terça-feira, abril 16, 2019

speed = value

Às vezes estou a ler um texto e não consigo deixar de exclamar:
"call out the conventional supply chain model as “dead.” The same report downgraded Calvin Klein and Tommy Hilfiger parent PVH for the first time in eight years. Although Calvin Klein sales increased by $876 million since 2013, profit declined over that period by $20 million. PVH’s inventory turns hit all-time lows, while total inventory hit all-time highs. Sales growth based on higher inventory risk, the analysts argued, is no longer acceptable.
As an alternative, they offered a new thesis: speed = value. Cowen demonstrates that even modest change in speed equates to gross margin improvement, a model which can be projected across the sector and to clothing and accessories.
Supply chains must move faster if they are to be more responsive to accelerating changes in demand. More important than cutting weeks of time out of the design-to-delivery calendar is building a link between retail supply flexibility and market value. Citing work by Warren H. Hausman of Stanford University, the critical metric is capital based on process innovation that reduces finished goods’ lead times from months to weeks.
The source of being fast is supply flexibility in the first mile of the supply chain, in contrast to last mile logistics. This means upstream management to delay – or postpone -- finished goods commitments. The impact of this strategy is to reduce or remove fashion uncertainty and exploit much shorter working capital cycles.
Speed, in summary, is not an operational challenge in sourcing alone. It is a firm-wide cultural commitment to speed decision-making, to be responsive to trends and to synchronise and share value across partners."

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