SEQ 400. When a WIP move is made to the scrap step of the first operation (400), the assembly pull component is taken out of inventory.

This functionality is described as correct as per WIP User guide.

Oracle® Work in Process User’s Guide Release 12 Part No. B31092-01

When you move assemblies into the Scrap intraoperation step of an operation that has assembly pull components assigned to it, the system backflushes these components and all assembly pull components at prior operations.

This functionality does not seem to be correct. If a component is “assembly pull”, a completion takes it out of inventory at the end of the job. This means the component is acting as assembly pull for a completion, but operation pull for scrap.

If the goal is to take out inventory of assembly pull components when an assembly is completed, than it should not be tied to an operation.

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The Power of Every Day Low Prices

February 25, 2010 5 comments

Many of my friends and colleagues know I am a huge proponent of Wal-Mart’s and their Every Day Low Prices.  I frequently have lively discussions about my love for Wal-Mart and their low prices.  In mid December, I came across an article that discussed Chicagoland’s grocery chains and their battle for shoppers.  The article got me thinking about how powerful Wal-Mart’s “Every Day Low Price” strategy is.  Two lessons can be learned from the Every Day Low Price strategy: consumers don’t shop where they are unhappy, and innovative companies are profitable.

Pricing Strategies

Grocery stores primarily use one of two different pricing strategies: High-Low, or Every Day Low Prices (EDLPs).

Stores with “high-low” pricing strategies price some products at low prices, while having other products at higher prices.   These stores use promotional sales to lure shoppers into the store in order to persuade them to buy other high priced high margin items by utilizing other marketing techniques.

The competing grocery pricing strategy is “Every Day Low Prices”, or what I like to call, EDLPs.  Wal-Mart popularized this strategy and uses it to this day.  Prices are set low, and stay low.  The only time a price changes is when supply or demand changes, or when the retailer forces the supplier to innovate.  Furthermore, if prices do change, they usually go down.  Remember Wal-Mart’s “falling prices” marketing campaign? EDLPs have helped Wal-Mart become the world’s largest retailer.

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The Cost of Promotional Sales

February 4, 2010 1 comment

Grocery retailers frequently use promotional sales to lure customers into stores.  Retailers hope customers will purchase higher margin products while they shop for the promoted items.  Chicago grocers Jewel-Osco, subsidiary of SUPERVALU, and Dominick’s, subsidiary of Safeway, both follow use this marketing strategy, changing promotions twice a week.  The promotional sales may increase customer traffic, but they may also lead to the demise of the store.  I suspect, retailers that use promotional sales, on every day products sold year round, increase the cost of doing business and decrease supply chain efficiency.

Used by many grocers, promotional sales are the activities, materials, devices, and techniques used in the advertising and marketing of products.  I separated their cost into two different categories; direct costs and indirect costs.  I see the money spent on the processes and material to implement the promotional sale as direct costs, and the money lost due of the effects of the promotional sales are considered indirect costs.  From my point of view, both of these costs are significantly high, high enough to possibly outweigh any benefit of the promotional sales.  If I were managing a retail grocery operation, these are the items I would consider when deciding whether or not to continue utilizing promotional sales.

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ERP and the Business of Change

July 20, 2009 Leave a comment

I saw an article over at SmartChange™ about ERP and the Business of Change. It got me thinking of the culture and business practices I witnessed at my last job at USG.  All three main points Marcelino Sanchez reviewed hit very close to home.

Individual Change… An individual may be confronted with a new user interface, a new “best practice”, a different way to make decisions, or any number of new requirements. When this is the case, individuals will tend to experience one or more of the following five key factors: fear, anxiety, confusion, loss of control, or erosion of power or influence in the organization. The more an individual feels any of these emotions, the less likely they are to accept the new way of doing things. Lack of acceptance will diminish or delay the benefits of the ERP effort…

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Food Safety, Quality, and Labeling

June 30, 2009 6 comments

After watching the movie ‘Food Inc.‘ I got the urge to write my United States Federal Government representative and Senators.  Take a look at what I sent them about food safety, quality, and labeling.
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Question on Demand Planning & Forecasting

January 26, 2009 Leave a comment

linkedin_logo

I was sent a message on LinkedIn from a gentleman requesting my input on their planning methods. As I was writing my response, I thought that it would be of benefit to other people, so I am posting the question and response here. Click “read more” below to read the entire question and response.

Question:

We both share the Supply Chain group on linkedin.I understand you have experience in Demand Planning & Forecasting. We at the IBF – Institute of Business Forecasting & Planning are currently researching what companies are doing to manage their inventory, reduce operating costs, improve customer retention & fulfillment in this volatile market? Especially, when history can no longer be an indication of future outcome. It would be great if you could share some thoughts on what your company is doing to remain competitive and preserve cash. Furthermore, do you feel executives are recognizing the important of demand planning & forecasting, more so now than ever before? And if so, are they only looking for technology as the quick fix, or improving processes from your viewpoint? Of course, we see pursuing technology without having proper processes in place to be dangerous.

So far, we’re seeing companies paying more attention to forecasting for items with higher value only, and doing it at shorter interval. We’re also seeing companies truly leveraging their S&OP processes, as well as their POS and Syndicated data to make better planning decisions from having a clearer picture of consumer behavior at any given time.

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