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p: 1300 364 160 e: [email protected] w: sclaa.com.au SCLAA NEWSLETTER MARCH - APRIL 2016 Join the SCLAA For more information on how to join the SCLAA go to sclaa.com.au or follow us on Your Association The Supply Chain and Logistics Association of Australia (SCLAA) is Australia’s largest association for Supply Chain and Logistics professionals and practitioners. We have over 8,400 members and industry contacts. Our proven history, governance framework, established representation, value for money and strategic reach to make us the right choice for you. In this edition New National Partners Effect of economic environment Logisticians save lives with Red R What’s happening in your Division? March 2016 We keep you moving We are a member based organisation, run by volunteers. At our very core is our mission to serve and advance the interests of Supply Chain and Logistics professionals and practitioners in Australia. We do this through the development of the profession and practice, collaboration with industry stakeholders and promotion and recognition of world’s best practice. In 2015 for the first time, half of our State or Division Presidents are women and the SCLAA actively promotes women in the supply chain.

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Page 1: SCLAA March 2016 newsletter

p: 1300 364 160 e: [email protected] w: sclaa.com.au

SCLAA NEWSLETTER MARCH - APRIL 2016

Join the SCLAAFor more information on how to join the SCLAA go to sclaa.com.au or follow us on

Your AssociationThe Supply Chain and Logistics Association of Australia (SCLAA) is Australia’s largest association for Supply Chain and Logistics professionals and practitioners. We have over 8,400 members and industry contacts. Our proven history, governance framework, established representation, value for money and strategic reach to make us the right choice for you.

In this edition New National Partners Effect of economic environment Logisticians save lives with Red R What’s happening in your Division?

March 2016

We keep you movingWe are a member based organisation, run by volunteers. At our very core is our mission to serve and advance the interests of Supply Chain and Logistics professionals and practitioners in Australia. We do this through the development of the profession and practice, collaboration with industry stakeholders and promotion and recognition of world’s best practice. In 2015 for the first time, half of our State or Division Presidents are women and the SCLAA actively promotes women in the supply chain.

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Congratulations to all 2015 Award Nominees and Winners at the Australian Supply Chain and Logistics Awards (ASCLA) that we held in Sydney in late November. Details on the Award finalists, winners and those with high commendations are on our website under the About Us Awards tab http://sclaa.com.au/about-us/awards/. This year the 56th Australian Supply Chain and Logistics Awards (ASCLA) will be in Brisbane in the second half of November, details will be available soon. With the consolidation that has happened in our Industry we are now the only Association with annual awards.

Divisional Committees The Divisional Committees have been busy organising events for 2016 across Australia and we will email you details of events in your area and nationally as they are finalised. We are planning a Women

In Supply Chain event in April, details on that soon as well.

Margins are tight in the supply chain and logistics industry and I was reading an interesting report recently. Statistics obtained by the Australian Federal Police show fraud losses from staff and former staff are costing Australian businesses over $1.5 billion a year.

Industrial theft can be a major problem.Anthony Goslin, at DataDot Technology, says the lack of information available on the impact and real cost of industrial theft, “we have found that there is a lack of measurable data on industrial theft. This has made it harder for businesses to recognise theft trends and implement strategies to combat the issue.”

Mark Skipper Chairman’s report Happy New Year to all members and Industry Participants.

Mark Skipper is Chairman of the SCLAA. With over 37 years of experience as Executive and Non Executive Company Directors Mark has supply chain and logostics experiece in both consumer and customer facing industries.

Industrial theft can be a major problem for all kinds of businesses. For example, utilities, min-ers, builders and even schools can all suffer. Expensive tools, equip-ment, machinery and materials are costly to replace and the resultant project delays and down-time can be devastating.

2 SCLAA Newsletter March 2016

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In association with Crime Stoppers NSW, a survey has developed the first ever Industrial Theft Survey. The aim of the survey is to gather information on what businesses are dealing with, how they are being impacted, and what current strategies they are using to combat industrial theft.

It is hoped that as the number of respondents grows, so too does the quality of the data which can then be used to benchmark theft and recovery rates and develop strategy and solutions to minimise or even eradicate the impact of theft to business. Quite simply you

don’t know what you don’t know, and as respondents add their own experiences to the survey, a more accurate picture of what is going on will start to form.

Participation and receipt of a summary report from the survey is free of charge and without obligation. However, respondents must participate in the survey (which will take less than 5 minutes) and provide their email address in order to receive the report (via email).

The link is to the survey is as follows: ht tps://w w w. sur veymonkey.com/r/Q7G562K

We encourage you to participate in the survey, and forward the link to any of your colleagues who you think would also be able to contribute valuable input and benefit from receiving the report.

We are all volunteers at the SCLAA and we would appreciate an injection of fresh ideas across the country, so please put your hand up to join your local State Division’s Committee. Great for your career exposure as well.

Expand your knowledge... Extend your vision...Become a NATIONAL PARTNER of the SCLAA

PH: 1300 364 160 [email protected] www.sclaa.com.au

SUPPLY CHAIN PTY LTD

SCLAA offers Partners:

• Brand association with profession initiatives

• Brand recognition through the national newsletter, web-site, stationery and event brand exposure

• Input into strategic direction of the association through a structure scheme of consultation at national and state level

• Membership benefits

3 SCLAA Newsletter March 2016

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Infosys Portland has been helping organisations grow and take cost out of their businesses for 16 years.Over this time we have worked with around 300 organisations addressing more than $65Bn in spend and saving in the order of $5Bn annually through improving the efficiency and effectiveness of their supply chain and procurement activities.

We work with closely with our clients to identify, implement, and manage supply chain and procurement improvement from large scale transformation programmes to targeted cost reduction initiatives.

Infosys Portland has around 190 employees from diverse cultures and geographies. Our global footprint, with offices in Sydney, Melbourne, Brisbane, Perth, Auckland, Singapore and Pune, allows us to service clients throughout the Asia-Pacific region.

In 2012 we were acquired by Infosys Ltd one of the world’s leading technology, outsourcing and consulting groups with revenue exceeding $9Bn and 190,000 employees with offices in 33 countries globally including India, USA, China, UK, Canada and Japan.

Supply ChainThe supply chain team fully understands the link between supply chain and overall business performance and is passionate about delivering improved profitability to our clients. Our experienced team effectively blends supply chain operational and consulting experience assisting clients in the development of supply chain strategy, supporting implementation and directly managing elements of supply chain operations to realise sustainable benefits.

Benefits to You OrganisationWe will help your organisation understand, develop and deploy supply chain strategies that will improve competitiveness

in the marketplace, assist growth and deliver an improved bottom line.

We understand the trade-offs that are key to delivering a world class supply chain, however our clients typically benefit from improved customer service, reduced inventory, lower freight, manufacturing and warehousing costs with a reduced carbon footprint.

We typically deliver 5–10 times your investment in our services.

Infosys Portland DifferenceOur singular focus on supply chain and procurement coupled with our ability to attract and retain outstanding people, has allowed us to differentiate our service offerings from more generalist competitors to become the supplier of choice to a number of Australia’s most successful companies.

• We operate across the whole scope of the supply chain function, including cost to serve, strategy development, supply chain planning, network optimisation, procurement, warehousing, freight, inventory management and master data management

• We recruit and employ our own staff that combines senior industry operational experience with leading-edge consulting skills so that supply chain strategies are not only developed but effectively executed

• As part of a large global IT & BPO organisation we have the footprint to deliver services through a global delivery model with a combination of onshore and offshore resources tailored to your requirements

• We provide advanced technology solutions and tools to enhance visibility and sustainability of benefits

Contact our Director of Supply Chain directly if you would like to understand how we can leverage technology, supply chain consulting, procurement and outsourcing to make you more profitable and competitive: [email protected]

New National Partner Infosys

https://www.infosysbpo.com

4 SCLAA Newsletter March 2016

Page 5: SCLAA March 2016 newsletter

SCLAA welcome Secure Communications Advisors Australia as its latest national partner. SCAA offer award winning leading Wifi and Communication solutions to the Supply Chain and Logistics industry. SCAA is the only certified Australian direct partner for the Allied Telesis Extricom (ATW) channel blanket solution. We are often asked “How does your product differ from current mainstream products?” says Director Simon Bajayo. The short answer is “We thrive in complex RF environments where others fail.

It’s simple, our product delivers seamless interference free, large scale blanket Wifi coverage, with ease of deployment and simple, low cost management that the competition just can’t match. We can scale to over 100,000 sqm in a single system and offer wireless redundancy and roaming free operation, which is very unique. We found that existing Wifi solutions from the major vendors all had common shortfalls around consistent coverage and interference in warehousing environments, that impact productivity, customer service and leaves the user feeling frustrated and disconnected. ATW has been specifically designed for complex building structures and can be deployed in refrigerated and dry warehouses, regardless of indoor or outdoor environment.

Importantly, because of our channel blanket coverage design, the need for mobile devices to roam between access points is negated. This vastly improves AGV performance. Our customers love it.

For telephony solutions SCAA is a ShoreTel champion partner. ShoreTel is a major player in the unified communications market. We chose to partner with ShoreTel because they are established, cash positive and truly innovative. The ShoreTel solution’s point of difference is that it is a single image system that allows ease of management. What this means is whether you have 10 or 10,000 users across 1 or 500 locations, the platform remains the same. It’s scalable and not rip and replace,

unlike other mainstream (no names mentioned) vendors in the marketplace. It grows with you. Again, it’s a unique positioning for SCAA. Communication systems have many hidden costs that aren’t immediately visible on spec. Looking at the total cost of ownership over the lifecycle of the chosen technology is unfortunately often overlooked by IT and Financial Managers because of hidden and unforeseen costs that you typically don’t think of when you buy a new system and aren’t readily disclosed by the vendors. The ShoreTel solution provides clear visibility from day one.

We encourage our customers to consider the lowest total cost of ownership over a minimum of five years in the industry and provide as much transparency in this regard as possible as . (See Nemertes independent 2015 IP Telephony Market Report http://tinyurl.com/ShoreTel-Nemertes). Typically phone systems aren’t replaced as often as IT infrastructure and on average are kept for more than eight years. ShoreTel regularly innovates and improves its systems, providing access to the latest technology available to its customers, which continually adds value and enhances the customer ROI. ShoreTel is a software based single image system. This means that as new features are released you are able to deploy and utilise them without having to rip or replace. If you had purchased a ShoreTel system seven years ago, you would still be using the same infrastructure today with all the new features and functionality available to the market, that wasn’t available then. This is a key point of difference. If you had a competitor’s product, you would’ve had to replace the entire system through the hardware becoming obsolete or the vendor not being able to upgrade.

Our business motto is clear we provide ‘Brilliantly simple wireless and communications that work.’ We make our technology fit your business, not your business fit our technology. We are delighted to become a Partner with SCLAA. There’s fit beyond the name association and we look forward to having dialogue with its members to demonstrate that.

Contact us for further information or organise an obligation free review of your current warehouse and office communication infrastructure. www.scaa.com.au | 1300 762 277 | [email protected]

New National Partner SCAA

www.scaa.com.au/

5 SCLAA Newsletter March 2016

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Providing advice on the packaging of nutritional supplements for children in drought stricken Ethiopia, developing distribution plans for lifesaving medical equipment during the Ebola epidemic in West Africa and procuring Dignity Kits for female refugees arriving in Greece are just some of the tasks RedR Australia’s logistics experts undertake in the course of a normal work day.

A leading humanitarian agency for international emergency relief, RedR Australia responds to natural disasters and conflict-induced emergencies by providing skilled people and training to help communities rebuild and recover in times of crisis.

Logisticians are some of the most important people on the ground during a crisis as food aid is often required along with the storage and distribution of non-food items like shelter plastic, blankets, cooking equipment, soap and jerry cans to collect drinking water and to keep it safe from contamination. RedR’s logistics experts are deployed to work with their United Nations partner agencies which include the United Nations Children’s Fund (UNICEF), the World Food Programme, the World Health Organisation and the United Nations High Commission for Refugees.

“Right now we have logisticians working in Ethiopia, Malawi, Greece, Serbia, Thailand and Laos,” RedR’s communications advisor Katrina Peach said, adding that they are usually sent at the beginning of a crisis for three months.

Hayden Pickering (pictured second from the left with UNICEF employees)

is currently supporting UNICEF in Ethiopia where El Nino related drought and floods have struck different parts of the country.

He’s developing standard operating procedures for UNICEF’s warehouses and implementing quality assurance processes on the packaging of therapeutic food for malnourished children.

“The El Nino weather pattern has caused a drought in the east of the country and has resulted in food shortages here. In Ethiopia, 435,000 children are at risk of severe acute malnutrition and over 10 million need food aid urgently,” Hayden said.

“This is a varied job and it’s really rewarding as I know the advice I provide and decisions I make can actually save lives,” the 34 year old said.

“This month, I’m redesigning the existing warehouse and designing a new one. I’m also reviewing transport companies that can provide distribution services for our food aid and looking into improving the safety standards and equipment available for the warehouse staff,” he said.

“My job also involves mentoring the Ethiopian national staff on logistics methods, which on a personal level is very rewarding.”

RedR Australia will be recruiting more logisticians to join their register of experts next month. Applications will

be open for two weeks from 1st March and you can find more information about the opportunity to use your skills in the humanitarian sector on RedR’s website at www.redr.org.au.RedR will also be running their internationally recognised Humanitarian Logistics in Emergencies course in Victoria from 28th Feb – 3rd March. Places are still available in this annual five day course which provides an overview of logistics in humanitarian emergency operations. A highly practical course, it equips and refreshes individuals with the background and knowledge to apply logistics skills through a combination of on-site visits, exercises and scenarios. Hayden Pickering will be joining the course by skype to provide participants with some real time insights into working in the field.

Logisticians save lives with RedR Australia

6 SCLAA Newsletter March 2016

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Would you lie or cheat to achieve something you want? I suspect most people have indeed done so at times. I am a little ashamed to admit to fibbing on the odd occasion in the past. More importantly, the Community seems to be attuned to accepting some forms of dishonesty on the basis that ”everyone does it”, or “the ends justify the means”.

Last week my spam filter collected eighty-seven bogus messages promising all sorts of rewards if I clicked on a link. Many of these messages purported to come from reputable organisations. Those blatant fraudsters have no sense of decency, and the scams continue in ever increasing numbers.

Dishonesty is rampant amongst this global network of scamming liars. Something must be done to eradicate the barefaced deceit.

Collaborative Supply Chains allegedly rely on trust as an enabler for the essential partnering relationships. However, the debate usually focuses on whether we can trust other people. Of course it must be a two-way street. We do need to be able to trust other Chain participants, but it is mandatory for you to also be trustworthy. Lying and cheating kills trust!

Have we allowed our Supply Chains to be contaminated by dishonesty and cheating? Hopefully in your world Supply Chains can stand up, without exception, to the necessary tests for integrity, honesty and decency. It is up to you!

A past mentor of mine frequently reiterated the critical importance of displaying and living up to your principles 24 hours a day, every day. Authenticity is a critical personal success factor that derives from “consistently living your principles”.

Again it is up to you!I learned recently about the word “confabulation”. Apparently it means that fibs or pretences repeated often enough can become to be believed in memory as real facts. Perhaps you have personally experienced confabulation in in your life. Lying or masquerading to yourself may be the most crucial defect of all. Trusting yourself is a key to gaining self-respect and the trust of other people.

This preamble brings me to the real intent of this Straight Talk Column. I want to emphasize my passion for mentoring, as well as my consuming interest in people (Supply Chain people included) taking real responsibility for their own development and wellbeing.

Two weeks ago I discovered a book titled ”Breakthrough“, authored by David C.M Carter. He is cited as being a world leading Mentor. Amongst many excellent hints offered by Carter I unearthed the few following points as being most relevant for me (as interpreted by me).

1. Consistently and rigorously focus on being the best version of yourself that you can be. Reiterate every day.

2. Do the right things the right way all the time?

3. Build the Brand that is “YOU”

4. Know yourself first. apply yourself to moving away from things

5. Platinum Rule: Everyone knows the Golden Rule: “Do unto others as you would have them do unto you”: Conversely the Platinum Rule Is, “Do unto others as they would have you do unto them”.

6. A critical success factor is ”BOS”; (Be of Service). Finding ways to be of service will create success.

7. MAD (Make a Difference) Focus on making a real difference with all your endeavours and thoughts.

8. Always move towards what you decide and want to do- instead of bogging down on moving away from things.

9. The beliefs we have about events shape us-not the events themselves.

10. Count the moments in life that take your breath away. Cherish those moments.

11. Make a decision to win the game of life.

12. Always think and speak positively

13. Seek to understand rather than condemn

14. Determine what legacies you want to leave for the next generations.

15. Get hold of Carters book and work through it carefully. It will benefit and comfort you as you build the rest of your life.

In summary I suggest that honesty, integrity, empathy and compassion are not old hat or passé. Those qualities and related mindset may well make you a Supply Chain Champion.

Adopting Breakthrough thinking may be a catalyst for a more productive and thriving life.

“Procrastination is the art of keeping up with yesterday” (Don Marquis)

Straight TalkingDavid Doherty OAM

David Doherty OAM is a past President and Life Member of the SCLAA and a highly regarded logistician. Send your Straight Talk feedback and comments to [email protected]

7 SCLAA Newsletter March 2016

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IntroductionThis paper studies the macro environmental influences and business forces that drive supply chain performance from the perspective of the economic environment. It critically analyses the effect of the economic environment on supply chain performance, identifies positive and negative impacts, and examines the effect of a downturn such as a recession on supply chain performance.

It identifies how organisations have been impacted and the types of strategies they employed to cope through the downturn. This paper also examines the outcomes of the strategies implemented and identifies ways to improve supply chain performance within the economic environment.

Improving Supply Chain Resilience CapabilitiesA major challenge for organisations and their supply chain networks is to survive

the effects of the economic environment during a downturn by improving supply chain resilience to unavoidable risk/threat events through adaptive capabilities; and by reducing supply chain vulnerability to avoidable risks through risk management.

The effect of the economic environment on supply chain networks can be catastrophic, impacting significantly on supply chain performance which can inevitably come to a standstill. Companies are forced to look inwardly to reduce costs and outwardly to increase the efficiency of their supply chains networks.

A study undertaken by Jűttner and Maklan (2011) observed that when the 2008 – 2009 global financial crisis caused a recession, this triggered a demand risk, which was then followed by deflation with prices plummeting, causing supplier insolvencies which triggered a supply risk. Jűttner and Maklan (2011) found that in order for organisations and their supply chain

partners to survive and maintain supply chain performance when impacted by an unavoidable risk/threat event, the supply chain must apply adaptive/supply chain resilience capabilities such as supply chain flexibility, velocity, visibility and collaboration – through three disruption phases: Readiness, Responsiveness and Recovery (hence – before, during and after the event).

Their study involving three major companies identified that the companies and their supply chain partners coped during the financial crisis by sharing risks; hedging risks through redundant resources; and by using supply chain risk knowledge management.

The strategies and actions deployed by the case study companies are provided in Table 1, which also identifies which of the supply chain resilience capabilities (or supply chain performance capabilities) their risk management strategies had a positive impact.

Key Findings - Within the economic environment (during a downturn), organisations that fail to develop highly competitive supply chains and proactively address risks and issues adequately through mastering supply chain resilience capabilities before, during and after a downturn, in close collaboration with supply chain partners, will be less competitive and will be subject to underperforming supply chains. Such supply chains will be subjected to demand risk, supply risk, unavoidable risk/threat events, reduced cash flow and an inability to meet customer demand. In contrast, proactive supply chains with the ability to anticipate economic downturns, contain costs, eliminate waste, manage risk, eliminate vulnerabilities, reduce lead-times and maximise utilisation of existing resources, will produce supply chains that excel in efficiency, flexibility, adaptability, responsiveness and cost mastery.

Effect of the Economic Environment on Supply Chain Performance Sharyn Grant

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Table 1: Supply Chain Risk Management Strategies

Risk Management Strategies: Sharing Risks

Hedging Risks throughRedundant Resources

Supply Chain Risk Knowl-edge Management

Actions To Deliver Strategies:

• Index-based pricing

• Joint business continuity plans

• Outsourcing agreements

• Regional distribution cen-tres or warehouses

• Decentralised supply chain management organisation

• Dual and/or multi sourcing

• Formalised supplier risk management process

• Human resources dedicated specifically to supply chain risk management

Positive Impact on Supply Chain Perfor-mance:

• Supply Chain Flexibility

• Supply Chain Visibility

• Supply Chain Collaboration

• Supply Chain Flexibility

• Supply Chain Velocity

• Supply Chain Visibility

Table 2 identifies the strategies these case study companies deployed within each of their supply chain resilience capabilities, which resulted in a positive impact and allowed the achievement of targets for revenue, cost and lead time/availability.

Table 2: Supply Chain Resilience Capabilities & Strategies

Resilience Capabilities:

Supply Chain Flexibility Supply Chain Velocity Supply Chain Visibility Supply Chain

CollaborationResilience Strategies:

• Response to unpre-dictable demand change

• Shifting to cost-ef-fective supply sources

• Optimised capacity utilisation

• Quick response to unpredictable demand change

• Shifting to cost-ef-fective supply sources

• Counteractive measures to avoid non-availability

• Optimised capacity utilisation

• Lower sourcing costs

• Counteractive measures to avoid non-availability

Positive Impact on Supply Chain Performance:

• Revenue targets

• Cost targets

• Revenue targets • Cost targets

• Lead time/availabil-ity targets

• Cost targets

• Lead time / avail-ability targets

Supply chains that do not have supply chain resilience capabilities designed into their supply chains to cope with the effects of the economic environment, will suffer catastrophic consequences as a result of demand fluctuations, price fluctuations, supply variabil-ity, non-availability, underutilised assets, bottlenecks, high uncertainty and supplier insolvency.

In contrast, Pettit, Croxton and Fiksel (2013) found a positive correlation between resilience and supply chain performance, but also found that careful evaluation of supply chain resilience capabilities in the first instance is required to address the gaps identified which avoids eroding profits when investing in

capability development as improvement is targeted. Evaluating and improving supply chain resilience capabilities has resulted in significant savings, improved supply chain performance, enhanced readiness and has increased supply chain competi-tiveness during stable and unstable environments.

Table 3: Supply chain changes made during recession

Supply Chain Changes During Recession % of respondentsReduction in employment (including reduced hours) 21%Decrease in total stock levels 17%Other changes – including:

• Logistics cost reduction and waste elimination

• Improvement in logistics processes

• Review of supplier contracts

• Price changes (increases & decreases)

17%

Leaner WIP inventories 12%More local supplies 10%Reduction in product lines 8%Increased use of 3PL and warehousing 8%Decreased use of 3PL and warehousing 6%

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Increasing Supply Chain Efficiency

Bentley and Castro (2012) also discovered a wide range of supply chain strategies focused on reducing costs and increasing efficiency and productivity, were imple-mented by the companies they surveyed during the recession.

The two-year study during the recession (involving 316 logistics/supply chain pro-fessionals; mostly within United King-dom) identified that by the end of the first quarter of the recession, 30% of survey respondents on average were making or planning logistics/supply chain changes within their companies as a result of the downturn; which increased to 56% on av-erage by the end of the second quarter.

Some companies delayed acting until they knew more about the severity of the impact or they had anticipated the finan-cial crisis. The changes that took place at these companies in response to the re-cession are identified in Error! Reference source not found. (Bentley & Castro 2012, p.25). These companies were impacted by the recession in a number of ways includ-ing:

• Suppliers reducing service levels which caused contract cancellation and increased supply risk

• Customers delaying payment impact-ing cash flow of suppliers

• Reduction in infrastructure (including warehouse consolidation) to increase cash flow

• Reduction in employee numbers to increase cash flow

• Utilising a range of spend reduction strategies including reducing services and tightening budgets

• Reduction in parent company subsi-dies

Leaner and more efficient supply chains and operations have been created as a result of the recession, in addition to maximising resource utilisation, reduc-ing spend and even major transforma-tions to optimise entire operations.

Whilst companies were affected signifi-cantly, supply chain performance im-provements were also being achieved as a result of being forced to find ways to survive the downturn. Companies found

ways to increase productivity at the least cost through better inventory control and removed costs from the supply chain by eliminating intermediaries which also re-sulted in reduced lead times. The econom-ic environment when in a downturn also presents significant opportunities for the strongest of companies to take advantage the opportunities available including re-duced prices, available labour/expertise, infrastructure for auction etc.

ConclusionWithin the economic environment (within a downturn), mastery of supply chain re-silience capabilities before, during and af-ter a downturn, in close collaboration with supply chain partners is recommended to enable the establishment of highly com-petitive supply chains due to their ability to anticipate the downturn, contain costs, eliminate waste, manage risk, eliminate vulnerabilities, reduce lead-times and maximise utilisation of existing resources.

If resilience capability development and ongoing risk management adequately ad-dresses economic downturn risks and is-sues, then supply chain performance will excel in efficiency, flexibility, adaptability, responsiveness and cost mastery.

Failure to master resilience capabilities and address risks and issues adequately within the economic environment (within a downturn) will result in less competitive underperforming supply chains due to be-ing subjected to demand risk, supply risk, unavoidable risk/threat events, reduced cash flow and an inability to meet custom-er demand.

Author - Sharyn Grant, Supply Chain Value Creator

Sharyn Grant is the Managing Director of LSC Solutions and the Supply Chain Value

Creator. Sharyn established her company 12 years ago and since then has been the only female-led supply chain manage-ment consulting company in Australia.

Over 100 firms and 1400 executives have relied on the company’s best practice sup-ply chain solutions, across 200+ projects identifying over $1Billion in opportunities. Operating Australia-wide, the company boasts a solid team of 20 independent consultants, coaches and trainers plus 5 support team members, to help Australian companies become globally-competitive through world-class supply chains and operations that continuously create value.

References

•Bentley, Y & Castro, J 2012, Supply chain management in difficult times, Logistics & Transport Focus, vol. 14, no. 5, pp. 22–27.

•Jűttner, U & Maklan, S 2011, Supply chain resilience in the global financial crisis: an empirical study, Supply Chain Management: An International Journal, vol. 16, no. 4, pp. 246–259.

•Pettit, TJ, Croxton, KL & Fiksel, J 2013, Ensuring Supply Chain Resilience: De-velopment and Implementation of an Assessment Tool, Journal of Business Logistics, vol. 34, no. 1, p. 46–76.

INDUSTRY ALERTChanges to the Heavy National Law & Regulations

The latest amendments to the Heavy Vehicle National Law and Regulations took effect on Saturday 6 February 2016. Key changes include:

Alignment of vehicle standards for new and in-service vehicles

new penalties that are consistent across all HVNL jurisdictions

formal recognition of electronic work diaries, paving the way for their rollout in 2017

The adoption of electronic work diaries is voluntary and is currently planned for 2017.

Visit our website for more information and a vehicle standards guide outlining the changes.

10 SCLAA Newsletter March 2016

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On November 17, NSW Members visited the Blackwood’s Distribution Centre at Greystanes. This site was the 2014 ASCLA Storage and Material Handling Award. This Blackwood’s Centre is recognised for Australia’s first new generation multishuttle storage buffer and sequencing system with Goods to Person picking.

The site uses Dematic’s Multishuttle Store and Buffer Sequencing System for Goods to Person picking, ergonomic goods to person picking, integrated check weighing, voice directed picking, longspan shelving and

pallet live storage, hugh rate picking and carton live storage.

The Blackwoods Greystanes DC consolidated two DC totalling 23,000 dqm into one new DC of 14,000 sqm, allowing 1,000 totes an hour, sequencing of SKU picking to optimise order assembly, better inventory management, check weighing, cycle counting, error free put away and reduce stock outs.

Thanks to Blackwood’s and Dematic for allowing the SCLAA to visit this amazing award winning DC.

New South WalesDivision ReportJoshua Holmes President

Sean Fahy, Tom Finch and Matthew O’Keefe. at the Blackwood Distribution Centre.

Lost data ? Wasted time ?

Poor coverage ?

Dropped calls ? Unplanned downtime ?

Lost staff productivity ?

Enterprise wireless LAN and cutting edge communication tailored for the Supply Chain & Logistic arena. We make our technology fit your business not your business fit our technology

Contact us for an independent obligation free assessment of your current infrastructure and explore the smartest solution for your business

Call 1300 762 277 [email protected] | www.scaa.com.au

Brilliantly simple......Wireless that works

11 SCLAA Newsletter March 2016

Page 12: SCLAA March 2016 newsletter

ACT and Southern NSW plan a strong 2016.It is probably fair to say that the ACT and Southern NSW Division has been in something of a “holding pattern” for some time, due to a relatively small membership and too few members able to devote the time and effort needed to promote the Association and our goals within this region.

In December last year I was asked to step into the role of interim President due to the retirement of Allan Jones from the position for personal reasons. I would like to pass onto Allan the sincere thanks and appreciation of the Division for his tireless efforts in recent years to get the Division out of the “holding pattern”. On a personal note, I am grateful that Allan has agreed to stay on in a supporting role for the foreseeable future.

There have also been offers of support from existing members at National Mailing & Marketing, Toll Customised Solutions and Canberra Airport, which is very encouraging. These early signs of enthusiasm and commitment auger well for 2016. As a result, an interim Committee has now been formed to set in place an ambitious short term agenda for the Division.

The ACT/Southern NSW Division is planning for a more inclusive and dynamic year. We will be asking all members to play a more active and constructive role in fostering the vision and values of the SCLAA. At the heart of this will be our local objective to improve the overall quality of supply chain service delivery in the ACT/SNSW region, to the benefit of each member’s respective business, our own clients, our client’s customers, the local business community and the local economy in general.

Plans are already in place for a meeting of the current membership on 25th of February, aimed primarily at:

• Election of a new Committee or endorsement of the interim Committee, including nominations for additional committee members;

• Discussions regarding the division’s future direction and focus;

• Plans to increase membership through a targeted membership drive (to determine the best target industries and strategic approach);

• Discussions around the skills and resources each member can bring to the group; and

• Discussions on preferred events the group would like to see (including regular member meetings, networking events, training programmes, presentations to the broader business community, etc).

Work has commenced on developing a database of prospective organisations within the region to be targeted for membership. Once this is finalised the division will send each of these businesses a “New Member Pack” to encourage them to become members of the SCLAA. In addition, the interim committee has already discussed a number of organised events and potential guest speakers for the first half of 2016.

The future for the ACT & Southern NSW Division looks bright, providing we can maintain the support of the current member group and expand the membership by attracting enthusiastic business partners who are willing to commit time, effort and resources to the Division.

ACT & Southern NSWDivision Report Gary Pearce President

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12 SCLAA Newsletter March 2016

Page 13: SCLAA March 2016 newsletter

Canberra Freight Symposium

I recently attended a ‘Freight Symposium’ put on by the Canberra Airport Group (CAG), which the theme was “Up. Up and Away! Exporting from Canberra Airport”.

As highlighted the current overnight airfreight system comprises a complex network of routes designed around meeting curfew requirements at Sydney Airport and to a lesser extent Adelaide Airport. The current trunk overnight airfreight network is operated by two major overnight airfreight operators, Qantas Freight and Toll Priority. Interesting some details provided at the Symposium were, 2000+ places to land a plane in Australia, 332 registered/certified Airports, approx. 30 ‘jet capable’ Airports, 15 large jet capable Airports, and 5 large jet capable Airports with no constraints (curfew, slots, military ops, airspace, bilateral air service agreements, etc). Based on those details, and current constraints and capacity of Sydney Airport, Canberra Airport is well placed to operate as an alternate freight airport. It was noted within a 2-3 hour transport time/radius from Canberra, approx. 60% of Australia’s exporters are in South Eastern Australia, or as described, within the NSW/ACT/Victoria ‘ribbon’.

The Symposium was timely, given the recent announcement by Singapore Airlines that it will be commencing international flights in and out of Canberra in September to and from Wellington and Singapore. As we were reminded during the day, there is a huge amount of freight haulage possible in the hold of wide-body passenger aircraft – up to 30 tonnes! Passengers may be in relative comfort on the main deck, while there might be many frozen lamb carcasses and kilolitres of fresh milk sloshing around in the hold below (just two of the examples that were mentioned). Around 95% of the airfreight in and out of Australia is carried by passenger aircraft.

The event was attended by a broad range of people from federal, state, territory and local government agencies, export businesses, and people in the business of manufacturing or growing products for export.

Interesting scene-setting and keynote presentations were given by Canberra Airport MD, Stephen Byron, the outgoing Minister for Trade and Investment, the Hon Andrew Robb, the ACT Chief Minister, Andrew Barr, and NSW Minister for Transport and Infrastructure, the Hon Andrew Constance (yes, there were many Andrews in the line-up!). They were followed by presenters from regional organisations and producers/exporters, all of whom were enthusiastic about the prospect of Canberra Airport becoming an international freight hub. We heard from oyster farmers, cherry growers and asparagus producers in particular about the importance of shortening the transport times (and avoiding Sydney traffic is certainly part of that), and the global economic outlook opportunities for Australian business.. Flights out of Canberra to Singapore will leave late in the evening enabling regional produce to be at market in Singapore early the next day, or ready for transfer to other flights for a range of destinations in SE Asia. Effectively, goods would be on sale overseas a day earlier than would be possible if relying on flights out of Kingsford Smith Airport.

After the Symposium, there was a brief bus tour of the airside of Canberra Airport which confirmed that CAG’s plans are for much more than simply filling the holds of passenger aircraft. Part of the Canberra Airport Master Plan is to build freight facilities that will eventually accommodate wide-body freighter aircraft. Canberra Airport has many advantages as a hub, being the only major large jet capable airport between Melbourne and Brisbane that does not have constraints such as nightly curfews. It is clear that CAG wants to establish Canberra Airport as a viable international freight hub as soon as possible and to be effectively a second option for Sydney well ahead of the building of the Badgery’s Creek airport.

So, all in all, it was an interesting and enjoyable day. Importantly, it was clear that the development within the Airport precinct will continue at a rapid pace, maintaining this as a vibrant and attractive location for Supply Chain and Logistic opportunities in Canberra ant its region.

By Gary Pearce President SCLAA ACT/SNSW Division

Gary Pearce President of the ACT and southern NSW division recently attended a Freight Symposium held by the Canberra Airport Group (CAG). The theme was “Up. Up and Away! Exporting from Canberra Airport”. He reports:As highlighted the current overnight airfreight system comprises a complex network of routes designed around meeting curfew requirements at Sydney Airport and to a lesser extent Adelaide Airport. The current trunk overnight airfreight network is operated by two major overnight airfreight operators, Qantas Freight and Toll Priority. Interesting some details provided at the Symposium were,

• 2000+ places to land a plane in Australia,

• 332 registered/certified Airports,

• approx. 30 ‘jet capable’ Airports,

• 15 large jet capable Airports, and

• 5 large jet capable Airports with no constraints (curfew, slots, military ops, airspace, bilateral air service agreements, etc).

Based on those details and current constraints and capacity of Sydney Airport, Canberra Airport is well placed to operate as an alternate freight airport. It was noted within a 2-3 hour transport time/radius from Canberra, approx. 60% of Australia’s exporters are in South Eastern Australia, or as described, within the NSW/ACT/Victoria ‘ribbon’.

The Symposium was timely, given the recent announcement by Singapore Airlines that it will be commencing international flights in and out of Canberra in September to and from Wellington and Singapore. As we were reminded during the day, there is a huge amount of freight haulage possible in the hold of wide-body passenger aircraft – up to 30 tonnes! Passengers may be in relative comfort on the main deck, while there might be many frozen lamb carcasses and kilolitres of fresh milk sloshing around in the hold below (just two of the examples that were mentioned). Around 95% of the airfreight in and out of Australia is carried by passenger aircraft.

The event was attended by a broad range of people from federal, state, territory and local government agencies, export businesses, and people in the business of manufacturing or growing products for export.

Interesting scene-setting and keynote presentations were given by Canberra Airport MD, Stephen Byron, the outgoing Minister for Trade and Investment, the Hon Andrew Robb, the ACT Chief Minister, Andrew Barr, and NSW Minister for Transport and Infrastructure, the Hon Andrew Constance (yes, there were many Andrews in the line-up!). They were followed by presenters from regional organisations and producers/exporters, all of whom were enthusiastic about the prospect of Canberra Airport becoming an international freight hub. We heard from oyster farmers, cherry growers and asparagus producers in particular about the importance of shortening the transport times (and avoiding Sydney traffic is certainly part of that), and the global economic outlook opportunities for Australian business.. Flights out of Canberra to Singapore will leave late in the evening enabling regional produce to be at market in Singapore early the next day, or ready for transfer to other flights for a range of destinations in SE Asia. Effectively, goods would be on sale overseas a day earlier than would be possible if relying on flights out of Kingsford Smith Airport.

After the Symposium, there was a brief bus tour of the airside of Canberra Airport which confirmed that CAG’s plans are for much more than simply filling the holds of passenger aircraft. Part of the Canberra Airport Master Plan is to build freight facilities that will eventually accommodate wide-body freighter aircraft. Canberra Airport has many advantages as a hub, being the only major large jet capable airport between Melbourne and Brisbane that does not have constraints such as nightly curfews. It is clear that CAG wants to establish Canberra Airport as a viable international freight hub as soon as possible and to be effectively a second option for Sydney well ahead of the building of the Badgery’s Creek airport.

So, all in all, it was an interesting and enjoyable day. Importantly, it was clear that the development within the Airport precinct will continue at a rapid pace, maintaining this as a vibrant and attractive location for Supply Chain and Logistic opportunities in Canberra and its region.

Canberra Freight Symposium

13 SCLAA Newsletter March 2016

Page 14: SCLAA March 2016 newsletter

More than 5500 delegates from across Australasia have attended the Queensland Supply Chain & Logistics Conference in its 17-year history. Will you be among the delegates in 2016?

This national conference is designed for Supply Chain, Logistics, Transport and Procurement professionals and practitioners and is run by industry for industry.

It aims for professional and

personal development in a unique and relaxed networking-based environment.

To be held on the 1st and 2nd of September at the SOFITEL Brisbane Central hotel and with a theme of Supply Chain Unity this is a not-too-be-missed national event.

To find out more about the conference email [email protected] visit www.qldscc.com or phone 1300 920 439.

The dates have been set for the 17th annual Queensland Supply Chain and Logistics Conference.

17th Annual Queensland ConferenceNerida Kelton President

14 SCLAA Newsletter March 2016

Page 15: SCLAA March 2016 newsletter

Over 160 members of the SCLAA, AIP, APPMA and QSCLC, spent their annual Christmas party for the sixth consecutive year with a twist. The members spent the day packing a record 1250 hampers, for Foodbank to distribute to those in need at Christmas; many of whom are without employment, families with young children and living on the poverty line.

The 1250 Foodbank Hampers project is a culmination of twelve months of work, with over $140,000 worth of goods raised to go inside the hampers and generous support from many companies across the country who assisted with the goods collection. The 2015 hampers were worth over $120 each and were made up of food and personal hygiene products. This year we added an additional 350 x packs for ladies and 100 x packs for nominated charities,

with an additional value of $44,000. In six years the SCLAA, in conjunction with the AIP, APPMA and the QSCLC, have packed 4300 hampers to the value of over $541,000.

We would like to acknowledge Blackmores, Collins Food Group, Kimberly Clark, Colgate, OfficeMax, Sizzlers, the APPMA, BDO, Stanwell Corporation, TAE, All Purpose Transport, Linde, Department of Public Housing & Works for going above and beyond this year to help provide goods and funds for the hampers. Without the industry supporting this project it would not be as successful year-on-year.

If you would like to donate any items for the 2016 Hamper project please email [email protected]

Queensland helps Foodbank

15 SCLAA Newsletter March 2016

Page 16: SCLAA March 2016 newsletter

SCLAA members save on fuel

The South Australia and Northern Territory Divsion has gotten off to a good start for 2015!

South Australia & Northern Territory ReportMatt Madsen President

John Eleftheriou stepped aside from the role as Division President at the end of 2015 but remains in his role on the National Board of Directors. Thanks John for all the hard work you’ve put into the SA/NT Division over the past years, you’ve earned a well-deserved break from the trenches!

Taking over for John as the new SA/NT Division President is Matt Madsen. The prime focus for the Division in 2016 is to increase membership and visibility. With a focused membership drive already underway and a lot of behind the scenes work by various Division Committee members, we’ll be able to achieve the goals we’ve set ourselves.

The Division is planning regular events through the year. Two of these are already coming together as very worthwhile site visits to Adelaide based facilities.

Watch the Calendar of Events on the SCLAA website for more information in the lead up to these two exciting opportunities. And if you’re unable to make the visits when they do happen, you’ll be able to find a complete summary of what went down after the fact via these future Division updates.

Finally, if you are a SCLAA member or part of an organization which is a National Partner of SCLAA, please help spread the word about our unique organisation. If you know of anyone who is SA or NT based and could benefit from knowing more about SCLAA please pass on Matt’s contact details: at [email protected] or phone 0402-174-266

The Supply Chain and Logistics Association of Australia (SCLAA) has negotiated an exclusive deal with Caltex that will provide huge savings at the bowser and savings of up to 40% off the monthly fee on StarCard fuel cards. Caltex StarCard is the must-have fuel card that makes managing your personal and or business fuel use easy.

Members benefit with Fuel discounts at over 2,000 participating fuel outlets Australia-wide (including Caltex, Ampol and Woolworths-Caltex outlets or anywhere else that accepts the Caltex StarCard)

Members can use this SCLAA deal for their own, extended family members or employers / employee’s cars / vehicles / trucks.

There is no limit on the ability of members to use this deal with their family, employer or employees.

There is no limit on the amount of fuel purchased. Any vehicle from motor bikes to B Triples, mobile tanks, lawn mowers and even boats!

For more information go to

http://sclaa.com.au/energy-eff/member-fuel-discounts/

16 SCLAA Newsletter March 2016

Page 17: SCLAA March 2016 newsletter

Why did you join the SCLAA?

What benefits do you believe the SCLAA offers all their members?I joined SCLAA because I strongly believe that SCLAA provides a platform for the members to share and learn best practices, proven methodologies in the modem supply chain environment and more.

This would also help me to connect to an impressive supply chain community of SCLAA members and receive up-to-the-minute industry news from the association and develop my professional attributes..

How long have you been in the industry? Ive been in the industry for 5.5 years

What are your areas of expertise? My areas of expertise:

1. Inventory analysis, control & optimisation

2. Project Management & Consulting

3. Forecasting

4. Lean Business Improvement

5. Sourcing

6. Cost erosion and reduction

7. Value Engineering

8. KPI Management

9. Product and process costing

10. 1Vendor Management

What is current job role and what are your responsibilities?I’m in charge of leading our channel partners/clients in optimizing their fill to customers and overall parts business profitability through a combination of collaboration, best parts management practices, innovative tools and techniques, and creating an environment of mutual accountability while remaining “cost neutral” to our organization and elevating the role of Analysts to that of Trusted Advisors.

I’m also responsible for conducting in-depth yearly review of business system and channel partner performance; assist in establishing annual performance goals that are aligned with company business objectives

Interview with Senduran KandavanamSenduran is the Senior Dealer Parts Management Analyst with John Deere

17 SCLAA Newsletter March 2016

Page 18: SCLAA March 2016 newsletter

( 1300 920 439 [email protected] www.qldscc.comJoin the QSCLC Group on

More than 5500 delegates from across Australasia have attended the Queensland Supply Chain &

Logistics Conference in its 17 year history. Will you be among the delegates in 2016?

This conference is a recognised national event designed for Supply Chain, Logistics, Transport and

Procurement professionals and practitioners. It aims for professional and personal development in a

unique and relaxed networking-based environment.

MARK THESE DATES IN YOUR DIARY.

1 & 2 September 2016SOFITEL Brisbane Central

2016 Queensland

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