Manufacturing and Supply Chain Expert Lisa Anderson, MBA, CSCP, CLTD, known as the Strongest Link in Your Supply Chain® and President of LMA Consulting Group Inc., sees inventory tightening as supply chains grapple with demand fluctuation, supplier challenges, stagflation and volatility in the economy. LMA Consulting Group works with manufacturers and distributors on strategy and end-to-end supply chain transformation to maximize the customer experience and enable profitable, scalable, dramatic business growth.
“The supply chain has been front and center since the beginning of the pandemic when toilet paper highlighted the importance of a reliable supply chain. Volatility in supply chains has caused chaos in every industry. Now, the emphasis is on inventory. Building inventory was important when supply chains were trying to regain a semblance of order. Yet, in haste to build inventory, sometimes the wrong inventory was increased, the right inventory was in the wrong place, profitability was sacrificed, or all of the above. Whatever the situation, inventory is now a key focus,” Ms. Anderson said.
Organizations are taking a hard look at existing inventory, customer demand and profitability to remedy and balance inventory. “Companies need to reshape their operations and supply chains by right-sizing inventory levels. The trick is to cut inventory without impacting customer service or cutting performance or profitability. Volatility in the economy will be the reality for the foreseeable future. Those who have processes in place to evaluate customer demand, create accurate forecasts, position capacity and plan production to capitalize on opportunities that exist will have a huge advantage,” she said.
Ms. Anderson and her firm use the SIOP process to capitalize on opportunities while maintaining organizational alignment. “Pencils and erasers, excel spreadsheets, and gut instincts no longer work. Manufacturing today is complex. Customers are sophisticated. Their needs and wants change depending on the end user. It is up to manufacturers to anticipate change, plan for it, and be able to change at a moment’s notice. Processes can provide data, consistency and order to the many moving parts in the supply chain,” she concluded. Supply chains are sophisticated and ever-evolving. Ms. Anderson provides supply chain updates through Supply Chain Chats, a series of short videos that address current topics, issues and challenges related to supply chains.
About LMA Consulting Group – Lisa Anderson, MBA, CSCP, CLTD
Lisa Anderson is the founder and president of LMA Consulting Group, Inc., specializing in manufacturing strategy and end-to-end supply chain transformation. She focuses on maximizing the customer experience and enabling profitable, scalable, dramatic business growth. Ms. Anderson is a recognized Supply Chain thought leader by SelectHub, named a Top 40 B2B Tech Influencer by arketi group, a Top 50 ERP Influencer by Washington-Frank, one of the most influential in Supply Chain by SAP and a woman leader in Supply Chain by RateLinx. She was recently interviewed on Fox News, in early 2021published a Special Report, Emerging Above & Beyond: 21 Insights from Manufacturing, Supply Chain & Technology Executives, the ebook, Future-Proofing Manufacturing & the Supply Chain Post COVID-19, and her primer, I’ve Been Thinking, strategies for creating bold customer promises and profits. A contributor on topics including a superior customer experience with SIOP, advancing innovation, and making the supply chain resilient, Ms. Anderson is regularly interviewed and quoted by publications such as Industry Week, Bloomberg, and the Wall Street Journal. For information, to sign up for her Profit Through PeopleTM Newsletter or for a copy of her book, visit LMA-ConsultingGroup.com.
Originally published on ExpertClick: November 11, 2022