On The Trail to Traceability

Embed Size (px)

DESCRIPTION

Commerce in Motion commissioned this study to gauge the current state of our ability to effectively track, trace, and recall products, both inside the enterprise and up and down the supply chain. We surveyed supply chain and operations executives from close to 130 CPG, Life Sciences, and Food & Beverage companies, most of whom (~77%) represent companies greater than $500M in annual revenue. The study yielded some interesting results...

Citation preview

  • 1. On the Trail to TraceabilityNew Legislation and New ComplexityLead to New Challenges#CommerceInMotion

2. Sleepless NightsTraceability Concerns Keep Us Up at Night Financial Cost 28% Brand Reputation 24% Consumer Liability 18% Government Oversight 12% Loss of Market Share 11% 2 3. I Can Execute a Recall...Within HoursWithin Days/Weeks 52% 48% Cause for Concern3 4. 86%Financial liability if something goes wrong77% items dont reach consumer Cost of assuring affected69%Coordinating recalls with suppliers & distributors61% Isolating affected items in their supply chainConcerns Abound4 5. Staying Compliant?46% not fully compliant with currenttraceability regulations#131988605 6. Recall Costs Risingthe average recall now costs$10M (plus brand damage and lost sales)Source: GMA, FMI, Deloitte and GS1 6 7. 93% of consumers believe recall handlingindicates whether a company cares more about profits or customer safety* Princeton University/The Relational Capital GroupWith Challenge Comes Opportunity7 8. 87%of consumers are more likely to purchase from companies that manage recalls honestly and responsibly* Princeton University/The Relational Capital GroupWith Challenge Comes Opportunity8 9. Not Nearly Enough Automation81%of traceability processes are either completely paper-based or onlypartially automated 9 10. 55% plan to implement or upgrade systems within thenext 5 yearsUpgrades are Looming10 11. Tech: Enabling Intelligent Supply ChainsDynamic Adjustments Rules ConstraintsSense Real-Time Monitoring Temperature/Quality Demand/Price Policies Inventory/OrdersAct ReactReport Trends/Identify Opps Dynamic Decision-Making Product Quality Product/Waste Facility/Vendor Performance Fulfillment Alternatives Employee PerformanceLearn Staffing 11 12. Techs Five Drivers of Smart Supply Chains1. Intra-/Extra-Enterprise Visibility Across All Data Types-Inventory and Orders Across the Network-Complete transaction history for all product movements2. Reliable and Timely Holds Execution3. Effective and Thorough Recall Execution4. Comprehensive Reconciliation Processes5. Comprehensive Reporting12 13. An Intelligent Supply Chain at WorkWholesaler, Distributor,Manufacturer Retail3pl & Carrier Temperature drops belowAll affected product isSub -standard product neverthreshold. Alerts sent to located, isolated and enters supply chain preservingappropriate decision makers. rerouted, returned or destroyed.safety and security. SenseReactActLearn 13 14. RedPrairie Traceability Solution ReconciliationRPWMSVisibility3rd Party WMSHold/Recall14 15. Commerce In MotionSponsored byRedPrairie15 16. CommerceInMotion.comFull Study NowAvailable Online#CommerceInMotion 16 17. Thank [email protected]#CommerceInMotion