Global Supply Chain Management tool – Automotive client
A Fortune Five automotive client had an ambitious goal to create a global toolset for analyzing complex supply chains spanning multiple countries, currencies, and tariff barriers. The toolset required:
ICG was able to deliver on all points, exceeding the client’s expectations. We provided ongoing, 24/7 application maintenance through successive releases until the in-house support staff was prepared to assume user tech support.
- Substantial technical functionality
- Critical constraints in both cost and time
- Fast response from any global access point
- Robust, extensible support for an unlimited number of users
- Impressive ease-of use for a globally diverse user community
Consultancy for Supply Chain Management – OEM and Tier One clients
Organizations have a dizzying array of tools for various aspects of supply chain management and analysis but lack the specific skills in consulting, negotiation, facilitation, research and analysis to identify appropriate opportunities within the supply chain.
A large organization had devoted one year attempting value chain planning but had obtained few tangible results. ICG consultants were able to produce immediate, lucrative outcomes directing facilitated analysis, even with suppliers that were deemed “unresponsive.”
View Supply Chain design examples.
SUPPLY CHAIN AND VALUE STREAMS
ICG and its partner, Edict Incorporated, began concentrated study of supply chains during 1994. We built on the work of Dr. Robbin Hough, an MIT-trained economist, who had been studying enterprise issues since the 1960s. We collectively tracked the work of Dr. Charles Fine at MIT, whose ideas culminated in his book, "Clockspeed ". Dr. Fine proposed an interesting model with the right questions but offered solutions in general terms that proved difficult to put into practice. ICG has been able to extend and refine Fine’s model posed in "Clockspeed" and develop an implementable solution.
Based upon our success in proposing and developing a distributed OEM-supplier, web-based, workplace toolset for Ford Motor Company, ICG was granted a contract to develop Ford’s Value Chain Management System (VCMS) that served Ford’s value chain planning efforts on a global scale.
Today, supply chain tools vary between the logistics approach and the cost approach. The logistics approach offers "free savings" for seller, buyer, and end-user, but does little to solve the strategic dilemma of supply chain design for current, mid, and long-term planning. The detailed cost approach may generate resistance from the supply base and deny users the totality of information they seek in order to make strategic decisions.
ICG’s approach addresses logistics and costs. However, our supply chain tools review many other characteristics essential successful decision-making. We have learned two vital lessons in supply chain implementation:
Our supply chain analysis promotes cooperation between buyer and seller by focusing on issues of organization, rather than merely examining costs:
- The amount of information requested and received is directly related to the degree of trust in the buyer-supplier relationship. A supply chain system requires detailed information without an appropriate level of trust between supply chain entities that system will result in flawed analysis or will fail to support strategic decision-making.
- The system tool is not enough by itself to achieve supply chain transformation. Excellent consulting skills coupled with good industry and product knowledge will result in acquiring more information and in producing more successful solutions than will be obtained in the hands of an unskilled mediator.
ICG complements the tool with consultancy services that guide buyers and suppliers through a productive, mutually beneficial, analysis of their supply chain. All parties emerge victorious with partnerships intact.
- Review of capabilities and technologies;
- Analysis of generic costs appropriate to the tier level of a supplier; and
- Allowing any and all suppliers to enter data once, share it at will, and withdraw it as appropriate from across the extended enterprise regardless of location.
Our goal is optimum supply chain design, “now, and in the future.”