Thursday, January 04, 2007

Supply Chain

Distribution in the Supply Chain The topic of inventory turns came up the other day, and I was reminded of this great White Paper on Distribution (free, but registration is required). In 1997, Apple was turning inventory just ten (10) times a year. Steve Jobs hires Tim Cook away from another company (with a nice sign-on bonus) and they end 1998 at 180 turns! Did I happen to mention how important people are to your success? I know, there are folks (misinformed, mostly) out there crying, "but look at the transportation costs!" I prefer to look at the bottom line. See the White paper for the details. Was it King Solomon that said "muzzle not the ox that treads the corn." Paraphrased: the worker producing results should be compensated. I am amazed how little results are rewarded in today's workforce. Yes, CEO bonuses can be extreme, but if tied to the mission statement, and based on a percentage of the gains, then I can easily justify some very large awards. But I digress... Jeff 'SKI' Kinsey, Jonah tag:
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