Warehouse Design and Operations: How to invest in your warehouse layout and operations for a more streamlined and cost-effective future, backed by real-life case studies

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In today's competitive market, Australian retail and manufacturing businesses are constantly looking for ways to improve service and reduce operating costs. One key area where businesses can make significant improvements is in their warehouse design, layout, and operations. By investing in efficient warehouse management, you can create a more streamlined and cost-effective future for your business. In this article, we will explore some of the top strategies for upgrading your warehouse design and operations, specifically tailored to the Australian market, supported by compelling case studies.

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Maximise Space Utilisation

Optimising your warehouse space is crucial in reducing costs and improving efficiency. There are several ways you can achieve this:

• Implement a layout that maximises vertical space, using high-rise racking and shelving systems. In a case study by Dexion Australia, a leading storage solutions provider, an Australian-based company increased its storage capacity by 40% through the implementation of a high-rise racking system, without expanding the warehouse footprint.
• Consider narrow aisle configurations to save floor space, while still allowing forklifts and other equipment to move freely. A retail company in Sydney reported a 20% increase in storage density after adopting a narrow aisle configuration.
• Utilise mezzanine floors to create additional storage or office space, without expanding the warehouse footprint. A Melbourne-based manufacturing company added a mezzanine floor, resulting in a 50% increase in storage space and improved workflow.

Invest in Warehouse Automation

Automation can significantly improve the efficiency of warehouse operations, leading to reduced labour costs and increased productivity. Some key areas to consider for automation include:

• Conveyor systems and automated guided vehicles (AGVs) for material handling and transportation. In a case study by Dematic, an intralogistics company, an Australian retailer implemented an AGV system, reducing labour costs by 25% and increasing throughput by 50%.
• Robotic picking and packing solutions to reduce manual labour and improve accuracy. A case study by Swisslog Australia, a leading logistics automation provider, demonstrated that an Australian e-commerce company achieved a 99.9% picking accuracy rate and a 60% reduction in labour costs after integrating robotic picking solutions.
• Warehouse management systems (WMS) to streamline inventory management, order processing, and other administrative tasks. An Australian food distributor implemented a WMS, resulting in a 15% increase in picking productivity and a 10% reduction in order processing errors.

Prioritise Employee Safety

A safe working environment is not only a legal requirement, but it also contributes to increased productivity and reduced costs through fewer accidents and downtime. To ensure the safety of your employees:

• Provide proper training and safety equipment, such as high-visibility vests, hard hats, and steel-toed boots. An Australian manufacturing company reported a 30% decrease in workplace injuries after investing in employee safety training and equipment.
• Designate pedestrian walkways and enforce a clear separation between employees and machinery. A case study by an Australian safety consultancy showed that implementing designated pedestrian walkways resulted in a 60% reduction in warehouse accidents.
• Regularly inspect and maintain equipment, racking systems, and other warehouse infrastructure to minimise risks. A Perth-based logistics company saw a 20% reduction in maintenance-related downtime after adopting a proactive equipment inspection and maintenance program.

Implement Energy-Efficient Solutions

Reducing energy consumption in your warehouse can lead to significant cost savings. Consider the following energy-efficient strategies:

• Install LED lighting and motion sensors to save on electricity costs. An Adelaide-based retail company reported a 40% reduction in energy consumption after upgrading to LED lighting and installing motion sensors.

• Insulate the warehouse to reduce heating and cooling expenses. A case study by an Australian insulation provider demonstrated that a warehouse in Victoria achieved a 25% decrease in energy costs after retrofitting insulation.
• Implement solar panels to harness Australia's abundant sunlight and reduce reliance on the grid. A Brisbane-based manufacturing company installed solar panels on their warehouse roof, generating 80% of their electricity needs and significantly reducing their energy bills.

Adopt Lean Warehousing Principles

Lean warehousing focuses on eliminating waste, increasing efficiency, and reducing costs. Some ways to implement lean principles in your warehouse include:

• Standardising processes and procedures to reduce variability and increase consistency. A case study by an Australian lean consulting firm showed that a Sydney-based manufacturer experienced a 30% reduction in operational waste and a 20% improvement in overall efficiency after standardising warehouse processes.
• Using the 5S methodology (Sort, Set in order, Shine, Standardise, and Sustain) to maintain a clean, organised, and efficient workspace. An Australian automotive parts distributor implemented the 5S methodology, resulting in a 15% increase in productivity and a 10% reduction in order processing time.
• Implementing continuous improvement initiatives to regularly assess and optimise warehouse operations. A Melbourne-based food distributor embraced a continuous improvement culture, leading to a 12% increase in warehouse efficiency and a 15% reduction in operational costs.

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Investing in warehouse design, layout, and operations can significantly improve the efficiency and cost-effectiveness of your retail or manufacturing business. By maximising space utilisation, automating processes, prioritising safety, implementing energy-efficient solutions, and adopting lean warehousing principles, you can create a streamlined and profitable future for your Australian business. As demonstrated by the case studies shared above, real-life success stories confirm the tangible benefits of these strategies. So, start evaluating your current warehouse setup and take the necessary steps to optimise your operations today!

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Contact us today, trace. your supply chain consulting partner.

Strategies to Streamline the Returns Process

In recent years, the growth of online shopping has transformed the retail landscape in Australia. As e-commerce continues to expand, the issue of online returns has emerged as a significant challenge for retailers. According to a report by Australia Post, online purchases grew by 57% in 2020, with return rates ranging from 10% to 40% depending on the retail category. The increasing volume of returns is placing pressure on supply chains and presenting logistical hurdles. This blog article explores how Australian retailers are meeting these challenges with innovative solutions to provide a seamless customer experience while optimising their supply chains.

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Centralised Return Hubs

Leading Australian retailers such as Myer and David Jones have implemented centralised return hubs to streamline the returns process. These hubs serve as a single location for receiving and processing all online returns, enabling retailers to manage returns more efficiently. By consolidating returned items, retailers can quickly process refunds and restock items, reducing the burden on their supply chains. The trade-off is often reponsiveness and requiring sufficient volumes to justify a centralised investment in asset, infrastructure and capabilities.

Improved Return Policies

Some retailers are revisiting their return policies to better accommodate online shoppers. For example, The Iconic, an Australian online fashion retailer, offers a generous 30-day return policy, giving customers ample time to try on and return items they don't want to keep. This approach fosters customer loyalty and encourages repeat purchases while also reducing the volume of returns that need to be processed at once.

Harnessing the Power of Microsoft Power Apps for Returns Processing

Some retailers are turning to custom software solutions to support accurate and consistent returns. Microsoft Power Apps is a low-code platform that allows businesses to create custom applications tailored to their specific needs. By leveraging Power Apps, retailers can develop returns processing tools that streamline the process and reduce manual errors.

For example, a retailer could create a Power Apps-based returns management system that allows employees to scan returned items using a barcode scanner, instantly updating inventory levels and triggering any necessary refunds or exchanges. The app could also automatically generate shipping labels for items that need to be sent back to distribution centres, further streamlining the process.

Integrating the Power Apps tool with the retailer's existing CRM and inventory management systems ensures seamless data flow and allows for real-time tracking of returns data. By automating and optimising the returns process, retailers can reduce operational costs, improve customer satisfaction, and better manage their supply chains.

In-Store Returns and Partner Store Returns

Bricks-and-mortar stores are adapting to the growing trend of online shopping by offering in-store returns for online purchases. Retailers such as JB Hi-Fi and Harvey Norman allow customers to return online purchases at their physical stores, providing a convenient option for those who prefer not to ship items back. This strategy also helps retailers manage returns more efficiently by reducing shipping costs and the overall impact on their supply chains.

Investing in Reverse Logistics and Identifying Partnerships

To better handle the influx of online returns, many Australian retailers are investing in reverse logistics systems. Reverse logistics involves managing returned items and moving them through the supply chain for resale, recycling, or disposal. Companies like Toll and Australia Post are offering tailored reverse logistics solutions for retailers, allowing them to optimise their supply chains and minimise the cost and environmental impact of returns.

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Benefits of Streamlined Returns Management

Implementing the strategies outlined above can lead to numerous benefits for retailers in terms of service, inventory health, working capital improvement, and cost reduction:

• Enhanced customer service: Providing a seamless and efficient returns process can lead to increased customer satisfaction and loyalty.
• Improved inventory health: Effective returns management helps retailers maintain accurate inventory levels and ensures that returned items are quickly restocked or repurposed, reducing the risk of stock obsolescence.
• Working capital improvement: Streamlining the returns process allows retailers to recover funds from returned items more quickly and optimise cash flow.
• Cost reduction: Efficient returns management can reduce operational costs, such as shipping and handling, as well as minimise losses due to damaged or unsellable returned items.

As online shopping continues to dominate the retail landscape in Australia, retailers are finding innovative ways to address the challenges of returns. By streamlining processes, embracing technology, and investing in reverse logistics, Australian retailers are not only optimising their supply chains but also enhancing the customer experience. Harnessing the power of Microsoft Power Apps to develop custom returns processing tools is just one example of how retailers are adapting and evolving to meet the changing needs of their customers. The future of retail depends on their ability to adapt and evolve, and these strategies demonstrate their commitment to meeting the changing needs of their customers while reaping the benefits of improved service, inventory health, working capital, and cost reduction.

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Contact us today, trace. your supply chain consulting partner.

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Sustainability in the Supply Chain

In the wake of global climate change concerns and increasing regulatory requirements, Australian businesses must consider the impact of their supply chain on greenhouse gas (GHG) emissions. A key area of focus is scope 3 emissions, which encompass indirect emissions from a company's value chain, including upstream and downstream activities. In this blog article, we will discuss the importance of addressing scope 3 emissions and explore the investments Australian businesses can make to maximise their emission reduction impact.

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Understanding Scope 3 Emissions

Scope 3 emissions are divided into two main categories:

1. Upstream emissions: These emissions result from activities that occur before a company's direct operations, such as raw material extraction, production, and transportation.
2. Downstream emissions: These emissions occur after a product has left a company's direct control, including product use, end-of-life treatment, and disposal.

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Investments for Maximising Scope 3 Emission Impact in Australia

Australian businesses can make strategic investments in their supply chains to address scope 3 emissions and contribute to a more sustainable future. Here are some key areas to focus on:

1. Measure and report: Australian businesses should invest in systems that accurately measure and report their scope 3 emissions. This will help identify areas for improvement and track progress. Standardised measurement and reporting methodologies, such as the Greenhouse Gas Protocol, can provide a solid foundation for such efforts.
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2. Supplier engagement: Engaging with suppliers is crucial for Australian businesses seeking to reduce their scope 3 emissions. Companies can provide incentives, support, and training to help suppliers adopt low-carbon technologies and practices. Collaborating with suppliers on sustainability targets and sharing best practices can also drive emission reductions across the supply chain.
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3. Sustainable procurement: Integrating sustainability criteria into procurement processes can help Australian businesses prioritise suppliers with lower emissions profiles. This may include considering factors such as energy efficiency, use of renewable energy, waste management, and recycling practices when selecting suppliers.
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4. Product design and lifecycle management: By designing products with sustainability and circular economy principles in mind, Australian businesses can minimise emissions throughout the product lifecycle. This includes considering factors such as material selection, recyclability, and energy efficiency during the design phase, as well as end-of-life disposal and recycling options.
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5. Collaboration and innovation: Australian businesses can benefit from collaborating with industry peers, government agencies, and other stakeholders to develop innovative solutions for reducing scope 3 emissions. Joining industry initiatives, partnering with research institutions, or investing in new technologies can drive emissions reductions across the value chain.

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Examples of Australian Companies Making a Difference
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1. BHP

Mining giant BHP has made significant commitments to reduce its scope 3 emissions. The company has set an ambitious goal to become a net-zero emissions business by 2050. BHP has implemented initiatives such as investing in carbon capture and storage technologies, collaborating with suppliers to reduce emissions from steel production, and working with customers to reduce emissions during the use of its products.
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2. Qantas

Qantas, Australia's largest airline, has committed to achieving net-zero emissions by 2050. To address scope 3 emissions, Qantas has invested in sustainable aviation fuels (SAF) and partnered with suppliers to develop low-carbon alternatives. Additionally, the airline has implemented a carbon offset program that encourages passengers to offset their emissions by supporting environmental projects in Australia and overseas.
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3. Westpac

Westpac, one of Australia's largest banks, has established a comprehensive climate change strategy that includes reducing scope 3 emissions. The bank has committed to aligning its lending portfolio with the Paris Agreement goals and actively engages with customers in carbon-intensive sectors to support their transition to a low-carbon economy. Westpac has also introduced responsible investment options for customers that consider environmental, social, and governance (ESG) factors.

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Addressing scope 3 emissions is an essential aspect of corporate sustainability and environmental stewardship for Australian businesses. By investing in emission measurement and reporting, supplier engagement, sustainable procurement, product design, and collaboration, companies can significantly reduce their scope 3 emissions and contribute to a greener future. As regulations and stakeholder expectations continue to evolve, Australian organisations that proactively address scope 3 emissions will be better positioned to thrive in a low-carbon economy.

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Contact us today, trace. your supply chain consulting partner.

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MRO Supply Chains

Maintenance, Repair, and Operations (MRO) supply chains are often overlooked aspects of business management, with many companies focusing on production and sales instead. However, investing in MRO supply chain optimisation can lead to significant competitive advantages, such as reduced downtime, increased productivity, and improved customer satisfaction. In this article, we will explore the importance of MRO supply chain investments and discuss examples of organizations that have successfully harnessed this strategy to stay ahead of the competition.

Why Invest in MRO Supply Chains?

MRO supply chains are crucial to ensuring the smooth operation of any organisation. The efficiency and effectiveness of MRO processes can have a direct impact on a company's bottom line. By investing in MRO supply chain improvements, companies can achieve several benefits, including:

1. Minimising downtime: Efficient MRO supply chains reduce machine downtime, leading to increased productivity and higher revenues.
2. Enhancing inventory management: Optimising MRO inventory can prevent overstocking and understocking, reducing costs and minimising the risk of production disruptions.
3. Improving customer satisfaction: Prompt and efficient MRO services can help maintain product quality and timely deliveries, leading to happier customers and increased loyalty.

Examples of Successful MRO Supply Chain Investments

1. Rolls-Royce

A global leader in aerospace and defense, Rolls-Royce has implemented a TotalCare® program to manage its MRO supply chain. By adopting a proactive approach to maintenance and utilising advanced analytics, Rolls-Royce has significantly reduced engine downtime and increased aircraft availability. This investment in MRO supply chain optimisation has allowed the company to maintain a competitive edge in the aerospace market and offer superior services to its customers.

2. Caterpillar

Caterpillar, a leading manufacturer of construction and mining equipment, has made significant investments in its MRO supply chain to improve operational efficiency. By integrating advanced analytics and predictive maintenance strategies, Caterpillar has been able to reduce equipment downtime and optimise inventory levels. This investment has not only resulted in cost savings but also enhanced the company's overall competitiveness in the heavy equipment market.

3. General Electric (GE)

GE has successfully optimised its MRO supply chain by implementing a centralised approach to inventory management. Through a single, global inventory system, GE has minimised stockouts and reduced inventory carrying costs. This investment has led to significant cost savings and improved operational efficiency, giving GE a competitive edge in the market.

Investing in MRO supply chain optimisation is essential for organisations seeking a competitive advantage. Companies like Rolls-Royce, Caterpillar, and GE have demonstrated the benefits of this approach, including reduced downtime, better inventory management, and improved customer satisfaction. By prioritising MRO supply chain investments, companies can unlock significant value and position themselves for long-term success in an increasingly competitive business landscape.

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‍Contact us today, trace. your supply chain consulting partner.

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Retail Supply Chains and Technology

In the fast-paced retail industry, businesses must continuously adapt and innovate to stay competitive. As consumer behavior evolves and globalisation drives change, retailers must focus on optimising their supply chain to ensure success. By leveraging advanced supply chain technologies, businesses can streamline processes, improve efficiency, and ultimately secure a competitive advantage.

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Choosing the Right Supply Chain Technologies for Your Retail Business

With a multitude of supply chain technologies available, selecting the right tools for your retail business can be a challenging task. Consider the following factors when evaluating potential solutions:

1. Scalability: Opt for technologies that can grow with your business and accommodate future expansion.
2. Integration: Ensure that the chosen tools can seamlessly integrate with your existing systems and software.
3. Customisation: Select solutions that can be tailored to meet the unique needs and requirements of your retail business.
4. Ease of Use: Prioritise user-friendly technologies that can be quickly adopted by your team, reducing training time and costs.
5. Cost Effectiveness: Weigh the costs and benefits of each technology, and choose those that offer the best value for your investment.

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Comprehensive Overview of Key Supply Chain Technologies for Retailers

Investing in advanced supply chain technologies can have a significant impact on a retailer's performance. These tools can help manage inventory, optimise logistics, and reduce costs, leading to increased profitability and enhanced customer satisfaction. Below, we delve into various supply chain technologies that can benefit retailers:

Advanced Planning Systems (APS)

APS tools enable retailers to optimise their supply chain planning processes through data-driven forecasting, inventory management, and production scheduling. These systems use advanced algorithms and analytics to identify patterns and trends, allowing retailers to make informed decisions and respond quickly to market changes.

Warehouse Management Systems (WMS)

A WMS streamlines warehouse operations, including inventory tracking, order fulfillment, and shipping. By automating key processes and providing real-time visibility into inventory levels, WMS tools can help retailers reduce operational costs, minimise errors, and ensure the efficient management of warehouse resources.

Transportation Management Systems (TMS)

TMS solutions optimise transportation processes, including carrier selection, route planning, and shipment tracking. By leveraging TMS tools, retailers can reduce transportation costs, improve on-time delivery rates, and enhance overall supply chain efficiency.

Automation and Robotics

Automation and robotics technologies are revolutionising warehouse and logistics operations in retail. By automating repetitive tasks and leveraging robotics for order picking and packing, retailers can increase efficiency, reduce labor costs, and minimise errors in their supply chain.

Internet of Things (IoT) and RFID Technology

IoT and RFID technologies can provide real-time visibility and tracking of products throughout the supply chain, from the manufacturer to the end customer. By implementing IoT devices and RFID tags, retailers can monitor inventory levels, track shipments, and quickly identify potential issues, allowing for proactive decision-making and more efficient supply chain management.

Artificial Intelligence (AI) and Machine Learning (ML)

AI and ML technologies are transforming supply chain operations by enabling data-driven decision-making, predictive analytics, and advanced automation. Retailers can leverage AI-powered tools to optimise demand forecasting, enhance inventory management, and streamline logistics processes, driving significant improvements in supply chain performance.

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Real-World Success Stories: Supply Chain Technologies in Retail

Numerous retailers have successfully harnessed the power of supply chain technologies to gain a competitive edge. Some noteworthy examples include:

• Walmart: The retail giant has implemented various supply chain technologies, such as machine learning algorithms for demand forecasting and real-time inventory tracking systems, to maintain its leadership in the industry.
• Amazon: The e-commerce behemoth utilises advanced robotics and automation in its fulfillment centers, reducing labor costs and increasing efficiency. Amazon also leverages AI and ML for demand forecasting and supply chain optimization.
• Zara: The fast-fashion retailer employs sophisticated data analytics and RFID technology to optimise its supply chain and quickly respond to changing fashion trends. Zara's efficient supply chain management allows it to bring new products to market rapidly, giving it a competitive edge in the industry.

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Harnessing the Power of Supply Chain Technologies for Retail Success

In the fiercely competitive retail landscape, adopting the right supply chain technologies can be a game-changer for businesses. By carefully evaluating and implementing a range of cutting-edge tools, retailers can optimise their supply chain operations, enhance customer satisfaction, and ultimately secure a competitive advantage in the market. Investing in advanced planning systems, warehouse management systems, transportation management systems, automation, IoT, and AI-powered solutions can transform a retailer's supply chain and pave the way for long-term success.

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‍Contact us today, trace. your supply chain consulting partner.

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The Dynamic Role of Supply Chain Consultants

The role of a supply chain consultant has evolved over time, with many professionals now identifying themselves as consultants. However, being an expert in supply chain management doesn't automatically qualify one to be a consultant. Effective supply chain consulting should focus on delivering practical, applicable solutions that establish trust, promote transformation, and empower clients with new capabilities.

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Distinguishing Supply Chain Consulting from Other Professional Services

Supply chain consulting is often confused with other terms like "professional services," "contracting," and "management consulting." However, it is essential to understand the unique characteristics that set supply chain consulting apart:

1. Building Trust: A supply chain consultant should foster a close relationship with their clients to ensure effective collaboration.
2. Driving Transformation: Supply chain consulting should lead to organisational change and improvement within the client's supply chain processes.
3. Enhancing Capabilities: The solutions provided by a supply chain consultant should leave the client with new skills and knowledge for managing their supply chain.

Moving Beyond Expertise: The Supply Chain Consulting Process

Becoming a great supply chain consultant requires more than just expertise in the field. A consultant must develop a process to achieve the goals of building trust, driving transformation, and enhancing capabilities. This involves understanding various patterns and experiences within the supply chain, providing clients with options, and communicating trade-offs for informed decision-making.

The Power of Teamwork in Supply Chain Consulting

Supply chain consulting firms often utilise teams with senior practitioners guiding junior members in research, analysis, and delivery. This collaborative approach not only enables efficient work completion but also results in better outcomes, mirroring the "teaching hospital" phenomenon.

Management Consulting: A Crucial Aspect of Supply Chain Consulting

Management consulting is a vital component of supply chain consulting, as it supports innovations in management systems that underpin significant advancements in various industries. The industrial revolution, modern manufacturing processes, and the information-centric technology revolution all relied on innovative management approaches to optimise supply chains.

Adapting to Technological Changes and Innovations in Supply Chain Consulting

The supply chain consulting industry is not immune to changes brought about by technology and innovation. The rise of digital platforms and increased accessibility to specialised information has led to a shift in how supply chain consultants add value to their clients. To stay relevant, consultants must focus on applying trusted skills to transform supply chains and transfer capabilities to their clients.

Embracing Change: The Constant in a Supply Chain Consultant's Career

The knowledge and solutions provided by supply chain consultants a decade ago are now common knowledge. To remain valuable, consultants must adapt to change and bring something new to the table in every engagement. This continuous evolution allows supply chain consultants to enable change and drive transformation within their clients' businesses.

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Defining the Role of a Supply Chain Consultant

The role of a supply chain consultant is to build trust, drive transformation, and empower clients with new capabilities in managing their supply chains. By focusing on these core principles, consultants can take pride in the impact they create and work to better articulate their unique value proposition within the supply chain industry.

‍Contact us today, trace. your supply chain consulting partner.

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‍trace. Sustainability Lead, Emma Woodberry recently discussed the importance of the circular economy and how organisations can deliver more sustainable outcomes via supply chain improvements.  

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What is the circular economy and why is it important?

At its core, the circular economy model emphasises the importance of maximising the use of resources and minimising waste. The goal is to move away from the traditional linear approach of "take, make, and dispose" and instead, focus on creating closed-loop systems that enable resources to be reused and regenerated.

This is important because our current ways of doing business in this economy, relying on traditional linear methods, is unsustainable, and it’s leading to environmental degradation, resource depletion, and ultimately climate change. By transitioning to a circular economy, we can reduce our reliance on finite resources, reduce waste and pollution, and create a more resilient and sustainable economy.

Both consumers and governments are demanding that businesses step up and do more to contribute to driving more sustainable operations – particularly across their supply chains.

What are the benefits to an organisation or a supply chain becoming more circular?

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Supply chains are where it all starts. Supply chains are the backbone of our economy – and businesses – playing a critical role in the production, distribution, and consumption of goods and services. By improving our supply chains, we can create more efficient, resilient, and circular systems that support a sustainable economy. This can take many forms, from sourcing materials from renewable sources to implementing closed-loop production systems. By embracing circularity, companies can reduce their reliance on finite resources, decrease their carbon footprint, and create new revenue streams through the sale of recycled materials and products.

Moreover, the circular economy presents an opportunity for businesses to engage with local communities and support sustainable development goals. By prioritising the use of locally sourced materials and collaborating with local stakeholders, companies can create a more resilient and sustainable supply chain that benefits both the environment and the economy.

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What are some of the challenges organisations may face when implementing circular economy principles in supply chains?

There are several challenges organisations may face when trying to implement circular economy principles in their supply chain.

1.     Establishing transparency across the supply chain tiers – From manufacturing to distribution and retail, each tier of the supply chain has a role to play in the circular economy. Understanding how the tiers interact within your own supply chain, monitoring and reporting compliance is critical to collaboration.

2.    Identifying appropriate partners – having the right expertise and resources within any partnership or collaboration will drive success. More importantly is being able to mitigate and manage risks within a partnership, avoiding reputational and trust issues.

3.     Investment required – there is a lack of infrastructure, processes, and technology to support circular practices, such as recycling facilities or reverse logistics networks. Implementing change can be costly and companies need to be willing to make this investment to recognise the long-term benefits of a circular economy.

4.     Change in culture – the need for collaboration and cooperation across the business and supply chain, as circular practices require all stakeholders to work together to close the loop. Employees will need to think differently and adopt a new set of values and principles.

5.     Regulatory barriers – there are regulatory challenges that need to be addressed to create an enabling environment for a circular economy such as high upfront costs or lack of incentives.

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What advice would you give to businesses that want to adopt the circular economy principles.

You’ve made the right first step! The circular economy offers a promising path forward for businesses looking to reduce their environmental impact and drive sustainable growth. By adopting circularity principles within their supply chains, businesses can not only contribute to a more sustainable future but also unlock new opportunities for innovation, growth, and community engagement.

My advice would be to start small and focus on tangible areas where there is the most potential for impact. You don’t have to overhaul the supply chain and transform all practices, but you can unlock opportunity in collaboration with your suppliers and service providers from switching to green energy, using recycled materials in your production, or channeling your waste into local, innovative recycling streams – it all counts.

‍Contact us today, trace. your supply chain consulting partner.

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Effective sales and operations planning (S&OP) is critical for manufacturing organisations looking to stay competitive in today's fast-paced and complex business environment.

Sales & Operations Planning (S&OP) is a cross-functional process that is a critical component of supply chain management. It involves the coordination of sales, production, and inventory management to ensure that an organisation can meet customer demand while minimising excess inventory and avoiding stockouts. In supply chain terms, S&OP is the process of balancing supply and demand, which involves developing a demand plan based on customer forecasts, analysing production capacity, and determining the appropriate inventory levels to meet demand. The process requires collaboration and communication across different departments and stakeholders, including sales, marketing, finance, production, and logistics, to ensure that everyone is aligned around a common plan. By optimizing the balance between supply and demand, S&OP enables organisations to achieve greater efficiency and responsiveness in their supply chains, reduce costs, and improve customer satisfaction.

By aligning sales, production, and supply chain activities, S&OP enables manufacturers to optimise their operations, reduce costs, improve quality, and respond quickly to changing market conditions.

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One of the key benefits of S&OP is that it helps manufacturers to achieve better coordination between different departments and stakeholders. By providing a clear view of demand, inventory levels, and production capacity, S&OP enables manufacturers to make informed decisions that take into account the needs of all stakeholders, from sales and marketing to production and logistics.

Another important benefit of S&OP is that it can help manufacturers to reduce costs and improve efficiency. By optimising production schedules and inventory levels, manufacturers can reduce the risk of stockouts and overproduction, which can lead to waste and increased costs. Additionally, by aligning production with demand, manufacturers can avoid costly expedited shipments and other rush charges.

Effective S&OP also enables manufacturers to improve quality and customer satisfaction. By accurately forecasting demand and ensuring that production is aligned with customer requirements, manufacturers can reduce the risk of defects and delays, which can lead to dissatisfied customers and lost business. Additionally, by aligning production with demand, manufacturers can better manage product lifecycle transitions and minimise the risk of excess inventory.

Finally, S&OP enables manufacturers to respond quickly to changing market conditions and emerging opportunities. By regularly reviewing and updating their plans, manufacturers can adapt to changes in demand, raw material availability, and other factors that can impact their operations. This enables manufacturers to stay nimble and competitive, even in the face of unexpected challenges or disruptions.

Effective sales and operations planning is critical for manufacturing organisations looking to achieve operational excellence and stay competitive in today's dynamic business environment. By aligning sales, production, and supply chain activities, S&OP enables manufacturers to optimise their operations, reduce costs, improve quality, and respond quickly to changing market conditions. By investing in S&OP and continuously improving their planning processes, manufacturers can achieve long-term success and growth.

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‍Contact us today, trace. your supply chain consulting partner.

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The Importance of Effective Project Management for Supply Chain Projects

In today's fast-paced and interconnected world, supply chain management has become an essential aspect of businesses across the globe. From raw material procurement to product delivery, supply chain management involves multiple stakeholders, processes, and systems, making it a complex and challenging undertaking. Therefore, it is crucial to have effective project management in place to ensure the success of supply chain projects. In this blog article, we will explore the importance of effective project management for supply chain projects and the benefits it brings to businesses.

Firstly, knowing the subject matter and functional area is crucial for project managers managing supply chain projects. Supply chain projects are complex and involve multiple stakeholders, including suppliers, manufacturers, distributors, and customers. Therefore, having a deep understanding of the subject matter and functional area is vital to ensure the project's success. A project manager with expertise in supply chain management can identify potential risks, anticipate obstacles, and devise strategies to overcome challenges. They can also establish effective communication channels with suppliers and stakeholders, which can facilitate the project's progress. In short, a project manager's knowledge of the subject matter and functional area is critical for ensuring that supply chain projects are completed on time, within budget, and to the satisfaction of all stakeholders.

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1. Ensuring Timely Completion

Effective project management ensures that the project is completed on time, meeting the delivery deadlines. In supply chain projects, timely completion is crucial as it impacts the entire supply chain, from suppliers to customers. Late delivery of goods can lead to lost sales, customer dissatisfaction, and reputational damage. Therefore, project managers must manage the project schedule, monitor progress, and identify potential delays to take corrective actions.

2. Managing Project Risks

Supply chain projects involve multiple risks, such as supply disruptions, quality issues, and transportation delays. Effective project management helps identify potential risks and develop contingency plans to mitigate them. Project managers can also monitor the risk environment and adjust the project plan as needed to ensure the project's success.

3. Controlling Project Costs

Effective project management helps control project costs by monitoring expenses, identifying cost-saving opportunities, and developing budget forecasts. In supply chain projects, managing costs is critical as it impacts the entire supply chain's financial performance. Project managers must ensure that the project stays within budget, avoid cost overruns, and identify opportunities for cost savings.

4. Collaborating with Stakeholders

Supply chain projects involve multiple stakeholders, such as suppliers, logistics providers, and customers. Effective project management fosters collaboration among stakeholders, ensuring that everyone is aligned with the project's goals and objectives. Collaboration leads to better communication, improved decision-making, and reduced project risks.

5. Improving Project Quality

Effective project management helps improve project quality by establishing quality metrics, monitoring quality performance, and taking corrective actions when necessary. In supply chain projects, quality is crucial as it impacts the entire supply chain's performance. Project managers must ensure that the project meets quality standards, reduce defects and errors, and improve the overall product and service quality.

Effective project management is crucial for the success of supply chain projects. It ensures timely completion, manages project risks, controls project costs, fosters collaboration among stakeholders, and improves project quality. With effective project management, businesses can achieve their supply chain goals, enhance their supply chain performance, and gain a competitive advantage in the marketplace.

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Contact us today, trace. your supply chain consulting partner.

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The rise of digital transformation has led to an increased demand for automation and efficiency in business processes.

Microsoft Power Platform, a low-code development environment, has emerged as a popular tool for businesses to build custom applications and automate workflows. In this article, we will explore how the suite of Power Platform applications are replacing Excel and automating supply chain processes in a cost-effective way.

Excel has been a trusted tool for businesses to manage data and perform calculations for decades. However, as businesses have grown in complexity, Excel has started to show its limitations. Excel requires manual data entry, and as the volume of data grows, it becomes more challenging to manage and process the data accurately. Additionally, Excel lacks the ability to automate workflows and integrate with other systems, leading to inefficiencies and errors.

The Microsoft Power Platform suite of applications, including Power Apps and Power Automate, provide a solution to these limitations by allowing businesses to build custom applications that can automate workflows, integrate with other systems, and manage data effectively. With Power Apps, businesses can create customised forms, dashboards, and reports that can be accessed by users across the organisation. Power Apps enable businesses to digitise manual processes and improve visibility into their operations, leading to better decision-making and increased efficiency.

Supply chain processes are an area where Microsoft Power Apps can provide significant benefits.

Supply chain management involves the coordination of activities from procurement to delivery, and often involves multiple parties, such as suppliers, manufacturers, distributors, and retailers. These processes are often complex, and require accurate and timely data to ensure the efficient movement of goods.

Power Platform can help automate and streamline supply chain processes by digitising manual processes and integrating with other systems. For example, businesses can use Power Pages to create custom forms for suppliers to submit purchase orders, which can then be automatically routed to the appropriate departments for approval. Power Apps can also integrate with other systems, such as inventory management and transportation management systems, to provide real-time data and visibility into the supply chain.

Power Platform and supply chain analytics.

Power BI can be used to create custom dashboards and reports that provide insights into key performance indicators (KPIs) such as inventory levels, lead times, and on-time delivery rates. These KPIs can be used to identify areas for improvement and make data-driven decisions to optimise supply chain processes.

Power Automate and Dataverse are replacing Excel as a tool for managing data and automating workflows. Together with Power BI, they provide businesses with the ability to digitise manual processes, integrate with other systems, and provide real-time data and visibility into their operations. In the context of supply chain management, Power Applications can provide significant benefits by automating and streamlining processes, providing analytics and insights, and improving decision-making.

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Power Automate and Demand Planning & Replenishment

Microsoft Power Automate is a powerful tool that enables businesses to automate repetitive tasks and processes. In the context of demand planning and replenishment, Power Automate can be used to replace Excel and provide more efficient and accurate processes. Let's explore how Power Automate can be used in demand planning and replenishment.

Demand planning is the process of forecasting customer demand for a product or service. The objective of demand planning is to ensure that the business has the right amount of inventory to meet customer demand without overstocking. In many organisations, demand planning is still performed using Excel, copying and pasting data from multiple systems. However, as the volume of data has grown, the limitations of Excel have become more apparent. Excel requires manual data entry and is prone to errors, leading to inaccurate forecasts.

Power Automate can automate the demand planning process by integrating with other systems and automating data entry. For example, Power Automate can be used to automatically import sales data from a point-of-sale system, eliminating the need for manual data entry. Power Automate can also be used to automate the process of updating forecasts, reducing the risk of errors and ensuring that the business has accurate forecasts. From a replenishment perspective, Power Automate can be used to automatically generate purchase orders based on a set of pre-defined business rules, improving the efficiency of the process and allowing planning team members to concentrate efforts on more important products.

Power Pages ability to capture and automate external data capture and reporting

Another component of Power Platform is Power Pages, which allows users to create customised, low-code websites that can capture data from external stakeholders, such as suppliers and customers, and generate automated communications and reporting. For example, a custom Power Page can be created to capture data from suppliers regarding purchase orders, delivery dates, and inventory levels. The data can be automatically integrated with other internal systems, such as inventory management or transportation management systems, to provide real-time data and visibility into the supply chain.

Once the data has been captured, Power Pages can generate automated communications, such as purchase order confirmations, shipping notifications, and invoices. These communications can be customised to meet the specific needs of the business and can be sent automatically to the appropriate teams, reducing the need for manual data entry and communication.

Low-code applications to improve supply chain processes will continue to grow

With current high levels of inflation and uncertainty, businesses have become more cautious with investments, including large, expensive IT upgrades. However, staying stagnant creates its own risks, including becoming unproductive and falling behind the competition. In this environment, low-code environments such as Microsoft Power Platform provide an opportunity for businesses to keep improving their supply chain processes without significant investment in time and effort to implement proprietary software or upgrade ERP systems.

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Contact us today, trace. your supply chain consulting partner.

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Queen's Wharf, Brisbane

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The trace. team are honoured to partner with The Star Entertainment Group to implement a supply chain operating model that will help shape one of Queensland’s most iconic tourist and entertainment destinations - The Star's Queen's Wharf Brisbane. Together in partnership with Shaun Micallef, Senior Manager of Supply Chain - Brisbane and his team, trace. are helping to implement safe and efficient supply chain operations for the Food & Beverage, Hotels, Consumables, Residential and Retail Outlets that will improve service, enhance supplier collaboration, minimise cost to serve, and contribute to mitigating safety & congestion risks.

As part of the program the trace. team have contributed to the design, development and implementation of a range of new processes and technology solutions for the supply chain operations of the new precinct.

"It is an exciting time for Queensland, particularly with Queens Wharf Brisbane and its surrounding infrastructure coming online well ahead of the 2032 Brisbane Olympics. We are supporting the Pre-Opening team at The Star to deliver an end to end supply chain operating model that is transformative in nature for the Hospitality industry. trace. are helping to shape the supply chain infrastructure and operational capabilities for the future F&B & Hospitality Outlets - touching on all areas from planning, ordering, receipting, processing, storage, supplier management, and KPI reporting." said Shanaka Jayasinghe, Partner at trace.

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About trace.

trace. is a leading supply chain solutions provider committed to helping businesses optimise their supply chain operations through innovative processes and advanced technology. With a focus on safety, efficiency, and collaboration, trace. partners with organisations across various industries to deliver tailored, end-to-end solutions that drive success and growth.

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Contact us today, trace. your supply chain consulting partner.

Asset management and supply chain management are two critical components of any organisation's success, including universities.

Universities have a vast array of assets that they need to manage effectively, including buildings, equipment, technology, and personnel. They also need to manage their supply chain to ensure that they have the resources they need to operate efficiently. These requirements across assets and supply chain can vary significantly by Faculty.

In this blog article, we will explore the intersection of asset management and supply chain management for universities and discuss some best practices for managing both effectively.

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Asset Management for Universities

Asset management for universities is the process of tracking and maintaining the physical assets of the institution. This includes everything from buildings and land to equipment, furniture, and technology. Effective asset management is essential to ensure that universities have the resources they need to provide high-quality education and research.

One of the key challenges of asset management for universities is tracking the location and condition of assets. Universities often have multiple campuses and departments, which makes it difficult to keep track of where assets are located and who is using them. Additionally, assets can wear out or become obsolete, which requires universities to plan for replacement or repair.

To overcome these challenges, universities should implement an asset management system that includes:

1. Asset tracking: Universities should use a system that allows them to track the location and condition of assets in real-time. This can be accomplished using barcodes, RFID tags, or GPS technology.
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2. Maintenance schedules: Universities should have a maintenance schedule for each asset to ensure that it is kept in good condition and replaced when necessary.
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3. Budget planning: Universities should plan for the replacement or repair of assets in their budget to ensure that they have the resources they need when assets reach the end of their life.

Supply Chain Management for Universities

Supply chain management for universities is the process of managing the flow of goods and services from suppliers to the institution. This includes everything from purchasing office supplies to contracting for construction projects. Effective supply chain management is essential to ensure that universities have the resources they need to operate efficiently.

One of the key challenges of supply chain management for universities is managing multiple suppliers and contracts. Universities often have a large number of suppliers, which makes it difficult to manage contracts and ensure that they are getting the best value for their money.

To overcome these challenges, universities should implement a supply chain management system that includes:

1. Supplier management: Universities should have a system for managing their suppliers, including contracts, performance metrics, and communication protocols.
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2. Budget planning: Universities should plan for their supply chain needs in their budget to ensure that they have the resources they need to operate efficiently.
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3. Procurement policies: Universities should have clear procurement policies that outline the process for purchasing goods and services and ensure compliance with regulations and ethical standards.

The Intersection of Asset Management and Supply Chain Management for Universities

The intersection of asset management and supply chain management for universities is where these two processes come together. Effective asset management is essential to ensure that universities have the resources they need to operate efficiently, and effective supply chain management is essential to ensure that they have the resources they need to maintain their assets.

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To optimise the intersection of asset management and supply chain management, universities should:

1. Integrate asset management and supply chain management systems: Universities should integrate their asset management and supply chain management systems to ensure that they are working together effectively.
2. Plan for asset replacement and procurement: Universities should plan for the replacement of assets in their procurement policies to ensure that they have the resources they need to replace assets when necessary.
3. Monitor performance metrics: Universities should monitor performance metrics for both asset management and supply chain management to ensure that they are meeting their goals and making continuous improvements.

Asset management and supply chain management are critical components of any organisation's success, including universities. By implementing effective systems and best practices, universities can ensure that they have the resources they need to provide high-quality education and research for their students and faculty. Integration of asset management and supply chain management systems, planning for asset replacement and procurement, and monitoring performance metrics are essential for universities to optimise the intersection of asset management and supply chain management. By doing so, universities can operate more efficiently, reduce costs, and ensure that they have the resources they need to continue their mission of educating the next generation of leaders.

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Contact us today, trace. your supply chain consulting partner.

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Exploring the MRO Supply Chain for Defence Submarines: A Crucial Component for Operational Efficiency

The Maintenance, Repair, and Operations (MRO) supply chain encompasses the intricate processes that govern the procurement, inventory management, and delivery of goods and services for maintaining equipment, facilities, and other assets in optimal working condition. Defence submarines, as sophisticated underwater vessels, demand a well-orchestrated MRO supply chain to guarantee their longevity and effectiveness in executing critical missions. With further detail announced on the AUKUS partnership to introduce a nuclear submarine capability for Australia, let's examine the nuances of the MRO supply chain for defence submarines, its significance, challenges, and potential solutions for enhanced management.

The Indispensable Role of the MRO Supply Chain in Defence Submarines

Operating in highly demanding environments and performing tasks such as surveillance, intelligence gathering, and covert operations, defence submarines rely on a robust MRO supply chain for several reasons:

1. Operational Readiness: An efficient MRO supply chain ensures submarines remain in prime condition, poised for deployment at a moment's notice. Regular maintenance and prompt repairs are crucial to maintaining mission-readiness.
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2. Cost Management: Streamlined MRO processes minimise the total cost of ownership (TCO) for defence submarines. By optimising MRO processes and sourcing appropriate components at opportune moments, defence organisations can reduce costs and bolster budget management.
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3. Safety: The MRO supply chain plays a pivotal role in safeguarding crew members aboard submarines. Routine maintenance and repairs can avert accidents and equipment malfunctions, thus protecting the lives of those onboard.

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Navigating the Challenges in the MRO Supply Chain for Defence Submarines

Managing the MRO supply chain for defence submarines is a complex undertaking, laden with various challenges that warrant attention:

1. Obsolescence: The rapid evolution of technology frequently renders submarine components obsolete, complicating the sourcing and management of replacement parts.
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2. Regulatory Compliance: Stringent regulations and standards govern defence submarines. Ensuring MRO processes and components adhere to these requirements is a demanding challenge that necessitates continuous vigilance.
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3. Global Sourcing: Procuring submarine components from global suppliers can introduce logistical challenges and delays, impacting the timely execution of MRO tasks.

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Strategies for Enhanced MRO Supply Chain Management

To surmount these challenges and optimise the MRO supply chain for defence submarines, the following strategies can be adopted:

1. Data Analytics and Predictive Maintenance: Harnessing data analytics enables defence organisations to better anticipate maintenance requirements and refine the MRO supply chain. Predictive maintenance facilitates the identification of potential issues before they escalate, allowing for prompt repairs and minimising downtime.
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2. Collaborative Planning: Cooperation among suppliers, manufacturers, and other supply chain stakeholders can address issues related to obsolescence, regulatory compliance, and global sourcing.
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3. Standardisation and Modularisation: Embracing standardised processes and modular designs can simplify MRO processes and reduce the number of unique components required for repairs, enhancing sourcing and management efficiency.
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4. Digital Transformation: Adopting digital technologies such as blockchain, the Internet of Things (IoT), and artificial intelligence (AI) can augment the visibility, efficiency, and security of the MRO supply chain.

The MRO supply chain is an essential component in guaranteeing the operational efficiency and readiness of defence submarines. By addressing inherent challenges and adopting effective strategies for superior management, defence organisations can sustain a high level of preparedness while ensuring the safety and cost-effectiveness of these vital underwater vessels.

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‍AUKUS - a new dawn for MRO Supply Chains in Australia

The Virginia-class submarines – one of the two proposed in the AUKUS agreement – form the backbone of the United States Navy's attack submarine fleet, gradually replacing the older Los Angeles-class.

Whilst critical to maintain peace in the Asia-Pacific region, these submarines will be complex and costly to maintain. With a F-35 combat aircraft having in excess of 300,000 parts from 1,700 suppliers – it is not stretch to then assume a submarine of the size, scale and capabilities of the Virginia-class has well over 950,000 different parts and components, including complex machinery, electrical and electronic systems, pumps, valves, sensors, and many other types of equipment. With the US industrial supply chain behind the Virginia-class reportedly under strain, with parts wearing out sooner than expected and cannibilisation occuring across platforms, it will be crucial for Australian Defence planners and industry to invest in their MRO planning capability.

Planning service parts supply chains is a complex task that involves dealing with various challenges such as high-cost parts, long lead times, multiple sources for the same part, sporadic and low-volume part usage patterns, and the contrasting requirements and preferences of OEMs.

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‍Contact us today, trace. your supply chain consulting partner.

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During times of economic uncertainty,CFOs will look to key levers in an organisation.

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The supply chain has several key levers for CFOs, particularly in uncertain times where operating expenses and working capital must be carefully managed. The figure below highlights ‘key metrics in the mind of a CFO’ and the level of influence a supply chain typically will have on such metrics.

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Supply Chain Lever Benefits vs. Implementation Complexity - Balancing supply chains short-term vs. long-term opportunities

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In assessing how to deploy resource and capital, CFOs must balance anticipated benefits vs. implementation complexity and costs. The figure below highlights for typical example projects this relative equation.

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SPOTLIGHT - Supply Chain and Warehouse Network Optimisation & Design

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Allocating capital, deploying assets and positioning inventory well in a supply chain network is critical to delivering the right service at the right cost. Supply chains often evolve organically and for some organisations, become awkward collections of sites, sources and inventory.

Network Design is a strategic review – often at board and c-suite level – where a retailer is seeking to lock in their network footprint, asset profile, infrastructure and capabilities decisions for the future. It clearly pays to get these decisions right and the consequences of getting them wrong often can result in years, if not decades of pain.

Scenario modelling is a practice trace. has strong capabilities in. We are here to assist retailers determine – what is the optimal network for their business? Our approach to network design is detailed in the figure below and has been proven over decades using both our own inhouse developed ‘tactical scenario modelling software’ as well as ‘best breed’ network design technologies’.

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‍Contact us today, trace. your supply chain consulting partner.

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In the manufacturing industry, accurate forecasting and effective inventory management are essential to the success of a business.

Traditional forecasting methods are often inadequate, leading to stockouts, excess inventory, and increased costs. Fortunately, machine learning and leading indicator analysis can help manufacturers improve forecast accuracy and safety stocks, leading to better inventory management and increased profits.

First, let's define what we mean by leading indicators. Leading indicators are variables that change before a change occurs in a broader system or economy. In the manufacturing industry, leading indicators can include things like order backlog, supplier performance, and new product introductions. By monitoring leading indicators, manufacturers can get a sense of what is coming down the pipeline and adjust their operations accordingly.

Machine learning can help manufacturers incorporate leading indicators into their forecasting models, resulting in more accurate predictions. Machine learning algorithms can analyse large amounts of data and identify patterns that humans may not be able to see. By incorporating leading indicators into these algorithms, manufacturers can predict demand more accurately and adjust their production schedules and inventory levels accordingly.

In addition to improving forecast accuracy, machine learning can also help manufacturers identify patterns of demand that they may not have noticed before. For example, machine learning algorithms can analyse sales data and identify which products are frequently purchased together. This information can help manufacturers adjust their inventory levels and product offerings to better meet customer demand.

Safety stock is another area where machine learning and leading indicator analysis can help manufacturers. Safety stock is the inventory that is kept on hand to protect against unexpected demand or supply chain disruptions. Traditionally, manufacturers have used a set formula to determine their safety stock levels. However, these formulas may not take into account factors such as seasonality, supplier performance, or new product introductions.

By incorporating leading indicators into their safety stock calculations, manufacturers can adjust their inventory levels more dynamically. For example, if a manufacturer sees that supplier performance is slipping, they can increase their safety stock levels to protect against potential stockouts. Similarly, if a manufacturer sees that new product introductions are driving up demand for certain products, they can adjust their safety stock levels accordingly.

Machine learning and leading indicator analysis can help manufacturers improve forecast accuracy and safety stocks. By incorporating leading indicators into their forecasting models and safety stock calculations, manufacturers can better predict demand, adjust their inventory levels, and protect against supply chain disruptions. This can lead to better inventory management, increased profits, and a more successful business overall.

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Contact us today, trace. your supply chain consulting partner.

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Aged care providers in Australia are responsible for providing quality care to the elderly population.

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The success of these providers largely depends on the quality of care provided to residents - in homes or facilities. One crucial aspect of delivering high-quality care is through efficient rostering and scheduling of staff. Effective rostering and scheduling can improve service delivery, staff satisfaction, and operational efficiency. In this article, we will delve into how Australian aged care providers can unlock service and operational excellence through effective rostering and scheduling.

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Benefits of Effective Rostering and Scheduling

Efficient rostering and scheduling can bring a host of benefits for aged care providers. Some of these benefits include:

1. Improved Staff Productivity: With an efficient rostering and scheduling system, staff can be assigned to shifts based on their skills and availability. This can lead to higher productivity, as staff members are more likely to perform better in roles that suit their strengths.
2. Better Resident Care: When staff members are scheduled effectively, they can provide more personalized care to residents. This can lead to improved resident satisfaction and overall well-being.
3. Cost Savings: Effective rostering and scheduling can help aged care providers manage their operating costs more efficiently. By scheduling staff based on their availability and skills, providers can avoid overstaffing and reduce avoidable operating costs - in the form of travel, overtime, external labour, etc.
4. Compliance with Regulations: Aged care providers are required to comply with a range of regulations and standards. Effective rostering and scheduling can help providers meet these requirements by ensuring that staff members are appropriately trained and qualified.

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Best Practices for Rostering and Scheduling

To achieve service and operational excellence through effective rostering and scheduling, aged care providers should adopt the following best practices:

1. Utilise Rostering Technology: The type of scale of technology will vary based on your requirement, that said, rostering software can help automate the scheduling process, reduce errors, and save time. With rostering software, providers can quickly and easily schedule staff members based on their availability, skills, and preferences.
2. Consider Staff Preferences: Aged care providers should consider staff preferences when creating rosters. Staff members are more likely to perform better and stay motivated when they are assigned to shifts that suit their preferences.
3. Be Flexible: Aged care providers should be flexible when creating rosters to accommodate unexpected events or emergencies. This can help prevent staff burnout and ensure that residents receive the care they need.
4. Monitor Staff Performance: Aged care providers should regularly monitor staff performance to identify any issues or areas for improvement. By tracking staff performance, providers can identify opportunities to improve service delivery and operational efficiency.

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Effective rostering and scheduling can be a powerful tool for aged care providers in Australia to unlock service and operational excellence. By implementing best practices, providers can improve staff productivity, resident care, and compliance with regulations, while also reducing labour costs. Rostering software can be particularly useful in automating the scheduling process and saving time.

Ultimately, the success of aged care providers in Australia depends on their ability to deliver high-quality care to residents. Effective rostering and scheduling can play a significant role in achieving this goal. By implementing best practices and utilising rostering software, providers can improve their service delivery, staff satisfaction, and operational efficiency.

Aged care providers in Australia should prioritize effective rostering and scheduling to unlock service and operational excellence. With the right tools and practices in place, providers can ensure that staff members are assigned to shifts based on their skills and preferences, resulting in better care for residents, cost savings, and compliance with regulations. It's time for aged care providers to take rostering and scheduling seriously and unlock their full potential.

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‍Contact us today, trace. your supply chain consulting partner.

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‍trace. partner Mathew recently discussed the importance of understanding the end-to-end supply chain, for industry and governments, in the quest to improve supply chain resilience.

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Why is it important for both industry and governments to understand end-to-end supply chains?

Mathew: Arguably the most important reason for both industry and governments to understand end-to-end supply chains is risk. The COVID-19 pandemic has brought this into stark contrast, but supply chain risk extends from just the threat of physical disruption and how we manage that, to broader risks around sustainability, forced labour, environmental damage, and human rights abuses throughout the tiers of a supply chain.  

While businesses have a direct interest in protecting their reputation and bottom line, governments are increasingly understanding they have a role to play, together with the private sector, in protecting our critical national interests. A good example in Australia was the establishment of the Office of Supply Chain Resilience in July 2021.

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Can you give us an example of how a company can identify potential risks and vulnerabilities in their supply chains?

Mathew: One approach is to conduct a thorough supplier assessment that includes an evaluation of a company's n-tier suppliers. "N-tier suppliers" refers to the suppliers of a company’s suppliers, and so on, down the supply chain. Understanding these n-tier suppliers can have a significant impact on the overall effectiveness, efficiency, sustainability and ethical performance of a company's supply chain. In many cases, and especially for an import/export-oriented country like Australia, suppliers are in different countries and may operate under different regulations, making it difficult to monitor their practices. There are several technology products available to assist with this.  

This assessment can include information on supplier mapping, supplier performance, compliance with regulations, and social and environmental impacts. By conducting these assessments, companies can identify potential risks and vulnerabilities and work with their suppliers to address these issues.

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What role can governments play in helping companies understand their supply chains?

Mathew: One relatively low-cost way is for governments to share more of the rich, broad data sets they often have access to, which can paint an informative picture of macro-level vulnerabilities, risks, as well as opportunities. At its most useful, this data helps industries identify their own risks and improve their resilience.  

A more standard role is governments promoting supply chain transparency and sustainability by implementing regulations and standards that require companies to report on their supply chain practices.  

Finally, governments can provide capability, support and resources to help companies identify and address risks in their supply chains. For example, governments can provide training and capacity building for suppliers to improve their sustainability practices.

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How can industries and governments work together to improve supply chain transparency and sustainability?

Mathew: Collaboration between industries and governments is essential to improving supply chain resilience and sustainability. A good starting point is data sharing - setting up a framework through which governments and the private sector can ethically share data on their supply chains. Better data enables better analytics, improving the capability of all stakeholders to identify vulnerabilities, mitigate risks and improve resilience.  

On the regulatory side, governments can work with industries to develop and implement better standards that encourage responsible supply chain practices. Industries, in turn, can provide feedback to governments on the effectiveness of these and work with them to implement them successfully.

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Contact us today, trace. your supply chain consulting partner.

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Scope 3 Emissions Visibility: What It Is and Why It Matters

As the world becomes more aware of the impact of greenhouse gas emissions on the environment, companies are under increasing pressure to reduce their carbon footprint. While many companies have been successful in reducing their Scope 1 and 2 emissions, which are emissions directly associated with their operations, Scope 3 emissions, which are indirect emissions associated with a company's value chain, are often overlooked.

Scope 3 emissions can include emissions from sources such as purchased goods and services, employee commuting, and waste disposal. According to the Greenhouse Gas Protocol, Scope 3 emissions can account for up to 80% of a company's total carbon footprint. Therefore, understanding and managing Scope 3 emissions is essential for companies looking to reduce their overall carbon footprint.

The Challenges of Managing Scope 3 Emissions

The complexity of a company's network has a significant impact on their emissions reduction strategies. In certain industries, such as energy, utilities, and natural resources, the majority of upstream emissions are concentrated in suppliers located closer to the purchasing company. However, other industries, including aerospace and defense, high tech, and automotive, have upstream emissions concentrated in suppliers further up the supply chain. For example, upstream emissions make up a significant portion of the total emissions for the high tech industry, with an average of 80% of their upstream emissions coming from Tier 2+ suppliers. This industry also has a complex, multi-tier supplier network, which makes it more challenging to identify the sources of upstream emissions.

The sources of emissions vary significantly by industry sector, with power generation being a hot spot for some industries, and raw materials and transportation being the hot spots for others. It is important to note that hot spots could vary within the same industry depending on where a supplier sits in the supply chain. Therefore, it is crucial for companies to identify and target the right set of hot spots to have the most significant impact on reducing overall Scope 3 emissions. This requires visibility across multi-tier suppliers beyond those in Tier 1. Without this visibility, companies may end up focusing and spending resources on actions for different sources that ultimately may not have much of an impact on reducing overall Scope 3 emissions.

Managing Scope 3 emissions can be a challenging task, as these emissions are often outside of a company's direct control. For example, a company may purchase goods and services from suppliers who are located in countries with less stringent environmental regulations, resulting in higher emissions. Similarly, employee commuting can be difficult to manage, especially for companies with a large workforce.

Another challenge in managing Scope 3 emissions is the lack of visibility into these emissions. Companies often lack the data necessary to accurately track and report on their Scope 3 emissions, making it difficult to identify areas for improvement.

The Importance of Scope 3 Emissions Visibility

Despite the challenges associated with managing Scope 3 emissions, it is essential for companies to gain visibility into these emissions. By understanding their Scope 3 emissions, companies can identify areas where they can reduce their carbon footprint and work with suppliers to implement more sustainable practices. In addition, by tracking and reporting on their Scope 3 emissions, companies can demonstrate their commitment to sustainability to stakeholders and customers.

Implementing a Scope 3 Emissions Management Plan

To effectively manage Scope 3 emissions, companies should implement a comprehensive emissions management plan. This plan should include the following steps:

1. Identify and prioritise Scope 3 emission sources: Companies should identify the Scope 3 emission sources that have the most significant impact on their carbon footprint and prioritise these sources for improvement.
2. Collect data on Scope 3 emissions: Companies should work with their suppliers to collect data on their Scope 3 emissions, including emissions from purchased goods and services, employee commuting, and waste disposal.
3. Set emissions reduction targets: Companies should set targets for reducing their Scope 3 emissions based on the data collected.
4. Implement emissions reduction initiatives: Companies should work with their suppliers to implement initiatives to reduce their Scope 3 emissions, such as using renewable energy sources and reducing waste.
5. Track and report on emissions: Companies should track and report on their Scope 3 emissions to demonstrate their commitment to sustainability and identify areas for further improvement.

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Contact us today, trace. your supply chain consulting partner.

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