@ Supply Chain Management


SCM Newz roundup

1. IBM Goes Up Against Oracle, SAP In Product Lifecycle Management
IBM is partnering with UGS to deliver a version of UGS’s core product – TeamCenter Express targeted at small and midsize businesses, reports CRN Online. The gist of the partnership centers around:

The Teamcenter system competes with an Oracle PLM product launched in mid-2003 and an SAP offering. IBM is eager to market Teamcenter Express because it often generates a demand for IBM’s own WebSphere middleware and data translation products.
PLM for the most part has been a concern of large companies with complex products enjoying long shelf lives. UGS Teamcenter, for example, is the tracking system for the Lockheed Martin F-35 Strike Fighter aircraft, with hundreds of suppliers and partners.
If the IBM-UGS partnership is a sign of the times, small and midsize businesses with complex products want the benefits of collaborative product data management as well.

In so doing, IBM would be stepping on the toes of Oracle and SAP, not to mention other CAD/CAE providers such as Dassault (makers of CATIA).

2. Kimberly-Clark Outsources Some Sourcing, Supply Management Services
Since Kimberly Clark (KC), has a major operation right here in Neenah, WI (about 40 miles south of where I live), I get to hear about the goings on there. It helps that I have friends and relatives who work there. SDExec.com reports,

Kimberly-Clark Corp. has signed a five-year contract with procurement services provider ICG Commerce, outsourcing to the firm certain sourcing and supply management activities.

And the particular corporate logic behind this move,

“By selecting ICG Commerce, Kimberly-Clark’s sourcing and supply management staff will focus their expertise on such critical business purchases as raw materials and packaging supplies, while leveraging ICG Commerce’s market knowledge, sourcing strategies and procurement experience to reduce costs and improve efficiency.”

3. Click Commerce Offers New Warehouse Management Solution
A new offering from SCM software provider ClickCommerce is highlighted in this report from SDExec.com.

On-demand supply chain management solutions Click Commerce Inc. introduced WMX, a new warehouse management solution

Further more,

Click Commerce said WMX addresses the challenges of today’s complex supply chain environments: visibility and control within and beyond the four walls of a warehouse. Based on service-oriented architecture (SOA), a modular design principle, the WMX enables companies to integrate with third-party systems, reducing implementation time and costs.
In addition, the new product incorporates configurable, rules-based business processes, which gives companies the flexibility to adapt their warehouses to changing conditions. For example, the solution enables companies to start operations at new warehouses quickly and cost-effectively automate processes to meet their customers’ needs. In addition, Click Commerce WMX supports technologies such as voice-enabled warehouse activities and radio frequency identification (RFID).
Click Commerce WMX also supports return and repair business processes. These post-sale operations are becoming an additional revenue source for companies and another way to differentiate themselves from their competitors. Click Commerce WMX is designed to manage the dynamic processing requirements of reverse logistics and help deliver improved customer service.

4. Defense Department Outsources Tire Supply Management To Lockheed Martin
As InformationWeek reports, the DoD is outsourcing a lot of stuff. (See here for an article about the DoD bringing in a 3PL for managing its domestic transportation operations).

Under a subcontract award disclosed Tuesday, Lockheed Martin will implement and maintain a range of IT systems — including demand forecasting and inventory management applications — to help the U.S. Air Force and U.S. Army keep track of tires used on their aircraft. Lockheed Martin is supplying the services in partnership with Michelin Aircraft Tire.
Michelin is operating under a primary supply contract awarded Jan. 3 worth as much as $700 million. The contract made Michelin the Air Force and Army’s primary tire provider.

5. Top Ten Supply Chain Trends of 2006
Dan Gilmore of SupplyChainDigest posts his review of the top 10 trends in SCM for the year 2006. Head over and take a look.
The top trend according to Dan: The Greening of the Supply Chain. He notes,

It’s just starting to ignite, but we predict the most significant trend of 2006 will be that this is the year where the environmentally friendly supply chain (aka “sustainability”) really turned the corner, and companies started to take real action. To the surprise of many, an early leader: Wal-Mart. From energy efficiency to alternative fuels to packaging and much more, the supply chain will increasingly be colored green.

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Category: Supply Chain Management, Supply Chain News


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January 2007